August 24, 2023 Empowering Black Businesses in NJ

How a few NJ companies are supporting Black-owned businesses in the state through funding and initiatives, driving economic equality.

August is Black Business Month, and though almost 45% of New Jersey’s 8.9 million residents are people of color and more than 200,000 businesses in the Garden State are minority-owned, those businesses historically do not have access to or receive as much funding as their white counterparts.

Minority and Women Owned Business Enterprises comprise over half of the firms in state, with 237,242 minority owned firms and 252,944 women owned firms. Notably, one-third of all New Jersey business owners are foreign-born, with almost half of “Main Street” businesses owned by immigrants. The diversity of the state is one of its key strengths that drives productivity, innovation and growth.

To combat this, the New Jersey Economic Development Authority (NJEDA) and the New Jersey Business Action Center (NJBAC) have teamed up to offer unique programs aimed at supporting minority business owners. In partnership with the African American Chamber of Commerce of New Jersey, the NJBAC and NJEDA offer the Small Business Bonding Readiness Assistance Program (SBBRP) to Black-owned businesses looking to expand or bid on county, state or federal government contracts.

The program offers training and surety bond education through a series of workshops and strategic consulting sessions designed to increase small businesses’ bonding knowledge and capacity. Since the program was first launched in 2018, 105 small, minority and women-owned businesses have graduated, with 50 of those qualifying for a total of $40 million in government contracts.

The NJEDA and NJBAC offer programs ranging from e-commerce assistance, innovation funding, film tax credits and more to support a wide range of services and offerings for businesses small and large.

To further support Black Businesses in the Garden State, New Jersey Community Capital (NJCC), the state’s largest community development financial institution (CDFI), uses funds from the New Markets Tax Credit (NMTC) to attract private investment capital to economically distressed communities. The support from the U.S. Department of the Treasury has allowed NJCC to expand their impact by helping to create quality, accessible jobs and real estate opportunities for Black-owned businesses while helping low- income and underserved communities become places of security, vibrancy and opportunity.

Specifically, NJCC has used these funds to provide jobs and economic opportunities for hundreds of New Jersey residents like the Second Street Youth Center in Plainfield. With the $8.8M allocation from the NJCC the community now has access to a state-of-the-art, high-quality and affordable educational facility, allowing their children to grow and learn in a safe and nurturing environment.

New Jersey remains an inclusive and welcoming state with resources to back up the big ideas set forth by the Murphy Administration. Click here for more details on the programs and resources offered by NJCC, NJEDA and NJBAC.

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