Christie signing increases funding options for small businesses

SPARTA — Legislation sponsored by Assemblyman Parker Space and former Assemblywoman Alison Littell McHose to help new and expanding small businesses access funding was signed into law on Tuesday by Gov. Chris Christie.

Small businesses, under the new law, can use online “crowdfunding” to locate capital investors. The new statute is a version of the federal Jumpstart Our Business Startups Act, commonly referred to as the JOBS Act. Parts of this law have yet to be implemented, necessitating the New Jersey action. State-sponsored crowdfunding initiatives have proven successful in several states, including Georgia and Kansas.

“One of the biggest hurdles for new businesses is accessing adequate funding. This law will help entrepreneurs open their own business, create jobs and achieve the American Dream,” said Space, R-Sussex, Warren and Morris. “Crowdfunding is a new source in the funding toolbox for business. It is a valuable way for the community to invest in local technology breakthroughs."