NJEDA Opens Applications for ESOP Assistance Program

TRENTON, N.J. (May 5, 2025) – The New Jersey Economic Development Authority (NJEDA) today opened applications for the Employee Stock Ownership Plan (ESOP) Assistance Program. The program, which was approved by the NJEDA Board in April, aims to increase employee ownership models in the state, which can provide employees with opportunities to have a greater stake in a business, generate sustainable and equitable wealth, and ensure greater financial security, while supporting business owners in transition planning.

WHAT:            The ESOP Assistance Program will connect applicants with an approved contractor to perform feasibility study services and provide technical assistance in the creation of an ESOP, an employee ownership model in which employees retain interest in shares of a company through holding corporate stock in a trust. ESOPs are successful nationwide and around the state, creating and sustaining wealth for employee owners. New Jersey is home to close to 90 ESOPs, nearly $65 billion in plan assets covering over 423,000 current employees and retirees, with an average stock account for eligible current employees of close to $190,000. 

In February, Onyx Partners Group and Lazear Capital Partners were approved by the NJEDA Board as contractors for the ESOP Assistance Program. Both firms are experienced in ESOP transitions, including the design and development of feasibility studies and valuations.

WHO:               Eligible businesses must be located in New Jersey, have at least 20 full-time employees, and be in good standing with the New Jersey Department of Labor and Workforce Development and the New Jersey Department of Environmental Protection. For more information on eligibility, click here.

WHEN:            Applications for the ESOP Assistance Program are open and will be accepted on a rolling basis. For any questions regarding the program, please contact ESOPAssistanceSupport@njeda.gov.

An informational webinar on the ESOP Assistance Program will be held Wednesday, May 28, at 1:00 P.M. in collaboration with the Rutgers School of Management and Labor Relations. To register, click here.

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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