Annie D'Agostino, Author at NJEDA

Big Magic, Inc. Moves to NJIT Incubator with NJEDA Support

TRENTON, N.J. (July 11, 2019) – The New Jersey Economic Development Authority (NJEDA) announced today that health-technology startup Big Magic, Inc. has become the second company approved to benefit from the NJ Ignite program. Big Magic recently moved to VentureLink, the New Jersey Institute of Technology’s (NJIT’s) high-tech accelerator/incubator in Newark.

NJ Ignite helps startup companies realize the benefits of collaborative workspaces – incubators, accelerators, and coworking spaces – by providing up to nine months of rent support for startup technology and life sciences businesses that are moving to an approved collaborative workspace.

Big Magic is a health technology company that advises doctors and other healthcare practitioners on strategies to improve their online reputation and minimize new-patient acquisition costs. The startup also offers webinars on such topics as search engine optimization (SEO) and how doctors can get more new patient referrals.

“With patients instinctively turning to the Internet to read reviews of doctors before scheduling appointments, it’s more important than ever that a physician’s online presence be as polished and engaging as possible,” Big Magic Chief Executive Officer Jose Espinoza said. “We plan to use the money we’re saving through NJ Ignite to further develop our new software that will enable patients to recommend their doctors online.”

Espinoza said Big Magic moved to NJIT’s VentureLink, which rebranded earlier this year after being named the Enterprise Development Center, for three main reasons: to access the technology community at NJIT, particularly the science, technology, education and math (STEM) students; to take advantage of the networking opportunity the workspace provides; and to benefit from the mentorship of university staff.

As one of more than a dozen collaborative workspaces approved to offer rent support through NJ Ignite, VentureLink is New Jersey’s largest technology and life science business incubator. The 108,000-square-foot center currently hosts more than 60 member companies, including NJIT students and alumni. Tenant companies frequently collaborate and share resources and ideas. Espinoza is an NJIT alumnus.

NJ Ignite is made possible through a combination of support from the NJEDA and the collaborative workspace, with the NJEDA covering up to six months’ rent and the workspace covering rent for half the length of NJEDA’s commitment. Due to its affiliation with NJIT, VentureLink can offer its companies participating in NJ Ignite an additional month of rent support.

“Young, growing companies like Big Magic thrive in the synergistic environments that collaborative workspaces offer,” NJEDA CEO Tim Sullivan said. “Startups that operate from collaborative workspaces are far more likely to succeed than companies going it alone. Helping startups through programs like NJ Ignite is vital to the re-emergence of New Jersey as a leader in innovation – a key component of Governor Phil Murphy’s vision for a stronger and fairer New Jersey economy.”

To learn about the various resources available to support the technology industry, visit https://www.njeda.gov/tls and follow @NewJerseyEDA on Facebook, Twitter, and LinkedIn.

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Big Magic, Inc. Moves to NJIT Incubator with NJEDA Support

To learn about the various resources available to support the technology industry, visit https://www.njeda.gov/tls and follow @NewJerseyEDA on Facebook, Twitter, and LinkedIn.

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New Program Includes Bonus for Investing in Low-Income Communities or Minority-, Women-Led Businesses

TRENTON, N.J. (July 10, 2019) – Furthering his commitment to grow New Jersey’s innovation economy by increasing access to funding for early-stage businesses, Governor Phil Murphy signed Assembly Bill 5604 on June 30, expanding New Jersey’s Angel Investor Tax Credit Program. The program, which provides a tax credit for a percentage of an angel investor’s investment in a qualifying emerging New Jersey technology or life science business, helps attract early-stage and growth capital for innovative New Jersey companies.

Under the expanded program, the available tax credit increases from 10 percent to 20 percent of a qualified investment, with an additional five percent bonus available for investments in a business located in a qualified opportunity zone, low-income community, or a business that is certified as minority- or women-owned by the State. The Angel Investor Tax Credit Program is administered by the New Jersey Economic Development Authority (NJEDA), with the assistance of the Department of the Treasury’s Division of Taxation. More information can be found at www.njeda.gov/angeltaxcredit.

“The enhanced Angel Investor Tax Credit will help to attract much needed investors and investments and help companies form, grow, and remain in the Garden State,” said BioNJ President and CEO Debbie Hart. “New Jersey continues to lead the way in medical innovation – discovering and delivering new therapies and cures that are changing the lives of patients around the world. Programs and incentives such as the Angel Investor Tax Credit are core to ensuring that the State remains a global biopharmaceutical hub.”

