By Hugh R. Morley
The Record
June 29, 2011

New Jersey will next month launch a $1.6 million initiative to determine how best to create jobs and train workers in key industries, the state labor commissioner told a breakfast for Passaic County business leaders Wednesday. 

The state Department of Labor and Workforce Development will fund a handful of think tanks – or “talent networks” – that will bring academics, business leaders, civic groups, educators and others together on a regular basis to look at ways to stimulate growth and employment in the sectors, said Commissioner Harold Wirth. 

The seven sectors are: transportation, logistics and distribution; life sciences; advanced manufacturing; financial services; health care; green industries; and technology and entrepreneurship. 

Wirth outlined the plan to at least 125 business leaders and government officials at William Paterson University in Wayne as part of a forum on job creation and the financial and other assistance available to employers.

 He said the talent networks are part of his department’s effort to better identify the needs of employers and make sure the skills of employees match those needed in industry. 

“We want to make sure we are training people for jobs that exist today and tomorrow,” Wirth said. 

“The days of training people, wasting money on jobs that don’t exist any more, are gone.” 

The department will next month announce six winners of a “grant opportunity” process begun last month when the department put out a request for applicants.

By Joe Cutter
NJ 101.5
June 27, 2011

A loan program underwritten by the New Jersey Economic Development Authority seeks to loosen the lending purse strings for small businesses.

The program is called the, “Main Street Business Assistance Program”. The aim is to provide small businesses in New Jersey with a wider number of lending options and increased access to capital while also reducing the credit risk for the lending banks.   

New Jersey Economic Development Authority spokesman Tim Lazura says they track all of their successes for the program by jobs created, jobs retained and investment made.

In 2010, NJEDA provided financial support to over 80 small businesses throughout the state., supported over 2,200 existing jobs and generated more than 600 new ones.

The Main Street program will guarantee up to 50 percent of a bank loan for the small business, and can also direct loans up to 25 percent of the total financing.

 Benefits of the NJEDA program include:

• Innovative loan and incentive programs to help small businesses in New Jersey gain access to financing to survive and grow
• Increased lending options and access to capital

 Assistance includes:

• Loan guarantees up to 50% of a bank loan
• Direct loans/loan participations up to 25% of the total financing
• Line of credit guarantees up to 50% of the line of credit amount for preferred lenders
• and banks reduce their exposure and risk

 NJEDA is continuing to grow its network of community and commercial banks, to help small businesses with their financial needs.

 Small business owners can call The Business Action Center at 866 534 7789, or go online at www.newjerseybusiness.com for more information.

By Chris Bishop
Burlington County Times
June 22, 2011

President Barack Obama hailed small-business owners in May, calling them the backbone of the nation’s economy.

 Statistics vary, but according to the federal Small Business Administration, small firms represent 99 percent of all private employers; employ just over half of all private sector employees; and pay 44 percent of America’s private payroll.

 The New Jersey Small Business Development Center at Rutgers-Camden is co-sponsoring the Business Builders Series, five free workshops that aim to help small- business owners start or grow businesses and educate them in the basics of fiscal management, credit, and capital formation.

 Gary Rago, a Moorestown resident, is directing the center.

 “Understanding this process will provide these entrepreneurs with the ability to make better decisions and long-term plans related to their ability to raise capital,” said Rago, who has been a small-business owner and is a certified public accountant.

 Beginning in July, the free workshops will be held every two weeks from 6 to 8:30 p.m. at the Latin American Economic Development Association offices on Market Street in Camden. The association is a cosponsor.

 Rago said the goal of the sessions is to promote business growth in urban areas, but they are open to any small-business owners who want to attend.

 The workshops are: “Credit Clinic” on July 7; “Developing Business Capacity” on July 21; “Strategies for Accumulating Capital” on Aug. 4; “Real Estate Ownership and Your Business” on Aug. 18; and “Starting a Home-Based Consulting Business” on Aug. 30.

 Rago said one-on-one consulting will be offered following the series.

 A native of Willingboro who graduated from Kennedy High School in 1972, Rago said he plans to partner with an organization to bring the series to Willingboro. Details will be announced later.

 The small-business workshops provide a needed boost to area small business owners in light of the grim economic outlook, Rutgers officials said. A survey conducted by the National Federation of Independent Business indicated confidence among small-business entrepreneurs fell to an eight-month low in May.

 “It seems that demand for products and services have bottomed out and many businesses are still riding the bottom or slowly rising to see a slightly increasing demand.” Rago said. “I think many businesses are only slowly adding jobs and they are being very cautious about it. We’re starting to see people who are willing to take more risks and accept the risks of starting a business and apply for financing. I see it slowly starting to get better.”

