New Mexico small businesses can tap into $25 million in SBA loans
September 19 – An additional $25 million in Small Business Administration loans are now available for New Mexico small businesses unable to obtain traditional bank loans.
The state-launched, nonprofit New Mexico Small Business Investment Corp. has a new RBC impact fund that will target small businesses with annual revenue of up to $7.5 million that have less than 500 employees. The loans would be in the amount of $150,000 to $5 million.
“We’re focusing on small businesses that aren’t able to get traditional loans,” said Russ Cummins, executive director of NMSBIC, which the Legislature established in 2001 to provide equity and debt capital. to small businesses.
NMSBIC funding is available to any SBA loan lender in New Mexico, but funding will primarily go to DreamSpring, Lendistr, and Capital Impact Partners, all of which are community development financial institution lenders that focus on lending to markets. underserved.
“Our relationship with NMSBIC has been a transformational one over the past two years,” said Anne Haines, CEO of DreamSpring. “We were able to put money into the hands of underserved entrepreneurs. [With the RBC Impact Fund]they increased the liquidity of lenders in New Mexico to put more funds in the hands of entrepreneurs.”
NMSBIC partners with RBC Global Asset Management, the asset management arm of Royal Bank of Canada. RBC Global Asset Management buys the loans backed by the Small Business Administration and will manage the RBC Impact Fund for NMSBIC.
Over the past two years during the pandemic, Albuquerque-based DreamSpring has lent more than $33.4 million in 1,460 loans to small businesses in New Mexico. New funding available through NMSBIC/RBC Global Asset Management will play a role as DreamSpring seeks to double its lending to small business owners, Haines said.