Bergen County's EDC provides low-cost financing.The Bergen County Economic Development Corporation (BCEDC BCEDC Bay City Economic Development Corporation (Michigan) ), based in Hackensack, New Jersey, has announced the availability of low-cost financing through a partnership with the New Jersey Economic Development Authority The New Jersey Economic Development Authority (EDA) is an independent, quasi-governmental self-supporting entity in the U.S. state of New Jersey dedicated to broadening and expanding the state's economic base. (NJEDA NJEDA New Jersey Economic Development Authority ). Bergen County launched the Bond Partnership Program in July, 1999. "On average, Bergen County businesses will save $350,000 over the life of a 20-year loan secured through our Bergen County Bond Partnership Program," BCEDC chairman Joseph Simunovich said. This is the result of the reduced fees negotiated by the BCEDC with the six banks involved - Chase Manhattan Bank The Chase Manhattan Bank, now part of JPMorgan Chase, was formed by the merger of the Chase National Bank and the Bank of the Manhattan Company in 1955. The bank is headquartered in New York City. , Commerce Bank/North, First Union, Fleet Bank/New Jersey, PNC PNC Purdue University North Central (Westville, Indiana) PnC Point 'n Click PNC Police National Computer PNC People's National Congress (Guyana) PNC People's National Congress , and Summit Bank. Executive director Terry dunn Egan reported that there has been a lot of interest in the bond program. "It is particularly well-suited to mid-size manufacturers that are expanding or relocating and are currently borrowing at prime plus one to two points," dunn Egan explained. "This kind of value-added service is exactly what we seek to introduce to Bergen County businesses through our Economic Development Corporation," county executive William "Pat" Schuber said. "Our manufacturers have been the lifeblood of our economy and will remain a vital part of our core economy." The Bond Partnership Program is geared to the needs of small and medium-sized businesses and provides financing ranging from a minimum of $750,000 to a maximum of $10 million for manufacturing projects. Tax-exempt bond Tax-exempt bond A bond usually issued by municipal, county, or state governments whose interest payments are not subject to federal and, in some cases, state and local income tax. tax-exempt bond See municipal bond. financing is also available to certain assisted living as·sist·ed living n. A living arrangement in which people with special needs, especially older people with disabilities, reside in a facility that provides help with everyday tasks such as bathing, dressing, and taking medication. facilities and non-profit organizations. There is no ceiling on the amount of the loan for these types of businesses. Taxable bond financing is available to these groups as well as to retail and commercial businesses, and businesses engaged in warehouse and distribution operations. Approved uses of the capital loaned to businesses through the Bergen County Bond Partnership Program include the acquisition of land or facilities for expansion; construction or reconstruction of facilities; and purchase of equipment and machinery. In addition to lower capital costs there are additional financial advantages to businesses receiving capital loans through the Bond Partnership Program, including reduced bank fees. Other NJEDA lending programs can also be combined with the bonds to enhance the structure of the financing. |
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