Loans To Small Businesses

NCNMEDD began making loans to small businesses in 1985, with funds from the U.S. Economic Development Administration (EDA). We still have our EDA Revolving Loan Fund (EDA RLF), and have added funds from the Department of Energy through the Regional Development Corporation (TCR RLF) and the Department of Housing and Urban Development through the City of Santa Fe (SFD RLF).

Each fund has slightly different requirements, so please check your eligibility carefully. You can download our general application, and contact us for assistance at any time.

What is Economic Development Finance?

Every business needs to establish relationships with financial institutions that can assist the business through its stages of growth and development. Small businesses often start out as sole proprietorships with limited assets and the owner's personal checking account.

Business growth means that other financing will be needed. Firms buy equipment, finance inventory, renovate or buy space, need working capital. Small businesses may have trouble with some financing because of interest rates, terms, or collateral requirements. Many find that starting a good relationship with a bank is not easy to do in the busy life of an entrepreneur.

Economic development finance services like ours help bridge the gap between what small businesses can do and what banks traditionally require. Generally speaking, we help entrepreneurs by lending in partnership with a bank so that the overall cost to the borrower is reduced and a long-term relationship with a private bank is established. Our low interest rates and longer terms improve a borrower's cash flow.

EDA Revolving Loan Fund

The EDA RLF began in 1985 and serves clients in Rio Arriba, Taos, Mora, Colfax, San Miguel and Sandoval counties. Regulations require us to match every EDA dollar with two dollars of private capital and to create or retain at least one job for every $25,000 of federal dollars loaned. In the past, we have loaned money to a tortilla maker, a lumber mill, a grocery store, a weavers' co-op, a fitness center and a transmission shop.

For more information, download our Loan Application (305 KB) and contact Fred Brueggeman at fredb@ncnmedd.com.

Tri-County Regional Revolving Loan Fund

The TCR RLF began in 1997 with funds from the Department of Energy through the Regional Development Corporation. This fund serves clients in all counties in the District. These funds must be matched dollar for dollar with private capital and must create or retain at least one job for every $25,000 of federal funds lent. Previous clients include a restaurant, a manufacturing concern, software developers and a dentist.

For more information, download our Loan Application (305 KB) and contact Fred Brueggeman at fredb@ncnmedd.com.

North Central New Mexico Economic Development District (NCNMEDD) is an association of local units of government and other organizations created to encourage and allow regional cooperation on a multitude of issues.Formation of the District came about as a result of passage of the Public Works and Economic Development Act (Public Law 89-136) by the U. S. Congress in 1965. This legislation permitted designated counties to form non-profit entities for the purpose of promoting the socioeconomic environment of its members. It also created the Economic Development Administration under the U. S. Department of Commerce. The purpose of EDA is to provide a vehicle for the delivery of financial and technical assistance to economically depressed areas throughout the nation. NCNMEDD is the region’s Council of Governments formed in 1967 under the authority of the Joint Powers Agreement Act, Section 4-22-1 to 4-22-7, New Mexico State Statues Annotated, 1953 Compilation. NCNMEDD was created originally to serve the eight counties of Colfax, Los Alamos, Mora, Rio Arriba, San Miguel, Sandoval, Santa Fe, and Taos. Sandoval County remains a member, but is now attached for planning purposes to the Middle Rio Grande Council of Governments.