The Bank of Agriculture (BOA) and The Small And Medium Enterprise Development Agency of Nigeria (SMEDAN) has jointly established a matching fund programme for MSEs in Nigeria.
The purpose of this programme is to increase the output of Micro and Small Enterprises by providing them with loan to boost job creation in the country and encourage competitiveness among MSEs
Requirements For BOA – SMEDAN Matching Fund Programme
Although the full requirements for the loan were not outrightly stated, some requirements include:
- Prospective applicants must have their businesses registered with SMEDAN
- Applicants must have their businesses located either in the FCT, Kaduna, or Oyo state.
The director general of SMEDAN Dr. Dikko Umaru Radda was quoted as saying ” Target beneficiaries for this programme shall be labour-intensive micro or small enterprises (MSEs), operating in the real sector. These shall ideally have innovative value-added products that are establishing footprint in the Nigerian market, and require additional funds to increase output”.
While registering for the loan on the BOA SMEDAN Loan Portal, you will have to answer some questions that will determine if your business meet the loan requirements. These include:
- Does your enterprise currently employ ≤50 employees?
- Is your enterprise operating within FCT, Oyo or Kaduna State?
- Is your enterprise operating within the Food-processing or Agro-processing industry?
- Has your enterprise been in operation since 2018?
- Is your enterprise wholly Nigerian owned?
- Can your enterprise employ at least 2 people from the loan requested?
- Does your enterprise or major promoter(s) have any credit history?
- Does your enterprise have a SMEDAN Unique Identification Number?
- Does the enterprise have a CAC registration number?
- Does the enterprise have a Tax Identification Number (TIN)?
- Does the enterprise have a NAFDAC registration number for its products? (for packaged food products only)
- Is/are there any audited financial statements?
- Does the enterprise have a marketing plan?
- Does your enterprise source at least 65% of its raw materials locally?
- Have you had up to 35% of your products stock unsold in the last two years?
How To Apply For BOA – SMEDAN Matching Fund Programme
To apply for this programme, go to the BOA SMEDAN Matching fund Application Portal and answer some questions that will determine if your business meet the loan requirements.
Eligible MSEs can access between 1.2 millions to N5 million with out collateral.
The Bank of Industry BOA will be responsible for cash disbursement to beneficiaries.