Applications went live Dec. 16 for a new state aid program essentially paying restaurants struggling from the pandemic to prepare meals for thousands of needy residents across the state – after Newark rolled out a similar program.
Known as the Sustain and Serve NJ Program, the new form of COVID-19 relief entails grants of at least $100,000 that would go toward nonprofit organizations to bulk purchase meals from local restaurants and provide them to low-income residents. While restaurants cannot apply for any such grants, they can still promote themselves as businesses that can take part in the program and prepare the bulk meals.
Applicants have to show that they have experience with prior bulk purchases of at least 3,000 meals, valued at $50,000 or more, from New Jersey-based restaurants since the pandemic hit the state on March 9. Under the program, meals cannot be resold. Applications are due by Jan. 8.
“We know the restaurant industry has been hit particularly hard, and we are committed to ensuring restaurants have the resources they need to stay in business while keeping their employees and customers safe,” Tim Sullivan, who heads the state agency, said in a Dec. 16 statement.
Participating restaurants have to be capped at 50 employees and have a physical location in New Jersey. And they have to show how the pandemic has hurt their business.
The New Jersey Economic Development Authority, which before the global pandemic provided economic incentives to entice businesses to move into New Jersey and set up shop there, or expand their Garden State footprint, has since pivoted much of its energy toward monetary help to keep these businesses afloat as they operate at greatly reduced capacity.
As of Nov. 23, the NJEDA awarded $142 million in COVID-19 relief grants to 31,447 employers across the state, according to agency data.
That’s on top of another 280 loans worth $7 million, which the state awarded through partnering with six separate hyperlocal financial institutions and banks.
Under a low-interest, deferred payment loan program, which provides up to $100,000 in financing for businesses that make up to $5 million, the state awarded $10.5 million to 154 businesses as of Dec. 14.
In April, the NJEDA rolled out a COVID-19 relief program called the Entrepreneur Support Program. Under this scheme, the agency is setting aside $5 million to provide loan guarantees – or collateral – for investments made as of March 9 when declared the state’s public health emergency.
As of Nov. 9, the program supported investments in at least 12 companies with over $1.8 million in guarantees.
Under a program meant to subsidize the costs for businesses to buy personal protective equipment – like gloves, masks and hand sanitizer – the state awarded nearly $7.5 million of discounts to 8,766 businesses.
