SANTA FE, N.M. (AP) — According to a state agency, only about $20 million of a $400 million loan program for New Mexico small businesses hit by the pandemic has been approved to send out since the program began in August.
In a presentation to the state legislature Tuesday, the agency tasked with distributing the low-interest loans said legislators might want to make it easier to qualify. Around 85% of those businesses that didn’t qualify for the Small Business Recovery Loan Fund failed to meet the requirement of showing a loss of at least 30% of revenue in April and May compared to the same time in 2019.
As written, the statute does not allow flexibility in the program for businesses that are less than a year old and therefore can’t compare revenues.