The New Jersey Economic Development Authority (NJEDA) has unveiled findings from an economic impact assessment of its Technology Business Tax Credit Certificate Transfer Program, commonly referred to as the Net Operating Loss (NOL) Program. The report highlights the program’s significant role in fostering economic activity and supporting business sustainability within New Jersey’s technology and biotech sectors.
Tim Sullivan, NJEDA Chief Executive Officer, stated, “Under Governor Phil Murphy’s leadership, New Jersey has significantly expanded its support for entrepreneurs, creating a robust environment where startups can thrive and scale.” He noted that since 1999, the NOL Program has offered nearly 600 emerging technology companies essential growth capital.
According to the report, over half of the 589 program recipients continue operations in New Jersey. These businesses employ approximately 31,200 individuals and contributed $28.1 billion in direct and indirect economic impact during 2024. The companies have also generated an estimated tax impact of $2.84 billion against a program cost of $1.35 billion since inception.
BioNJ President and CEO Debbie Hart remarked on the program’s importance: “BioNJ is honored to have played a pivotal role alongside our legislative partners and the New Jersey Economic Development Authority in the creation and ongoing success of the groundbreaking Net Operating Loss (NOL) Program.”
Kathleen Coviello, NJEDA’s Chief Economic Transformation Officer, emphasized that “the NOL Program is an integral part of the NJEDA’s innovation toolkit,” which supports a thriving startup ecosystem through collaboration among academia, government, and private sectors.
Econsult Solutions Inc., an independent firm, conducted this study through data gathering and industry benchmarking to provide an impartial assessment of the program’s outcomes.
Annually up to $75 million is available under this initiative with specific allocations for businesses located in Newark, Camden, Greater New Brunswick area Innovation Zones or Opportunity Zones as well as certified minority or woman-owned enterprises.
Applications for participation in the 2025 NOL program are currently open until June 30th at midnight Eastern Daylight Time. More details regarding eligibility criteria can be found on http://www.njeda.gov/nol.
Apprentice Co-Founder Angelo Stracquatanio praised New Jersey’s conducive environment for life sciences firms: “For a startup like us there was no better place…because so many large pharma companies specifically their manufacturing sites are here.”
Valerie Ceva from BioAegis Therapeutics shared similar sentiments about choosing New Jersey due to its incentives: “We looked at Connecticut NY & ultimately chose NJ because it offers very attractive incentives.”