Rago said there are two areas of planning that business owners must pay more attention to if they want to succeed: marketing research and strategies; and detailed financial planning. He said business people must understand their market, its population, industry trends and spending habits. Financial planning must look ahead at least one year to identify a potential cash deficit.

On May 31, 2011, EDA CEO Caren Franzini spoke with 1450 WCTC-AM about how small businesses in New Jersey can benefit from the Main Street Business Assistance Program.  To listen to the interview, please click on the link below.

• Interview (length: 10 min)

By Ginger Gibson
Star-Ledger
June 15, 2011

PLAINSBORO — Gov. Chris Christie addressed a packed room full of business leaders from around the state tonight, highlighting the accomplishments of his administration.

 Christie said his focus has been on making New Jersey more affordable by driving down taxes and getting the state’s finances in order.

 The Republican governor proudly brandished his administration’s efforts to make the state more business-friendly, calling Lt. Gov. Kim Guadagno “an advocate within the executive branch” for businesses.

 He highlighted several legislative accomplishments: a 2 percent cap on property taxes, a 2 percent cap on arbitration for police and firefighter contracts, and the most recent deal — struck today — to overhaul health and pension benefits for state employees.

 “While I was always to make reasonable compromises, I was never willing to swallow my principles,” he said.

 However, the governor cautioned that while the economy is improving, the state isn’t out of the woods yet.

 “This doesn’t mean our work is finished,” Christie said. “I’m not going to declare victory until victory is in hand.”

 Christie repeated his frequent line about inheriting a state in trouble.

 “I would love to be governor in a time like when Gov. (Tom) Kean was governor,” Christie said, “when his biggest problem was getting enough people in the Department of Treasury to count the money.”

 But Christie argued that his policies would return the state to that condition.

 “We will be able to have a happier and sunnier day in New Jersey,” Christie said.

 Christie’s speech was a mixture of stories he tells at town hall meetings and pieces of speeches he delivered before other business groups.

 He returned to a theme he first introduced at a speech in Washington, D.C, before the American Enterprise Institute, calling President Barack Obama’s plan to expand high-speed Internet and rails “the candy of American politics.”

 Christie said other states are watching government overhaul efforts in New Jersey and using them as a model for change, saying they aspire to be like the Garden State.

 “They thirst for it at a national level,” he said.

 Christie also offered a handful of light-hearted anecdotes, recalling a moment in last night’s broadcast of a taped interview with CNN’s Piers Morgan.

 During the interview, First Lady Mary Pat Christie was asked what the biggest misconception about the governor is. She responded that he is actually a “nice” guy.

 Christie said within a minute he received a text message from an “unnamed” lawmaker reading, “Nice? Yeah right.”

 The audience laughed and someone shouted a name.

 “No, it wasn’t Joe Kyrillos,” Christie answered, referring to the state senator who is a close friend of his.

Suburban News
June 14, 2011 

Growing a small business requires ready access to capital, but conventional lending sources are often out-of reach for start-ups and many existing operations.

Now, thanks to the new Small Business Line of Credit program offered by UCEDC, business owners can have better control of their cash flow, with funds ready when they need them.

UCEDC, a statewide non-profit economic development corporation, has been serving small businesses since 1977. The new Line of Credit program, offered exclusively to Union County businesses, provides credit lines ranging from $5,000 to $15,000 for a one-year renewable term.

“Small business owners often struggle with cash flow and find themselves coming up short when their accounts receivable come in late or business is slow,” says Ellen McHenry, UCEDC’s senior director of finance. “We established this line of credit to give them the flexibility they need to cover ongoing operations, take advantage of new opportunities or meet unexpected expenses.”

Funds can be used to purchase supplies or inventory, finance accounts receivable, and augment seasonal working capital. Rates are fixed at 10.25%, eliminating the uncertainty of variable rate hikes.

UCEDC offers a variety of financing solutions for New Jersey’s small businesses, with loans ranging from $500 to $150,000, including SBA microloans up to $50,000. Since its inception, UCEDC has lent close to $13 million, helping hundreds of small businesses to start, grow and thrive.

More information about the Line of Credit program can be found at ucedc.com or by contacting Ellen McHenry at emchenry@ucedc.com or 908-527-1166.

Trenton, NJ – Lt. Governor Kim Guadagno on Thursday reinforced New Jersey’s reputation as a leader in the pharmaceuticals field by helping Watson Pharmaceuticals Inc. formally dedicate its global corporate headquarters in Parsippany, a move that will result in about 250 new jobs.

“Watson’s commitment to New Jersey and Morris County demonstrates both the strength of the state’s pharmaceutical industry and the support all businesses are receiving from the Christie Administration,” said Lt. Governor Guadagno. “We have made economic development a priority and we are now seeing the results.”