The Angel Investor Tax Credit Program offers a refundable tax credit against New Jersey corporation business or gross income tax for qualified investments in an emerging technology business with a physical presence in New Jersey that conducts research, manufacturing, or technology commercialization in the state. Businesses must have fewer than 225 employees, and at least three quarters of those employees must work in New Jersey.

Since the program’s inception in 2013 through March 31, 2019, the NJEDA has approved 1,186 applications for investments in 85 New Jersey-based businesses totaling more than $534 million. In 2018 alone, the NJEDA received nearly 250 applications and approved credits for $197 million worth of investments in 46 different companies.

The expanded program parameters, which will be in effect for investments made after January 1, 2020, brings New Jersey’s program in line with similar resources offered by competing states, and will help attract even more angel investors to New Jersey by doubling the available tax credit from 10 percent to 20 percent of qualified investments. It also advances Governor Murphy’s commitments to supporting historically disadvantaged communities and building the most diverse innovation ecosystem in the nation by including a five percent bonus (allowing for a total tax credit of 25 percent) for investments in businesses located in qualified opportunity zones or low-income communities and State-certified minority- and women-owned startups.

“One of the biggest challenges facing angel investors like me is dealing with the significant risk that comes with backing an early-stage company which may not be able to turn a profit for years, if at all. New Jersey’s Angel Investor Tax Credit helps offset that risk, and that makes investments in New Jersey companies much more attractive to me and to other investors,” said Mario Casabona, Founder and CEO of TechLaunch, LLC and Casabona Ventures, LLC. “New Jersey’s legacy is one of innovation and inspiration, boasting countless successes in our past and countless more in our future. The expanded Angel Investor Tax Credit Program will help steer our talented technology ecosystem toward profitable and enviable achievements.”

In addition to the Angel Investor Program, the NJEDA provides a variety of resources for businesses at every stage of the startup process. From NJ Founders and Funders events that connect Jersey-based entrepreneurs with investors, to the NJ Ignite rent-support program that provides free rent to startups leasing space in participating coworking facilities, and the Technology Business Tax Certificate Transfer Program, (commonly known as the Net Operating Loss (NOL) Program) which allows companies to sell unused net operating losses and Research and Development tax credits for nondilutive working capital, New Jersey has many programs to support entrepreneurs throughout the process of launching and growing their businesses.

“Innovation is what allows today’s emerging New Jersey-based companies to become tomorrow’s major New Jersey-based companies. It drives sustainable economic growth at a time when re-establishing New Jersey’s position as a national innovation leader is critical to building a stronger, fairer economy,” said NJEDA Chief Executive Officer Tim Sullivan. “This is why the Governor’s comprehensive economic plan identified the expansion of the Angel Investor Tax Credit as an impactful way to support early-stage companies, and ensure New Jersey is home to innovative companies for years to come.”

To read Governor Murphy's full economic plan, please visit: https://nj.gov/economicplan

About the New Jersey Economic Development Authority
The New Jersey Economic Development Authority (NJEDA) serves as the State’s principal agency for driving economic growth. The NJEDA is committed to making New Jersey a national model for inclusive and sustainable economic development by focusing on key strategies to help build strong and dynamic communities, create good jobs for New Jersey residents, and provide pathways to a stronger and fairer economy. Through partnerships with a diverse range of stakeholders, the NJEDA creates and implements initiatives to enhance the economic vitality and quality of life in the State and strengthen New Jersey’s long-term economic competitiveness.

To learn more about EDA resources for businesses call EDA Customer Care at 609-858-6767 or visit https://www.njeda.gov and follow @NewJerseyEDA on Facebook, Twitter, and LinkedIn.

The New Jersey Economic Development Authority's next public Board Meeting will be held on Tuesday, July 16, 2019 at 10 a.m. at the EDA offices at 36 West State Street, Trenton. A copy of the proposed agenda can be found prior to the meeting at www.njeda.gov/Board. Following the Board Meeting, minutes and the full agenda will also be available at www.njeda.gov/Board.

From left: M&T Bank Vice Presidents Shrini Rao and Surinder Chauhan, NJEDA Director of Business Development – South Derrick Benns, ACG Administrators Michael Szubrowski and Claudia Alves, ACG COO Joseph Fantuzzo, ACG CEO David Good, NJEDA Managing Director of Business Development Paul Ceppi, NJEDA Senior Business Development Officer Kathleen Durand.

