The legislation, S-123, would establish a “Small Business Bonding Readiness Assistance Program” through the Economic Development Authority, which would provide support to small businesses and help them meet surety bonding requirements so that they can qualify for government contracts.
“This is a game changer for small businesses in New Jersey,” said John Harmon, President and CEO of New Jersey’s African American Chamber of Commerce.
The program is designed to increase the capacity of small businesses by improving their financial presentation, operational efficiency profitability, bonding capacity and knowledge through consulting sessions and workshops. The authority would be required to establish a special nonlapsing revolving fund to provide grant funding to small businesses that participate in the program.
“When more businesses are able to compete for these contracts, the prices go down,” Senator Pennacchio said. “This bill saves the taxpayers of New Jersey some money while making the state friendlier for job creators to build and grow their businesses. I want to thank my co-sponsor, Senator Rice, whose attachment to this legislation made it a truly bipartisan effort.”