The New Mexico Small Business Investment Corp. was formed in 2001 to provide capital to the state’s small businesses. The original charter was narrowly defined and the organization had relatively little money to lend, but legislative amendments over the years allowed NMSBIC to formalize cooperative agreements with financial professionals and alternative lenders.
The organization wasn’t formed to compete with traditional banks that best understand local markets and clients and remain the best source of capital. It exists to help those businesses that lack access to traditional banking sources or have been turned down by commercial lenders. These include businesses with logical and creditworthy loan requests that were deemed too small or too risky or not well suited for the bank’s lending categories. The borrower’s collateral might have been weak or unacceptable or their credit scores might have been too low.








