NEW MEXICO (KRQE) – A relief fund to keep small businesses afloat during the pandemic has seen very few applicants. Lawmakers passed the Small Business Recovery Loan Fund, setting aside $400 million in loans for small businesses.
According to the Santa Fe New Mexican, since the application process opened on August 5, just under $5 million in loans have been approved. Forty percent of applications have been rejected.
According to the New Mexico Finance Authority, as of Sept. 25, 2020, $19.8 million in loans have been approved with the average loan amount being $47,759. A total of 415 businesses have received approved loans.
The report shows that’s mostly because businesses need to show their revenue fell more than 30% in April and May of this year compared to the same months in 2019. Additional information on the Small Business Recovery Loan Fund can be found at nmfinance.com.