For New Mexico businesses, your New Mexico company may have been turned down for an SBA EIDL loan. You might need to file a reconsideration request or appeal for your New Mexico SBA loan if you have been declined.
To be reconsidered for a New Mexico SBA loan, you will need to meet certain eligibility criteria set forth by the U.S. Small Business Administration (SBA) and Economic Injury Disaster Loan (EIDL) program for your business in New Mexico.
Why Do You Need to Apply for a New Mexico SBA Reconsideration?
Some other reasons you may be denied for a New Mexico EIDL loan are low credit scores, lack of cash flow, poor cash reserves, other delinquent debts, or missed payments.
Suppose your New Mexico EIDL application was denied because of any other reason besides financial hardship or damage to business/property due to a natural disaster. In that case, you will need to provide proof to be reconsidered.
Here are some of the common reasons for New Mexico denial:
- New Mexico address change (if moved to a new)
- Low credit score
- The business wasn’t in operation on or before January 31, 2020
- Typing mistakes
- Wrong costs or expenses information
- Your New Mexico type of business isn’t eligible
- Non-US citizen
- Unverifiable information
- Plus, a whole list of other possible decline reasons
You should also check out:
SBA Disaster Loan EIDL Options to Overcome Being Denied
How to Apply for New Mexico SBA Loan Reconsideration?
If your New Mexico business has been denied an Economic Injury Disaster Loan (EIDL), you will need to provide information about your financial hardship to be reconsidered.
“Whether doing a New Mexico SBA Loan Reconsideration Request or an SBA Increase Request, there is a right way to word these documents, that requires professional finesse. This will substantially increase your odds of getting to a yes and getting approved after a denial, or getting approved for an increased request. Many New Mexico business owners or company executives are not great writers, and that is why they are coming to us for disaster loan assistance“ said Marty Stewart, Chief Strategy Officer for Disaster Loan Advisors (DLA).
How to Write a Consideration Email for a New Mexico SBA Loan?
If you’re applying for New Mexico SBA loan consideration, you’ll need to know how to write a letter of reconsideration and ask the New Mexico SBA to reconsider your case.
The first step is making sure that you have proof of economic harm due to COVID and, if applicable, information about why your New Mexico business was not in operation on or before January 31, 2020.
If so, seek help from a New Mexico Disaster Loan Specialist. Create a list of questions that you would like to be answered, such as:
- What kind of documentation should I provide?
- How long does it typically take for New Mexico EIDL reconsideration?
- How long will it take for my application to be approved?
- When can I inquire about the status of my reconsideration case?
- What if I don’t receive a response from the New Mexico SBA?
The next step is to write your letter of reconsideration and make sure that it includes all necessary information. If you have been denied an New Mexico EIDL loan, then your letter should include:
- Date when a natural disaster or business damaged your project has been closed because of a natural disaster
- Your contact information, including name, address, phone number, and email address
- Reference numbers or names of your Economic Injury Disaster Loan application
- When you applied for a New Mexico SBA loan at the local office where you submitted your application
- Why you were turned down for a New Mexico EIDL loan, it wasn’t because of a lack of repayment ability
- Any changes you’ve made since your loan was turned down, such as selling your property, itemizing expenses to get better cash flow, etc.
Once the New Mexico SBA reviews your letter and all requested information, they will determine whether or not you meet eligibility requirements for an EIDL reconsideration.
They may require further documentation and changes to your case. If this happens, they will let you know which additional documents and/or changes need to be submitted before approving or denying Economic Injury Disaster Loan (EIDL) reconsideration.
You should also read Restaurant Groups Strategic Move to Tap More SBA EIDL Loan Funds.
How Long Does Reconsideration Take for the New Mexico SBA Loan?
Once you have gathered your proof of financial hardship, the next step is to contact a Loan Specialist at the New Mexico SBA office.
The New Mexico SBA will look over all of your information. If they find it satisfactory enough to meet certain eligibility criteria for reconsideration, they will send final approval for funding.
For most New Mexico EIDL reconsiderations, most cases take a minimum of 30-45 days. Still, they can take up to 60 days depending on federal guidelines and if changes need to be made after reviewing more information about the case.
As a result of the increasing number of requests, you shouldn’t expect a quick response. However, if your status shows as “Pending,” then you should still submit supporting documentation for reconsideration because your status might change even if the New Mexico SBA loan application has been denied.
SBA EIDL Deadline 12/31: What it Means for Businesses in 2022
Conclusion and Summary if Your SBA Loan was Denied in New Mexico
Make sure that you have all the necessary documents and information to be fully aware of what will happen next. You can also contact a New Mexico SBA Loan Specialist to assist you through the whole process. If denied, you can still claim the Employee Retention Credit for New Mexico employees.
New Mexico Reconsideration Request and Loan Modification Help:
Need a Reconsideration Filed for Your New Mexico SBA EIDL Loan?
Were you denied a New Mexico SBA EIDL loan for your New Mexico business?
We can assist your New Mexico business in requesting reconsideration for SBA EIDL loan funds through the recon request process in New Mexico.
Was Your New Mexico SBA EIDL Loan Denied?
Has your New Mexico SBA EIDL loan been denied for your NM business?
We can assist you in filing for an SBA EIDL loan reconsideration appeal for your business in New Mexico.
Schedule Your Free Disaster Loan Consultation to see if we may be able to help your business with the SBA Loan Reconsideration Process in New Mexico.
Cover Image Credit: 123RF.com / Fizkes. / Disaster Loan Advisors.