New Location Serves as Company's National Headquarters

TRENTON, N.J. (July 2, 2019) – Representatives from the New Jersey Economic Development Authority (NJEDA) visited Alliance Calibrations Group (ACG) in North Brunswick today to highlight the low-cost financing solutions available from the NJEDA to New Jersey’s small businesses. ACG received financing from M&T Bank with an NJEDA participation to enable the company to purchase an 11,000-square-foot facility in North Brunswick.

ACG provides calibration, setup, installation, repair services, and preventive maintenance for analytical instruments that are used in the laboratories of pharmaceutical, chemical, and cosmetic companies, as well as criminal investigation labs throughout the country. ACG is an International Organization for Standardization (ISO) 17025-accredited laboratory.

ACG’s clients include businesses of all sizes – from the largest of pharmaceutical companies to the smallest of biotechnology startups.

“As a small business owner, I am dedicated to providing individualized attention to all of our clients,” ACG President and Chief Executive Officer David Good said. “Operating here in New Jersey, with its vibrant life sciences sector, puts us near a built-in customer base, and offers logistical advantages that facilitate a global reach. We thank M&T Bank and the NJEDA for supporting us in finally purchasing our own facility.”

NJEDA has several financing options to support the growth of small businesses in the Garden State. This includes either low-interest financing directly to small businesses through NJEDA, or NJEDA participation or guarantees of bank financing, which reduces the lender’s risk and lowers the cost of borrowing for the business. Visit https://www.njeda.gov/lending to learn more about available resources.

Today’s visit also showcased the vital role companies like ACG play in New Jersey’s innovation economy.

“At the NJEDA, we’re focused on creating opportunities for businesses like ACG, which provide critical products and services to companies in New Jersey’s innovation economy, enabling them to better serve their customers in the local and global marketplace,” said Paul Ceppi, NJEDA Managing Director of Business Development.
Ceppi was joined at today’s visit by Kathleen Durand, NJEDA Senior Business Development Officer and M&T Bank Vice President Shrini Rao.

“M&T Bank appreciates the ongoing relationship that we have with the NJEDA and the benefit it provides us in offering more flexible financing options to our customers,” Rao said.

About the New Jersey Economic Development Authority
The New Jersey Economic Development Authority (NJEDA) serves as the State’s principal agency for driving economic growth. The NJEDA is committed to making New Jersey a national model for inclusive and sustainable economic development by focusing on key strategies to help build strong and dynamic communities, create good jobs for New Jersey residents, and provide pathways to a stronger and fairer economy. Through partnerships with a diverse range of stakeholders, the NJEDA creates and implements initiatives to enhance the economic vitality and quality of life in the State and strengthen New Jersey’s long-term economic competitiveness.

To learn more about NJEDA resources, call NJEDA Customer Care at 609-858-6767 or visit https://www.njeda.gov and follow @NewJerseyEDA on Facebook, Twitter, and LinkedIn.

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TRENTON, N.J. (June 26, 2019) – Today, the New Jersey Economic Development Authority (NJEDA) announced that it has issued a formal request for additional information to six companies across the state regarding their Grow New Jersey (Grow NJ) tax credits.

The letters are being sent to Conner Strong & Buckelew Companies, LLC; Cooper Health System; Holtec International; NFl, L.P.; Teva Pharmaceuticals USA, Inc.; and The Michaels Organization, LLC; to afford the companies the opportunity to respond in writing to a range of recent developments, including last week’s report from the Task Force on NJEDA Incentives and a recent legal settlement. Letters may be sent to additional companies as needed.

Any significant change to a company's Grow NJ award, including a reduction in the amount of the award, a suspension, or termination may require an action of the NJEDA Board. Today's letters will initiate a process to allow NJEDA staff to make informed decisions, which may include recommendations to the Board for any potential actions, if warranted.

"We have no higher obligation than to serve as stewards of taxpayer dollars, and the process we are initiating today will enable our team to make a determination of appropriate next steps with regard to these specific companies," NJEDA CEO Tim Sullivan said. “Transparency and accountability should be the hallmark of any public investment program, and we take any allegations of wrongdoing very seriously."

About the New Jersey Economic Development Authority
The New Jersey Economic Development Authority (NJEDA) serves as the State’s principal agency for driving economic growth. The NJEDA is committed to making New Jersey a national model for inclusive and sustainable economic development by focusing on key strategies to help build strong and dynamic communities, create good jobs for New Jersey residents, and provide pathways to a stronger and fairer economy. Through partnerships with a diverse range of stakeholders, the NJEDA creates and implements initiatives to enhance the economic vitality and quality of life in the State and strengthen New Jersey’s long-term economic competitiveness.

