New Mexico Economic Development Department 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.
Key points about and documents for the COVID-19 Loan Guarantee Program:
- Borrower approaches their lending institution or locates a lender to discuss getting a loan or line of credit
- Lender vets project and applies to the program
- Lender and NMEDD sign agreement
- Lender makes the loan
- NMEDD guarantees the loan in case of default
- Borrowers work with their lenders; lenders apply to the program for a guaranty.
- Access a list of partner lenders participating in the program.
- View the Loan Guarantee Agreement between New Mexico Economic Development Department and lender.
- View the COVID-19 Business Loan Guarantee Program Guidelines for Lenders.
- View a program overview Quick Fact Sheet.
- Access the Federal W9 form.
- Optional direct deposit form (ACH).
All Together New Mexico Fund
On March 26, 2020, Governor Michelle Lujan Grisham announced a new fund established by the New Mexico Coalition of Community Foundations to help New Mexico respond to and eventually recover from the COVID-19 pandemic.
The New Mexico Coalition of Community Foundations spearheaded the idea and will coordinate the fund. Its member organizations include: the Albuquerque Community Foundation, the Community Foundation of Southern New Mexico, the Santa Fe Community Foundation, and the Taos Community Foundation. These organizations will work with the larger philanthropic community across New Mexico and consult with the state of New Mexico to determine the most urgent needs to be addressed though grant making from the All Together New Mexico Fund.
The fund will provide a phased response to the pandemic.
First, it will address immediate needs in New Mexico communities, including:
- Procurement of food, medical, and cleaning supplies for at-risk communities
- Support for childcare workers who are supporting our front-line employees
- Grants to address income insecurity among smaller businesses and employees affected by COVID-19
Later, the grant making process will shift to address income insecurity among affected workers and businesses and to fill gaps left by the government response. Finally, when the time comes, the fund will support recovery efforts.
Learn more about the application process via the All Together NM Fund website.
New Mexico Emergency Action Fund
The Albuquerque Community Foundation and the United Way of Central New Mexico have teamed up on a joint venture to deploy an Emergency Action Fund. Through this fund, they are accepting requests for short-term funding to support operations of organizations that are struggling with immediate lost revenue and non-recoverable expenses due to COVID-19.
Apply for the Emergency Action Fund via the Albuquerque Community Foundation website.
New Mexico Together Las Cruces Fund
Community Foundation of Southern New Mexico has set up a Together Las Cruces Fund in response to COVID-19. The Las Cruces community has faced an economic downturn in response to state-mandated orders, and local tourism and hospitality service workers are among the largest group to feel the effect. Thanks to a group of local restauranteurs, business owners, and philanthropists, residents of Doña Ana County won’t be fighting this battle alone. Together Las Cruces is available to assist families during this time of need.
Learn more and access the application via the Community Foundation of Southern New Mexico website.
New Mexico Thornburg Foundation
The Thornburg Foundation, a Santa Fe-based family foundation, has announced $240,000 in grants to support nonprofit organizations serving the homeless, the hungry, children, and families in Santa Fe and Albuquerque who are impacted by the coronavirus pandemic. The foundation accelerated annual grants to these critical organizations, and then doubled each grant with a one-time operations increase in alignment with the Santa Fe Community Foundation’s COVID-19 Response Fund. For more information or to donate, visit The Thornburg Foundation website.
- New Mexico Coronavirus Resources, New Mexico MainStreet
- New Mexico Association of Grantmakers website
- COVID-19: Information and Resources for Business webinar from March 13, 2020, watch recording
- State and Federal Resources for Businesses Impacted by COVID-19 resource flyer
- NMEDD Loan Programs for Businesses impacted by COVID-19 resource flyer
- New Mexico Economic Development Toolbox
Visit our Economic Resources and Relief Guide to review nationwide and statewide opportunities for businesses, non-profits, and individuals.