Mercer Times

The New Jersey Economic Development Authority (NJEDA) is preparing to introduce a grant program aimed at supporting small businesses in acquiring inactive plenary retail consumption liquor licenses. This initiative, pending approval from the NJEDA Board, will be part of the Main Street Recovery program under the Economic Recovery Act of 2020.

Governor Phil Murphy expressed his support for this legislative change: “Earlier this year I was proud to sign into law legislation that will overhaul New Jersey’s antiquated liquor license laws that have been a burden to small businesses across the state for far too long.” He added that these efforts aim to alleviate financial barriers for small businesses.

The new law signed by Governor Murphy in January seeks to increase available liquor licenses by activating dormant ones. Currently, there are 1,379 such licenses in New Jersey. The NJEDA Liquor License Acquisition program is being developed with input from the Division of Alcoholic Beverage Control (ABC) and will align with the new legal provisions as they become effective. The NJEDA plans to present this grant proposal to their Board in fall 2024, with applications expected to open early in 2025. The ABC has also issued guidance on intermunicipal license transfers and shopping mall licenses.

Tim Sullivan, Chief Executive Officer of NJEDA, stated: “Under Governor Murphy’s leadership, the NJEDA is focused on ensuring small business owners have every tool necessary to succeed and providing opportunities for them to grow and thrive.” He emphasized that assisting restaurants with liquor license purchases could significantly impact their economic success and enhance downtown areas.

The proposed program offers grants up to $100,000 or no more than half of the purchase price of a license. To qualify, applicants must own an inactive plenary retail consumption license at application time, operate continuously for 12 months prior, and meet the SBA's definition of a small business. Applications will be accepted over three years or until funds run out.

For more information about NJEDA resources for businesses, interested parties can contact NJEDA Customer Care or visit their website.