In this section
Funding your business is one of the first and most important financial choices most business owners make. How you choose to fund your business could affect how you structure and run your business.
New Mexico believes in the small business, wants your business to succeed, and offers many resources to help you get there. In this section, you will learn how to determine how much funding you will need, how to apply for a small business loan, use Lender Match to find lenders who offer SBA-guaranteed loans and other small business grants and investment programs.
Every business has different needs, and no financial solution is one size fits all. Your personal financial situation and vision for your business will shape the financial future of your business. The Small Business Administration offers a step-by-step guide on how to “calculate your startup costs.”
Be sure to utilize this user-friendly Break-Even Analysis Calculator
Also available is the SBDC Start-up Budget Template
Establishing a good relationship with your small business bank might sound a bit unusual but it is extremely important. Even if you are able to self-fund your business, banks are an essential partner to the financial health of your business. Most provide financial solutions such as low-interest start-up loans, cash, and credit management, payroll processing, assistance with digital banking for on-line and remote ease of use, advice for adjusting budgets and government programs when/if needed. Small business banks try to gain their competitive edge by designing their product portfolio to match the specific requirements of their small business customers.
There may come a time when you will need them as your lender for a small business loan, or as your liaison for other types of financial assistance and resources. Even local and regional loan programs.
The U.S. Small Business Administration (SBA) and the New Mexico Economic Development Department (EDD) offer the resources you need to figure out how you will fund your business.
Economic Development Department (EDD):
You can find more information on “funding your business” by visiting
Leveraging what you learned in the “business banking relationship” section above, now may be a good time to open that business bank account if you haven’t already. You can open a business bank account once you've obtained your federal EIN as previously covered in the “Tour Operator Toolkit – Register Your Business Guide.”
Next, reference the Small Business Administration website’s Open a Business Bank Account section for step-by-step guidance to ensure your account provides you with all of the features you need, low fees, and good benefits!
Business insurance protects you from the unexpected costs of running a business. Accidents, natural disasters, and lawsuits could run you out of business if you’re not protected with the right insurance.
Once again, reference the Small Business Administration website’s Business Insurance page for the assistance you need based on your business structure as outlined in the “Tour Operator Toolkit – Register Your Business Guide.”
Refer to the Entrepreneur Tour Operator Toolkit - Employee & Payroll Guide as your next step.