Soap-Making Business Cleans Up Nicely with Help of Small Business Grant

Jan 08, 2016, 12:50 ET from Federal Home Loan Bank of Dallas

GLENWOOD, N.M., Jan. 8, 2016 /PRNewswire-USNewswire/ -- People will go to great lengths to alleviate dry skin. Just ask Kristine Shoberg, owner of a natural skin care products store and manufacturer Udder Delight.

Back in 2005, Ms. Shoberg, irked by her constantly dry skin, visited a natural soap shop in rural Pearce, Arizona. That shop was Udder Delight.

"I'll never forget the first time I walked into Udder Delight," recalled Ms. Shoberg. "The smell was heavenly."

Ms. Shoberg was thrilled to see that the soap she purchased alleviated her dry skin within days. Impressed with the products, she became a regular customer. When she saw that the business was for sale, Ms. Shoberg, an interior designer at an architecture firm at the time, jumped at the opportunity and made an offer.

"Mine was one of three offers and the owner told me it was not the highest," said Ms. Shoberg. "But, she ultimately sold me the business because she said that when she shook my hand, I had callouses, which proved to her that I was a hard worker and was capable of moving the business forward."

After the previous owner trained her on how to make the products – including caring for the goats, whose milk was used in many of the products – Ms. Shoberg moved the business from Pearce to a 3,000-square-foot facility in Glenwood, New Mexico, where Udder Delight operated as a retail location and manufacturing facility.

After opening their second location in 2010 in Cave Creek, Arizona, a popular tourist town, it wasn't long before Udder Delight had the kind of problem most businesses wish for: demand was higher than the supplies. Eventually, Ms. Shoberg needed more space to house equipment and increase production.

Thanks, in part, to a loan from Western Bank that was funded by an Economic Development Program (EDP) advance from the Federal Home Loan Bank of Dallas, and an accompanying $10,800 EDPPlus grant from FHLB Dallas and Western Bank, Udder Delight is expanding its manufacturing facilities. The funds will help cover some of the construction costs to renovate a new 2,500-square-foot building conveniently located next to the existing building in Glenwood. Improvements to the building include installation of a three phase converter, drywall, plumbing, a retaining wall, and a sound-proof room for the air compressor.  

Without the grant, Udder Delight would have had to delay some of the renovation projects until funds became available in 2016, possibly missing their busiest season this winter.

Noncompetitive EDPPlus grants are awarded in conjunction with EDP advances through FHLB Dallas members, like Western Bank. The grants are available on a first-come, first-served basis to promote and enhance small business development and job creation. The expansion of the Udder Delight manufacturing facilities has already created two jobs, and is estimated to create at least four more.

"Western Bank takes pride in being a financial partner with small businesses in our communities," said Leslie Bush, vice president and a loan officer at Western Bank. "We understand the needs facing small businesses and strive to create customized approaches and solutions that work for them."

In 2015, FHLB Dallas made $1 million available for EDPPlus grants, assisting 50 small businesses in the Bank's five-state District of Arkansas, Louisiana, Mississippi, New Mexico, and Texas.

Gustavo Molina, chief banking operations officer at FHLB Dallas, said the EDP advance and grant program support economic development activities, which positively impacts the community.

"It is our honor to partner with community banks such as Western Bank in helping local businesses like Udder Delight not only reach their full potential, but also create jobs in the area," said Mr. Molina.

About Western Bank

Known as the "friendliest bank in the Southwest," Western Bank has been in business since 1907, offering uninterrupted financial services to residents and business owners of southwestern New Mexico and southeastern Arizona. Since its inception, the bank's primary mission has been to serve the banking needs of the community with a focus on the backbone of the communities, individuals, and locally owned businesses. For more information, visit 

About the Federal Home Loan Bank of Dallas

The Federal Home Loan Bank of Dallas is one of 11 district banks in the FHLBank System, created by Congress in 1932. FHLB Dallas, with total assets of $43.0 billion as of September 30, 2015, is a member-owned cooperative that supports housing and community development by providing competitively priced loans and other credit products to approximately 865 members and associated institutions in Arkansas, Louisiana, Mississippi, New Mexico, and Texas. For more information, visit


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