Paul Bisaro, Watson’s President and CEO, said support from the Administration is the reason for the company’s movie to Parsippany. 

“When Watson was exploring where to locate, New Jersey agreed to be our partner,” Mr. Bisaro said. “We thank New Jersey for its commitment to us, as a New Jersey headquartered company, and for all that Governor Christie and Lt. Governor Guadagno are doing to make New Jersey a prominent state for business. We intend to grow in New Jersey and the dedication of this building represents only one milestone in our plan to add jobs in the state and to be more active as a good corporate citizen.”

The New Jersey Economic Development Authority provided incentives to Watson under New Jersey’s Business Employment Incentive Program (BEIP) and the Business Retention and Relocation Assistance Grant (BRRAG) program. BEIP rewards companies for bringing jobs to New Jersey and BRRAG rewards companies for retaining jobs in the state.    

Watson’s new global headquarters, which totals approximately 149,000 square feet, occupies an entire building within a multi-tenant corporate campus as well as a floor of an adjacent building.  The new facility enables Watson to combine operations previously done in separate facilities in the Morristown area. CEO Bisaro added that the new facility will allow the firm to nearly double its New Jersey-based employees to 500 over the next several years. Mr. Bisaro also said that the company has constructed a “green” headquarters building that includes such features as low emission materials throughout, low flow plumbing fixtures to reduce water consumption by 35 percent, and “dramatic steps to reduce office waste by changing many of our fundamental business practices.” Watson is the fifth largest pharmaceutical firm in the nation.

New Jersey’s attraction to the pharmaceutical or life science industry is well established. About 126,000 New Jersey employees work in the life science industry, according to a recent report by the state Department of Labor and Workforce Development. In addition to Watson’s new headquarters in Parsippany, Bayer Health Care has agreed to consolidate its entire East Coast operations in northern New Jersey.

By Stacy Jones
Star-Ledger
June 6, 2011

Hans Goff’s political consulting firm is taking off, but working from home and taking calls on his personal cell phone doesn’t make him feel like much of a legitimate businessman. 

That’s why Goff feels optimistic about the Institute for Entrepreneurial Leadership’s plans for a small business center expected to open next month at 550 Broad St. in Newark. The center would provide Goff and other budding entrepreneurs with low-cost office space, administrative support, IT training and mentorship. 

Goff, who is the founder of Voting Works, drums up publicity for politicians by bringing big name musicians, like John Legend, Questlove and MC Lyte to their events. While working for former Gov. Jon Corzine’s reelection campaign, he brought Michael Williams, who plays Omar on “The Wire,” out for a barbershop tour in Newark. A video of Williams’ appearance generated 24,000 hits to Corzine’s website — enough traffic to crash it. 

He currently works out of Trenton, but he said a move could help his business. 

“If I was based in Newark, it’d be the best of both worlds,’’ Goff said. “I could still work with my New Jersey clients and easily connect with ones in New York City.”  

The Newark-based Institute for Entrepreneurial Leadership announced its plans for the center yesterday during a White House Urban Entrepreneurship Summit at Rutgers University’s Paul Robeson Campus Center. The summit drew a crowd of 600, including business owners, students, government officials and advocates. Newark Mayor Cory Booker and Russell Simmons, co-founder of DefJam, also made appearances. 

Jill Johnson, the institute’s CEO and co-founder, said the center will make it easier for her organization to help small businesses in a collaborative way.  

The center, which will welcome businesses on a first come first serve basis, has several price points to accommodate entrepreneurs. For some, the center will provide basics, including virtual support and a business address, while others can sign up to rent cubicles or whole offices at a discounted rate. 

Johnson said her organization, which paid start-up costs, plans for the center to be self-sustaining. “We anticipate this will grow to be funded by revenue streams from people who are moving their businesses into the space,” Johnson said. 

Similar centers, she added, like NJIT’s tech-focused Enterprise Development Center in Newark, have succeeded in nurturing businesses until they’re established enough to go out on their own.

Michael Blake, associate director of the White House Office of Public Engagement, said an Atlanta-based business center for women entrepreneurs has received positive feedback from the community. 

If the Broad Street center is successful, it could solve a common problem that urban entrepreneurs face.

When business owners can’t find affordable space they take their operations elsewhere and the city misses out on jobs and revenue, said dt ogilvie, a Rutgers University professor and founding director of The Center for Urban Entrepreneurship & Economic Development in Newark.

“The business incubator, or center, isn’t an unusual model. But we haven’t had many of them in Newark,” ogilvie said. “We need to be bold, step out and take risks. Nothing is given to the timid.”