Financing and Incentives
Grants
Business Employment Incentive Program (BEIP)
The New Jersey Economic Development Authority (EDA) awards BEIP grants to expanding or relocating businesses that create jobs in New Jersey. Grants may be awarded for up to 10 years and can range between 10% and 80% of the total amount of state income taxes withheld by the company during the calendar year from the new employees hired. Program requirements include:
- A business receiving the grant must create and maintain at least 25 jobs to qualify.
- For biotech or high-tech businesses need to create and maintain 10 jobs to qualify.
- A business must also demonstrate that the BEIP grant is a "material" factor in moving the job expansion or relocation forward in New Jersey, that it is financially viable.
- BEIP applicants may be eligible for a grant award of up to 50%, equivalent to the total amount of the State income taxes withheld by the business during the calendar year for the new employees hired.
BEIP allows an increase of up to 80% if the company utilizes "Smart Growth" principles.
Business Relocation & Retention and Assistance Grant (BRRAG)
The New Jersey Commerce Commission administers this retention and relocation grant program that is designed to preserve jobs from being relocated out of state. BRRAG offers grants as credit against business tax liability. Grants of up to $1,500 per job retained are payable as a tax credit against a company's corporate tax liability. Program requirements include:
- A business receiving the grant must relocate a minimum of 50 jobs from one or more locations in the state to a new business location or locations in New Jersey.
- Grant values cannot exceed 80 percent of tax payments to the state.
Companies using this BRRAG program may also be eligible for New Jersey's Sales and Use Tax Exemption Program.