To learn more about EDA resources for businesses call EDA Customer Care at 609-858-6767 or visit https://www.njeda.gov and follow @NewJerseyEDA on Facebook, Twitter, and LinkedIn.

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A meeting of the Capital City Redevelopment Corporation (CCRC) Board has been scheduled for Thursday, June 27, 2019 at 10:00 am in the EDA Board Room, 36 West State Street, Trenton, NJ.

A copy of the proposed agenda can be found at http://web.njeda.com/ccrc/page.aspx?id=2461

Under the leadership of CEO Jeff Kozloff, TrialScope supports
pharmaceutical companies conducting clinical trials around the world.

TRENTON, N.J. (June 24, 2019) – A combination of resources from the New Jersey Economic Development Authority (NJEDA), a growth equity investment from three venture capital firms including Edison Partners, and proximity to numerous global pharmaceutical giants has helped Hudson County-based TrialScope support pharmaceutical companies conducting clinical trials around the world.

Operating out of an office in Jersey City, TrialScope helps pharmaceutical companies through the clinical-trial regulatory approvals process. The company’s proprietary software provides clients with proven solutions designed to optimize the efficiency of clinical trial disclosure activities, maximize trial data transparency, and foster more informed patients through open research sharing by repurposing clinical study results into engaging narratives. TrialScope also routinely collaborates with its clients to spread the word about the importance of patient participation in clinical trials and the benefits that the data can have on future generations.

“With over 50 different registries for clinical trials being conducted in more than 90 countries worldwide, TrialScope’s services and expertise guide scientists as they strive to discover breakthrough therapies and develop life-saving cures,” Chief Executive Officer Jeff Kozloff said. “Leveraging the NOL Program and an influx of capital from the Edison Partners investment has enabled us to offer a trifecta of services to our clients.”

In addition to benefitting from close proximity to the 13 top pharmaceutical companies located in New Jersey and the Garden State’s 3,200 life sciences facilities, TrialScope’s location in New Jersey also allows it to benefit from the State’s Technology Business Tax Certificate Transfer Program, also known as the Net Operating Loss (NOL Program). Kozloff said the program has been instrumental in his company’s growth this past year, helping TrialScope expand from 35 to 40 employees in New Jersey.

Heralded as a lifeline for companies to raise funding before they reach profitability, the NOL Program enables eligible technology and life sciences companies to sell New Jersey net operating losses and unused research and development tax credits to unrelated profitable corporations for cash. The NOL program is jointly administered by the NJEDA and the New Jersey Department of Treasury’s Division of Taxation. Emerging technology and life sciences companies in the Garden State have until the June 30 deadline to apply to this year’s program. The application can be found at https://www.njeda.gov/nol.

In addition to supporting TrialScope through the NOL program, the NJEDA also made a strategic investment in the company through Edison VII, a fund of the growth equity firm Edison Partners. Princeton-based Edison Partners’ family of funds has a longstanding history of combining strong fund performance with significant job creation in New Jersey. Through its nine funds, 47 investments have been made in New Jersey-based companies totaling more than $200 million and resulting in the creation of over 3,400 jobs. The NJEDA has invested in six of Edison Partners’ funds.

“New Jersey has long been an epicenter of the pharmaceutical world, but we cannot take our leadership in this growing sector for granted,” NJEDA Chief Executive Officer Tim Sullivan said. “Providing the resources innovative young companies like TrialScope need to grow is critical to building a stronger innovation economy in New Jersey and supporting long-term, equitable growth.”

To learn more about NJEDA resources for life sciences companies, call NJEDA Customer Care at 609-858-6767 or visit https://www.njeda.gov/tls and follow @NewJerseyEDA on Facebook, Twitter, and LinkedIn.

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Under the direction of CEO Khoso Baluch, CorMedix Inc. is scaling up development of Neutrolin® with support from the NOL Program.

TRENTON, N.J. (June 13, 2019) – Berkeley Heights-based CorMedix Inc. (NYSE American: CRMD) rang the closing bell at the New York Stock Exchange on Monday, June 10 in celebration of the successful Phase 3 results of its lead investigational product, Neutrolin®, for use in hemodialysis patients requiring central venous catheters. The biotechnology company credits New Jersey’s Technology Business Tax Certificate Transfer Program, more commonly known as the Net Operating Loss (NOL) Program, with providing growth capital necessary to continue development of Neutrolin®.

