Cannabis Microbusiness Program


The Cannabis Microbusiness Program is now open to provide affordable loans to licensed cannabis microbusinesses in New Mexico.

Before applying to the Cannabis Microbusiness Program, a business must have a license to operate as a cannabis establishment from the Cannabis Control Division of the State of New Mexico and must be designated as a cannabis producer microbusiness or an integrated cannabis microbusiness. Please visit the NMCCD website for more information about licenses.

A total of $5 million in funding is available.


  • Applicants will create a user account to access the application.
  • Please use a current, updated browser such as Chrome or Safari.


A business must have a license to operate as a cannabis establishment from the Cannabis Control Division of the State of New Mexico before starting the application to the Cannabis Microbusiness Program. Please visit the NMCCD website for more information about licenses.

 In addition, a cannabis microbusiness must be defined as and licensed by the Cannabis Control Division as one of the following to be eligible to apply:

  •  Cannabis Producer Microbusiness– A cannabis producer at a single licensed premise that possesses no more than two hundred total mature plants at any one time


  •  Integrated Cannabis Microbusiness – A person authorized to conduct (i) production of cannabis at single licensed premises; or (ii) manufacture of cannabis products at a single licensed premises; or (iii) sale or transportation of only cannabis products produced or manufactured by that person; or (iv) operation of only one retail establishment; or (v) couriering of cannabis products to qualified patients, primary caregivers or reciprocal participants or directly to consumers

More Information

Application Deadlines

Applications will be accepted on a rolling basis and will be accepted as long as funds remain available. The applications will undergo a thorough underwriting process by NMFA staff. This process will take some time as the application and documents submitted are reviewed carefully.

The underwriting process and the accuracy and completeness of the application will affect if and when an application is reviewed by the NMFA Board.

Loan Amount

The loan amounts are expected to be $50,000-$150,000 with a maximum loan amount of $250,000. The loan amount will be determined in the underwriting process.

Use of Loan Funds

Loan proceeds may be used to fund the purchase of assets or operational costs directly related to cannabis production, including:

• Buildings (including greenhouses)

• Equipment (including lighting, security systems)

• Agricultural inputs (including seeds, soil, fertilizers, insecticides, water/irrigation systems)

• Working capital (including lease and utility payments, labor, transportation, technical assistance, professional certification/development, consulting, marketing)

Reimbursement and Payment Information

A business may use the loan proceeds by paying for its eligible expenses upfront and then getting reimbursed by NMFA.  In this case, NMFA will transfer the reimbursement funds directly into the business’s bank account. This will most likely be the quicker process. 

A business may also use the loan proceeds by having NMFA pay its vendors directly for eligible expenses. In this case, U.S. Eagle will send a check to the vendor.

In either case, the business is responsible for collecting any required W-9 forms from its vendors and for sending out any required 1099 forms to its vendors.

Application Information

Businesses must be licensed by the New Mexico Cannabis Control Division in order to access the online application system. Applicants will input some of the required information directly into the application and will upload other required documents as attachments. Following is a preview of some of the requirements so businesses can begin to collect their information and documents before starting the application:

  •  Copy of license from the New Mexico Cannabis Control Division (CCD)
  • Consent for CCD to share applicant information with NMFA
  • Copy of business permit (or conditional business permit) from local government where the business is located if required by your local government
  • Applicant legal entity type and all entity formation documents, including a certificate of good standing from the New Mexico Secretary of State, if applicable
  • Ownership structure of the Applicant (for each owner detailing name, address, percentage ownership)
  • Organizational chart
  • Resumes for all members of the management team  
  • Copies of all operating policies, as applicable, including
  • Compensation/HR policy
  • Social and economic equity plan
  • Health and safety policy
  • Cyber/information security
  • Insurance policies
  • Sources and uses of loan proceeds (detailed schedule)
  • Business plan and a minimum of three years of pro-forma financial statements. The pro-forma financial statements are your financial projections for the upcoming three years.
  • Complete list of outstanding indebtedness, along with terms, to Applicant or to any Controlling Person

  • List of assets including current value
  • Current balance sheet and P&L statement
  • Financial statements for last three years, audited or unaudited, if available
  • Authorization to obtain a credit report on all owners, Controlling Persons and guarantors
  • Other information as required
Loan Terms

Loans will be structured to achieve repayment from operating cash flows without adversely impacting the operations of the business.


How long is the loan term?

The loan term will be a maximum of five years. Loans will be structured with an initial interest-only period of up to two years to allow for operational ramp up and for maximum terms of five years.


What is the interest rate?

Loans of $100,000 or less with terms of three years or less will have a fixed interest rate of 2%.

Loans over $100,000 and loans that have a term of more than three years will have a fixed interest rate of 3%.

Collateral, Personal Guarantees

Collateral will be required to secure the loan. Cannabis in any form cannot be used as collateral.  A personal guarantee will be required from anyone who owns more than 10% of the business or who has a controlling interest in the business.

Banking Requirements

All businesses that are approved for a loan from the Cannabis Microbusiness Program must have a checking account with US Eagle Federal Credit Union before the loan closing. If your business already has a checking account with U.S. Eagle, you do not need to open another account. If you don’t have a checking account with US Eagle, information is available at

Borrowers will be required to authorize the sharing of bank account information with NMFA. In addition, borrowers are required to submit monthly bank account statements, quarterly financial statements, and a detailed annual reporting package that includes: 

  • Latest complete financial statements
  • Latest inspection/compliance report and licensure renewals from CCD and other relevant regulatory bodies
  • Brief narrative on business performance including job creation metrics
  • Certification that all representations, warranties and covenants remain true and correct
  • Certification that there has been no change in business ownership/change in control
  • NMFA reserves the right to request additional information for monitoring purposes.


Other Information

Can I prepay the loan?

Yes, loan balances may be prepaid without penalty or premium at any time.


How do I make loan payments?

Borrowers will agree to register and repay their loans through NMFA’s online payment portal.


Is a new or start-up business eligible to apply for this loan?





Phone: (505) 984-1454


Cannabis Microbusiness Program Rules
Cannabis Microbusiness Program Policies
How to reduce the size of PDF files