Loan Programs in response to Covid 19

​LOAN PROGRAMS

Small Business Administration – Economic Injury Disaster Loans (EIDL) (federal)
New Mexico is one of the first states to be approved for the SBA’s $50 billion disaster loan assistance program. Disaster loan assistance will be available for businesses in all 33 counties. Press release issued 3/17/20.

• SBA’s Economic Injury Disaster Loans offer up to $2 million in assistance
• The interest rate is 3.75% for small businesses without credit available elsewhere; businesses with credit available elsewhere are not eligible (request for financial forms to make assessment of cash flow and asset). The interest rate is 2.75% for non-profits
• Long-term repayments in order to keep payments affordable, up to a maximum of 30 years.
• Website: SBA.gov/disaster. 1-800-659-2955 or email disastercustomerservice@sba.gov
• Expected processing time: 2 – 3 weeks followed by 5 days for first disbursement

COVID-19 Business Loan Guarantee Program

The New Mexico Economic Development Department (NMEDD) has created a program to assist businesses seeking emergency loans or lines of credit to deal with negative economic impacts from COVID-19. NMEDD can guarantee a portion of a loan or line of credit up to 80% of principal or $50,000. Loan proceeds are flexible and can be used for (and not limited to) the following: working capital, inventory and payroll.
Lenders and borrowers can apply here. Or Download a PDF version of the application.
Contact: Johanna Nelson, Johanna.Nelson@state.nm.us or 505.469.6204.

LEDA Zero-Percent Interest Loans

• Limited to expenditures for land, building and infrastructure
• Can be used for lease abatement or mortgage assistance
• Company must be a qualified entity (manufacturer, non-retail service business with more than 50% of revenue generated out of state, or a retail business in a community of less than 15,000 in population)
• All loans will be required to provide security equal to the amount of the loan

Contact: Mark Roper, Mark.Roper@state.nm.us or 575.562.0327

MISCELLANEOUS

Personal Income and Payroll Tax Extension
New Mexicans now have an extra 90 days to file and pay their 2019 personal income taxes in recognition of the economic hardships many are facing as a result of the COVID-19 pandemic.