Murphy on state’s quick actions for tech companies: ‘Proud that we can lead the pack in doing this’

Murphy on state’s quick actions for tech companies: ‘Proud that we can lead the pack in doing this’

Gov. stressed Phil Murphy on Monday state support for companies affected by the recent failures of two banks — Silicon Valley Bank in California and Signature Bank in New York.

Apart from the discussion three initiatives being launched through New Jersey Economic Development AuthorityMurphy said the state wants to make a statement about its support for those affected.

“Our goal is to ensure that every New Jersey company caught in this mess is able to keep the lights on, meet payroll, pay rent and continue their day-to-day operations,” he said. . “Ensuring the success of innovation-driven New Jersey businesses is an important part of building the Next New Jersey economy.

“Now, more than ever, it is important that our state supports companies that contribute to our economy, innovation ecosystem and dynamism of our cities.”

New Jersey is just one of several states actively seeking and announcing solutions this weekend. SVB collapsed on Friday; The signature was closed at the end of the week.

“I’m proud that we can lead the group in doing this,” he said.

Despite the federal government’s promise to return the full amount of deposits at both banks — more than the usual $250,000 — Murphy said the state is moving forward with three initiatives.

On Monday morning, the EDA launched its Angel Match program to help early-stage businesses fill funding gaps as they scale their operations and refine their products.

On Wednesday, Murphy said that the Entrepreneur Support Program will be launched to support the payment of loans to investors advanced for working capital purposes. The program is specifically designed to help companies facing a liquidity crisis.

In addition, the EDA will schedule a special board meeting for consideration of additional measures to provide emergency liquidity.

“By offering this suite of programs for New Jersey entrepreneurs impacted by SVB and Signature’s collapse, we will continue to keep residents employed and support companies that are important to our innovation ecosystem and our economic future,” Murphy said.