The Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) in collaboration with the Bank of Agriculture (BOA) has set up a Matching Fund Program for micro and small businesses in Nigeria. This fund which offers loans ranging from N1.2 million to N5 million is currently receiving applications from small businesses in the country.
SMEDAN, established in 2003, is a government-sanctioned agency with the aim to help, mentor, and promote the growth of Micro, Small, and Medium Enterprises (MSME) in Nigeria.
According to Director-General of SMEDAN, Dr Dikko Umaru Radda, these loans will be financed from the SMEDAN-BOA Matching Fund for small businesses and will be disbursed by the BOA. The Matching Fund programme is aimed at providing small businesses with extra capital to improve production output, viability, and scale of operation.
“Target beneficiaries for this programme shall be labour-intensive micro or small enterprises (MSEs), operating in the real sector. These shall ideally be innovative value-added products that are establishing footprints in the Nigerian market, and require additional funds to increase output.” – Dr Dikko Umaru Radda, DG SMEDAN.
To be eligible for the SMEDAN Matching Fund, your micro or small business must be operating in the Federal Capital Territory (FCT), Oyo or Kaduna states.
Your business, which must have been registered with SMEDAN and assigned a SMEDAN Unique Identification Number (SUIN), must also possess a Tax Identification Number (TIN) and be registered with the Corporate Affairs Commission (CAC).
All businesses that are granted the loans will get them on business-friendly terms, including waiver of collateral.
Click here to register your business with SMEDAN and be qualified for this fund.
How to Apply
To register for the fund, go to the BOA-SMEDAN Matching Fund portal and enter your details. All questions are required. The form contains 4 segments;
- BioData: Here, you will be required to fill in your first name, last name, and your email address (it is advisable to use your business email address for this).
- Basic Information: This segment requires basic information about your business that ranges from the number of employees you have to whether or not your business is wholly Nigerian-owned and information about your credit history.
- Regulatory Compliance: Questions surrounding SUIN, CAC registration number, TIN, and audited financial statement of your business are asked here.
- Product Demand/Marketing: This is the final segment and it asks questions around whether your business has a marketing plan, if you source 65% of your raw materials in Nigeria, and if 35% of your stock have been unsold in the last 2 years.
When you have filled your answers in and double-checked your responses, hit the submit button and your application will be sent in.