Representatives from various government agencies recently held a virtual conference to list options available to New Mexicans whose businesses were severely impacted by wildfires in the state.
Officials from the New Mexico Outdoor Recreation Division and the New Mexico Small Business Development Center (NMSBDC) oversaw the panel and offered multiple resources to business owners who have lost income, equipment, and property, according to KOB 4.
Some businesses closed because they burned down and others were forced to close due to evacuation orders or air pollution orders. The list of resources for business owners includes loans for property lost due to the fire and loans for income lost due to lack of business because of the fire.
Russell Wyrick of the NMSBDC told KOB 4 that the U.S. Small Business Administration (SBA) placed field representatives in New Mexico to help people secure grants and loans. Wyrick said the SBA offers long payment terms, up to 30 years, and low-interest rates of approximately 1% to 1.5%. The window to apply closes after 60 days.
Physical Disaster Loans can be especially helpful. They are specifically for burned property and equipment, KOB 4 reported. The loans can be used to repair equipment or property that was damaged and fill any gaps in insurance coverage.
Economic Injury Loans can be utilized as cash flow for businesses that are not making enough sustainable profit because of the natural disaster, according to KOB 4. Applicants can seek approval and then decide whether they want to assume the loan.
“Just because you get approved doesn’t mean you have to take the money,” Wyrick told KOB 4. “That’s important to understand. So if the SBA says, ‘Yes, you’re approved for this,’ you’re approved up to 100K, 150K, whatever, that doesn’t mean you have to take it.”
But, if the money is not accepted, the window will close and the money cannot be utilized, Wyrick said.
Agency representatives and experts discussed several other sources of emergency funding during the webinar, according to KOB 4. These include loans, grants, and tax credits, plus disaster interruption insurance policies and wildlife liability programs.
State officials hope this relief will help businesses recover from the disaster and enable them to continue operating without going under.
The New Mexico Economic Development Department regularly posts information and updates to its website.