Jointly administered by the New Jersey Economic Development Authority (NJEDA) and the New Jersey Department of Treasury’s Division of Taxation, the NOL Program enables eligible technology and life-sciences companies to sell New Jersey net operating losses and unused research and development tax credits to unrelated profitable corporations for cash. Emerging technology and life sciences companies in the Garden State have less than three weeks left to apply before the June 30 deadline for this year’s program. The application can be found at https://www.njeda.gov/nol.

For more than two decades, the NOL Program has been heralded as a lifeline for companies that have not yet reached profitability.

“The funding that we received through the NOL Program is non-dilutive, which means that this working capital allows us to continue to work toward commercialization without issuing stock in return for the funding,” CorMedix Chief Executive Officer Khoso Baluch said.

Khoso describes Neutrolin® as a novel, non-antibiotic antimicrobial solution designed to prevent costly and dangerous bloodstream infections associated with the use of central venous catheters. The U.S. Food and Drug Administration (FDA) has designed both a Fast-Track designation and a Qualified Infectious Disease Product Designation (QIDP) as recognition of Neutrolin®’s potential to fulfill an unmet need for medical care. With QIDP, Neutrolin® will have five years of market exclusivity in addition to the five years of exclusivity it will obtain upon approval as a new chemical entity. CorMedix currently has 10 employees in New Jersey but expects a significant increase in the next several years.

When asked why CorMedix chose to grow in New Jersey, Baluch pointed to the state’s ecosystem of large pharmaceutical companies and smaller biotechnology businesses. He also stressed that New Jersey offers his company “the right talent pool of people” to further develop its pipeline of products, as well as the abundance of resources, such as the NOL Program.

“The NOL Program is often cited by early-stage companies as a highly useful resource and one of the biggest advantages of locating in the Garden State,” NJEDA CEO Tim Sullivan said. “Through existing and proven resources like the NOL Program, coupled with new programs and initiatives currently being developed for emerging technology and life sciences companies, NJEDA continues to work in support of Governor Murphy’s vision of reclaiming New Jersey’s role as a leader in innovation.”

CorMedix was one of 49 companies to participate in the NOL Program in 2018.

To learn more about NJEDA resources for life sciences companies, call NJEDA Customer Care at 609-858-6767 or visit https://www.njeda.gov/tls and follow @NewJerseyEDA on Facebook, Twitter, and LinkedIn.
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TRENTON, N.J. (June 13, 2019) – The New Jersey Economic Development Authority (NJEDA) today announced that it has closed a $250,000 convertible note to Monmouth County-based Additive Orthopaedics through the NJ CoVest Fund. The Fund is designed to help emerging technology and life sciences companies bridge the funding gap between product development and commercialization and further the NJEDA’s ability to support the businesses throughout their growth lifecycle.

Additive Orthopaedics, located in Little Silver, is an early-stage company focused on integrating advanced manufacturing and biologics to develop orthopaedic implants and devices for foot and ankle repairs. With an emphasis on trauma and limb salvage treatments, the products can be customized for individual patients. For example, Additive Orthopaedics is able to use a patient’s CT scan to generate a 3D printed bone or joint replacement to help patients who would otherwise be faced with an amputation or joint fusion.

Additive Orthopaedics Chief Executive Officer (CEO) Greg Kowalczyk noted that his company plans to use funding from the NJ CoVest Fund to hire new employees, finance additional research and development, and obtain necessary regulatory approvals.

“New Jersey offers many resources for entrepreneurs, like myself, who are eager to expand the reach of their companies,” Kowalczyk said. “We’re at a critical time in Additive’s lifecycle and support from the NJ CoVest Fund will be instrumental in our plans to advance this incredible technology that has potential to provide life-changing devices to surgeons and their patients.”

“Additive Orthopaedics is at the nexus of advanced manufacturing and life sciences – two focus sectors identified by Governor Murphy’s comprehensive economic plan as essential to reclaiming New Jersey’s role as a leader in innovation,” NJEDA CEO Tim Sullivan said. “Achieving this vision hinges on our ability to support companies in high-growth sectors that are changing lives not only through the products they offer, but also through the career opportunities they provide.”

The NJ CoVest Fund provides funding to New Jersey-based early-stage technology companies in the form of convertible notes with warrants, requiring a negative pledge and springing lien on protected intellectual property. No payments are required on the notes for seven years to allow companies sufficient time to grow. With a total funding pool of $3 million, eligible technology companies can receive investments ranging from $100,000 to $250,000. NJ CoVest funds feature three percent interest and 10-year maturity.

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