Oct. 18--It's not exactly an easy time to start your own business. Although the recession has technically ended, lending remains tight.

Kim Blueher, director of lending for WESST, a nonprofit that helps fledgling businesses, calls it a "very tricky" time for entrepreneurs.

"Now is not really a good time to load yourself up with debt unless you are positive it's going to be a hit," she told the Journal.

That being said, with more people out of work, many are considering that option.

New Mexico lost almost 31,000 jobs over the year from August 2008 to August of this year, reaching a 7.5 percent unemployment rate -- a 12-year-high, according to data from the New Mexico Department of Workforce Solutions. That rate was 4.3 percent in August 2008.

With no hard numbers tracking how many new start-ups are being created locally, it is even more difficult to gauge how many startups are created as a result of layoffs.

Local nonprofits and other organizations that provide funding and training to new businesses say they get more inquiries but while a couple of organizations say they are giving out more loans, many say the funding just is not there.

"We have definitely seen a high increase in just general inquiries from people who are distressed," George Kenefic, director of enterprise empowerment at the New Mexico Community Loan Development Fund told the Journal. "There are a number of situations -- they may be laid off or their hours were cut back. Many are trying to see their way through this by starting their own companies."

But even Kenefic says his organization, which offers loans and one-on-one consulting to New Mexico start-ups, will not give out funding to just anybody. Many do not have the credit or a solid business plan to make a successful company, he said.

Technology Ventures Corp., which offers financing for technology-based start-ups, said the organization has struggled this year to help new companies because of lack of investment dollars.

Even so, ACCION New Mexico, another nonprofit that offers loans to start-ups, says the volume of loans it gives out has seen a "significant increase" over last year.

Kenefic said starting a business is not a solution for everyone out of a job, but those who have unique ideas and strong networks have a good chance at succeeding.

The Journal talked to three new business owners about starting a company in these economic times and why they now call their layoff "a blessing in disguise."

Danny Schrader

Pumpkin Dog Vintage Sportswear was a side project for Danny Schrader when he worked as an account executive at Rick Johnson & Co.

When he lost his job in February, the project evolved from a hobby into a full-time online business, www.pdvintage.com. He sells T-shirts with logos of past New Mexico sports teams.

"After the layoff I really started getting serious about it," he told the Journal during an interview at his home, where he runs the company.

Now that he doesn't have to be in the office 40 hours a week, Schrader travels to sports stadiums and old baseball fields to research the state's former sports teams, such as the Albuquerque Six Guns, a professional hockey team that played one season in the '70s. Schrader donates 1 percent of his proceeds to the Animal Humane Association, where he found Pumpkin and his other dog, Baxter. But as proud as he is of his new venture, he says he's also a realist and needs to provide for his wife and two children. "I need to focus on this and really make it work. I want to make it self-sufficient," he said.

Julie Ismari-Crawford

Julie Ismari-Crawford started her company six months ago after getting laid off from her job at Advent Solar in January. She says her business, Ismari Virtual Interviews, was inspired by her experiences trying to find a new job.

"It took a lot of prayer to get me (here)," she told the Journal. "I was an emotional wreck."

After losing her position as executive assistant to the CEO, Ismari-Crawford began looking for a new job, which was a tough process, she said.

"My next career was the job search," she said. "I found it very frustrating to find a job today. It's very informal and all online. You never get to talk to anybody."

Her company, formed with her brother, David Ismari, aims to help other local job seekers get in front of employers by having them do a job interview in front of a camera and posting the clips on the company Web site, www.ivinow.com, for subscribing employers.

She said she never thought of herself as someone who could run her own business, but so far, Ismari-Crawford says she has seen success. Eight job seekers have been hired from her site, and 18 employers are registered to use it, she said. The business also already has contracts to work with New Mexico State University College of Engineering, Bosque Wood Producers Inc. and others.

Anne Monson

After spending years working as an executive in the public relations and marketing field, Anne Monson found herself without a job in April, one of the casualties of layoffs at Forest City Enterprises, the company developing Mesa del Sol.

Having always wanted to start her own company, this was the opportunity she was waiting for.

Monson said she took a month's vacation after the layoff and then "hit the ground running," attending networking events, talking to other consultants and setting up her home office for Anne Monson Communications.

She said setting up her consulting business has been an "intense" process: She's had to get a city license, talk to a lawyer, talk to an accountant, write a business plan, set up her Web site, www.annemonson.com, and more.

Monson said she is seeing progress but isn't where she would like to be financially. Luckily, Monson and her husband were able to make some conservative changes to their spending budget and she received a lot of help and encouragement from what she calls "a great town."

Though there have been some fears and challenges, Monson said it was the right choice.

"I love it. I'm really happy. It fits me for this time in my life and this economy," she said.

Resources

The U.S. Small Business Administration at www. sba.gov, or locally at 248-8225.

New Mexico Small Business Development Centers, www.nmsbdc.org.

The Greater Albuquerque Chamber of Commerce, www.abqchamber.com.

The Albuquerque Hispano Chamber of Commerce, www.ahcnm.org, or contact Jeffrey Candelaria at 842-9003. Technology Ventures Corp., www.techventures. org, or call 246-2882.

WESST, www.wesst.org, or call 246-6900.

ACCION at www.accionnm.org or call 243-8844.

New Mexico Community Development Loan Fund, www.loanfund.org, or call 243-3196.

The Albuquerque Journal Business Outlook section provides a listing of meetings as well as a listing of new businesses. To be considered for a new business listing, e-mail Terry Feld at tfeld@ abqjournal.com

To see more of the Albuquerque Journal, or to subscribe to the newspaper, go to http://www.abqjournal.com.

Copyright (c) 2009, Albuquerque Journal, N.M.

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