Enterprise Loan Fund

What is an ELF? Enterprise Loan Fund is a revolving loan fund capitalized by the U.S. Economic Development Administration. We operate in Cibola, McKinley, and San Juan County with a focus on providing flexible and patient expansion loans to small businesses in northwest New Mexico.

How is ELF different? • Lower interest rates and longer repayment terms lowers your monthly payment
• 10% (for real estate acquisitions) or no down payment preserves cash for working capital / growth• We participate with banks and other lenders to get deals done

Who is eligible? is program is open to qualifed, existing businesses in operation for at least 2 years subject to the SBA size standards by industry (determined by your NAICS). Speculative real estate investment or researchand development projects, non-profits and financing entities are NOT eligible.

How much can I borrow? Loans range from $20,000 – $100,000. However, the amount a business and its affliates can borrow borrow is subject to our underwriting and available capital. ELF participants will leverage a minimum of two private dollars for each RLF dollar loaned.

How can loan funds be used and what are the repayment terms?

• Working Capital – 7-10 year term
• Machinery & Equipment – up to 10 year term
• Real estate acquisition and/or renovation or improvements – up to 25 year term

• Tenant Improvements – to be repaid over the life of the lease (15 year max)
• Refinance of existing business debts

Is there an application fee?  Yes, a $250 application fee which is subtracted from your closing costs. Refundable less any 3rd party fee? processing costs if deal does not close.

Are there closing fees? Yes, so and closing costs include appraisals, liens searches and lings, environmental studies, legal etc. • 1% closing fee

• All closing costs may be financed into the loan

What are the interest • Fixed rates up to WSJ Prime + 2.00%
rates? • Minimum interest rates shall not be lower than 5%

• Maximum interest rate not to exceed 10%

What guarantees and collateral is required?  • Personal guarantees are required from any individual with > 20% ownership of the business • Security interest in all available collateral

• For real estate: flexible Loan-to-Value, depending on underwriting

Is any reporting the required? As a relationship lender, ELF meets with every business in our portfolio annually. We also expect business to provide us with financial statements and/or tax returns and complete a brief community survey on at least an annual basis.