6-33-2. Definitions.

238 words·~1 min read·/nm/chapter-6-public-finances/article-33-venture-capital-program/6-33-2

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

As used in the Venture Capital Program Act:

A. "authority" means the New Mexico finance authority;

B. "New Mexico business" means, in the case of a corporation or limited liability company, a business with its principal office and a majority of its full-time employees located in New Mexico or, in the case of a limited partnership, a business with its principal place of business and at least eighty percent of its assets located in New Mexico; and

C. "venture private equity fund" means an entity that makes, manages or sources potential investments in New Mexico businesses and that:

(1)has as its primary business activity the investment of funds in return for equity in or debt of businesses for the purpose of providing capital for start-up, expansion, product or market development, recapitalization or business purposes in early stages of development;

(2)holds out prospects for capital appreciation from such investments;

(3)has at least one full-time manager with at least three years of professional experience in assessing the growth prospects of businesses or evaluating business plans; and

(4)accepts investments only from accredited investors, as that term is defined in the federal Securities Act of 1933, as amended, and rules and regulations promulgated pursuant to that section, or federally recognized Indian nations, tribes and pueblos with at least five million dollars ($5,000,000) in overall investment assets.

History: Laws 2022, ch. 21, § 2; 2023, ch. 127, § 2.