Press Release
June 6, 2020
4 minute read

NJEDA Announces Pending Expansion of Non-Profit Eligibility for $45 Million Grant Program Launching June 9th

Change Would Extend Benefits to Non-Profits Supporting Veterans, Membership-Driven Business/Industry Groups
TRENTON, N.J. (June 6, 2020) – The New Jersey Economic Development Authority (NJEDA) has announced that it will pursue approval from its Board on Tuesday, June 9 to allow all types of 501(c) non-profit organizations to apply for funding under the second phase of the Small Business Emergency Assistance Grant Program. Only 501(c)(3), 501(c)(4), 501(c)(7) organizations were eligible in Phase 1.

The change will allow for all 501(c) non-profits to apply for funding, including veterans organizations and business and industry groups.

The application for the $45 million program, which provides grants of up to $10,000 to small businesses and non-profits impacted by the coronavirus pandemic, will be available at 9:00 a.m. on June 9, 2020 in both English and Spanish. All 501(c) organizations are welcome to apply; approval will be conditioned on Board approval of the expansion of eligibility (as well as other eligibility requirements). A sample application that business owners can use to prepare is available in English, Spanish, and ten additional languages at   

“Veterans in New Jersey are struggling through this crisis and we need strong veteran service organizations to be part of the recovery. I’m proud to have worked with Tim Sullivan and his team at NJEDA and veteran leaders in our community to help provide support to our veteran service organizations so they can continue delivering for those who served our nation,” said Congressman Andy Kim (NJ-03).

Under the Phase 1 of the grant program, which launched on April 3 with $5 million in NJEDA funds, only 501(c)(3), 501(c)(4), and 501(c)(7) organizations were eligible to apply for grants of up to $5,000. The program was quickly oversubscribed.  The change being proposed to the NJEDA Board on Tuesday would enable all types of 501(c) non-profit entities to apply for grants of up to $10,000. This includes 501(c)(6) organizations, the designation for membership-based business and industry groups, as well as 501(c)(19) veterans’ organizations. While this change in eligibility is contingent upon the Board’s approval, all 501(c) organizations can apply for funding along with other eligible small businesses and non-profit organizations to enable them to apply before the program becomes oversubscribed.

“Veterans services organizations provide a safety net for men and women who have sacrificed for our country as they return to their everyday lives,” said Senator Vin Gopal (D-Long Branch), who chairs the state Senate Military and Veterans Affairs Committee. “It is our duty to make sure they have they have the mental health, financial, and career resources they need to successfully make that transition.”

To support the Governor’s commitment to diversity and inclusion, one-third of funding allocated to Phase 2 will be reserved for businesses in any of the 715 census tracts that were eligible to be selected as a New Jersey Opportunity Zone. Business owners can check if their business is located in an eligible zone using the OZ Mapping Tool.

“We owe it to our military veterans to ensure continuity of the resources they need to thrive, and sometimes merely to survive,” said Assemblywoman Cleopatra Tucker (D-Essex). “Veteran-focused non-profits are sometimes the only constant in veterans’ lives, and given all they have sacrificed, we can’t let them down.”
Eligibility changes for Phase 2 included increasing the employee cap for businesses from 10 full-time employees (FTEs) to 25 FTEs and remove the NAICS code restrictions that were in place for Phase 1 to allow almost all businesses as well as certain nonprofit organizations to qualify for funding. Phase 2 also makes grants available to home-based businesses and sole proprietorships, which were ineligible during Phase 1.

“The proposed expansion of eligibility for the Small Business Emergency Grant Program will ensure the continuity of crucial resources and services that sustain our communities,” said NJEDA CEO Tim Sullivan. “We encourage all 501(c) organizations interested in pursuing grants to apply when the application goes live at 9:00 a.m. on Tuesday, June 9th.”
The application will be available in English and Spanish and the NJEDA has contracted for interpretation services to support speakers of ten additional languages – Arabic, Chinese (Mandarin and Cantonese), Gujarati, Hindi, Italian, Korean, Polish, Portuguese, and Tagalog. Sample applications in each of these languages are available at

The outbreak of novel coronavirus has created a major public health crisis in New Jersey. To slow the spread of the virus, Governor Phil Murphy implemented a variety of containment measures, including restrictions on public gatherings and mandated closure of non-essential businesses. To mitigate the economic impacts of these public health policies, the NJEDA created the Small Business Emergency Assistance Grant Program. During Phase 1, the NJEDA has provided more than $8 million in grants to date to nearly 2,500 businesses across all 21 counties.

The NJEDA received $50 million from the federal Coronavirus Relief Fund established under the Federal Coronavirus Aid, Relief, and Economic Security (CARES) Act to support small businesses. The NJEDA will provide an additional $5 million to fund businesses that were waitlisted during Phase 1.  The NJEDA will use $45 million to fund Phase 2, which will provide grants up to $10,000 to a significantly broader range of businesses than were previously eligible.
Applications for Phase 2 of the Small Business Emergency Assistance Grant Program will be available on June 9, 2020. NJEDA staff will process the applications on a first-come, first-served basis. There will be no application fee.
As part of the application, the business’s Chief Executive Officer or equivalent officer must certify that the company was in operation on February 15, 2020, has been negatively impacted by the COVID-19 outbreak, and will make a best effort not to furlough or lay off any employees. To comply with duplication of benefits provisions within the Stafford Act, all applicants will also be required to fill out an affidavit identifying all funding previously received related to COVID-19, including Small Business Administration loans and grants, forgivable portions of Payroll Protection loans, and Economic Injury Disaster grants.
Comprehensive information about New Jersey’s coronavirus response is available at
 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 for businesses call NJEDA Customer Care at 609-858-6767 or visit and follow @NewJerseyEDA on FacebookTwitter, and LinkedIn.