A new, independently prepared report details businesses that participated in NOL employ over 31,000 New Jerseyans
TRENTON, N.J. (May 20, 2025) – The New Jersey Economic Development Authority (NJEDA) today released findings from an economic impact assessment of the Technology Business Tax Credit Certificate Transfer Program, known as the Net Operating Loss (NOL) Program. The results found that the NOL Program is crucial to driving economic activity and enhancing business sustainability in the state, contributing to the growth of emerging companies in New Jersey’s technology and biotech sectors.
“Under Governor Phil Murphy’s leadership, New Jersey has significantly expanded its support for entrepreneurs, creating a robust environment where startups can thrive and scale,” said NJEDA Chief Executive Officer Tim Sullivan. “Since its launch in 1999, the NJEDA’s NOL Program has provided nearly 600 emerging technology companies with critical growth capital—driving substantial economic returns, reinforcing the state’s leadership in innovation, and supporting thousands of high-quality jobs.
The report found that more than half of the 589 program recipients since inception continue to operate in New Jersey, employing an estimated 31,200 workers in the state and generating $28.1 billion in direct and indirect economic impact in 2024. Since 1999, participating companies have generated an estimated tax impact of $2.84 billion compared to a program cost of $1.35 billion, contributing $2 in state tax revenue for every dollar in tax credits. The actual survival rate of program recipients is 72 percent, more than doubling the technology industry benchmark of 36 percent.
“BioNJ is honored to have played a pivotal role alongside our legislative partners and the New Jersey Economic Development Authority in the creation and ongoing success of the groundbreaking Net Operating Loss (NOL) Program,” said BioNJ President and CEO, Debbie Hart. “Widely hailed as a financial lifeline for early-stage businesses not yet generating profits, the NOL Program has empowered innovation, fueled job creation, and reinforced New Jersey’s enduring reputation as a national leader in biotechnology and life sciences.”
“The NOL Program is an integral part of the NJEDA’s innovation toolkit, contributing to a thriving startup ecosystem in the state that includes support from academia, government, and the private sector,” said NJEDA’s Chief Economic Transformation Officer Kathleen Coviello. “This economic impact report proves that robust investment in emerging companies results in economic benefits for all New Jerseyans, supporting state tax revenues, family-sustaining jobs, and inventive new ideas and products.”
The independent report was conducted by Econsult Solutions Inc. The study was conducted through data gathering, analysis, and industry benchmarking to assess the program’s outcomes, ensuring an impartial and data-driven assessment of the program’s impact. The full report can be found here.
Up to $75 million in funding is available annually under the NOL program, with $15 million set aside for businesses located in the state’s three Innovation Zones of Newark, Camden, and the Greater New Brunswick area, businesses within Opportunity Zones, or certified minority or woman-owned businesses. Participants can use the capital raised through the NOL Program to help cover allowable costs incurred in connection with operating their businesses such as salaries, R&D, and other working capital expenditures.
Applications for the 2025 NOL program are open and will close at 11:59 p.m. Eastern Daylight Time on Monday, June 30th. For more information on program eligibility and application requirements, visit http://www.njeda.gov/nol.
Apprentice, a fast-growing life sciences technology company based in Jersey City, develops AI-powered manufacturing execution software to modernize and optimize pharmaceutical production. Founded in 2014 to address inefficiencies in drug manufacturing, the company has rapidly expanded, becoming a trusted partner for some of the most advanced therapies on the market. Today, Apprentice’s platform supports the production of critical treatments, including all of Moderna’s manufacturing, GLP-1 weight loss drugs, and cutting-edge CRISPR-based gene therapies.
New Jersey’s strong biotech ecosystem and resources such as the NOL Program played a crucial role in Apprentice’s decision to establish and grow its business in the state. With a dense concentration of pharmaceutical firms, talent, and a business climate supportive of life sciences, New Jersey provided the ideal foundation for Apprentice’s expansion.
“For a startup like us, there was no better place to start the company because so many of the large pharma companies and specifically their manufacturing sites are here in the state,” said Apprentice Co-Founder and Chief Executive Officer Angelo Stracquatanio.
BioAegis Therapeutics, a clinical-stage biopharmaceutical company based in North Brunswick advancing a new approach to immunotherapy by developing innovative therapies, established operations in New Jersey because of its innovation-friendly business climate. In addition to the NOL Program, the company utilized the NJEDA’s Angel Investor Tax Credit Program.
“We looked at Connecticut, New York, and New Jersey, and ultimately chose New Jersey because of its very attractive incentives,” said BioAegis Therapeutics Co-Founder and Chief Operating Officer Valerie Ceva. “Developing a biologic is incredibly capital-intensive…so anything that can monetize those operating losses now is a great benefit.”
About the NJEDA
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 for businesses, call NJEDA Customer Care at 844-965-1125 or visit https://www.njeda.gov and follow @NewJerseyEDA on Facebook, Twitter, Instagram, and LinkedIn.
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