Here is a privilege to apply for BOA-SMEDAN matching fund programme and we’ll outline all the things you need to put in place before submitting your application for this loan to stand a chance of getting up to N5, 000, 000 to boost your business.
- Application date: December 15, 2020
- Disbursing agency: BOA
- Implementation Agency: SMEDAN
- Available Fund: Between N1.2 million to N5 million
Remember, you need SMEDAN Unique Identification Number (SUIN) to access this loan, information about this is available at: https://infomediang.com/smedan-unique-identification-number-siun
Objectives of the loan:
- To enhance enterprise output,
- To boost competitiveness
- To increase jobs creation
We’ll also tell you how to carefully fill in your biodata, basic information, regulatory compliance, and product demand form on the SMEDAN loan application portal.
Let’s get started!
Why BOA-SMEDAN Loan?
The BOA-SMEDAN Matching Fund Programme is basically to boost the agricultural sector in Nigeria.
It’s one of the plans of the Federal Government to support the sector which seems to have been neglected for a long time.
This time, the Bank of Agriculture (BOA) is partnering with the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) which is an agency of the government.
SMEDAN loan is aimed at supporting small businesses financially, while BOA is providing the funds, SMEDAN will be giving professional support to effectively manage your funds for the purpose it is meant.
It is a synergy to boost the output of micro and small enterprises (MSEs) in Nigeria.
According to the Director-General of SMEDAN, Dr Dikko Umaru Radda, BOA and SMEADN, the two agencies are committed to the successful implementation of the programme in the interest of Nigeria’s small businesses.
Target beneficiaries:
The matching fund programme targets labour-intensive micro or small enterprises (MSEs), operating in the real sector.
The small businesses shall be those with innovative value-added products that are establishing a footprint in the Nigerian market, and require additional funds to increase output.
Requirements
- Must be a Nigerian
- Your business must be registered with SMEDAN (registration is free NOW)
SMEDAN Loan Application Process
Kindly note that you are expected to abide by the application process before your business can be shortlisted for the collateral-free loan.
- Step 1: Create an account on SMEDAN application portal to get REG No
- Step 2: Get your Mini Business Plan ready
- Step 3: Head back to the N5 million loan application form and carefully fill your details.
Sections of the form
- Biodata
- Basic Information
- Regulatory Compliance
- Product Demand/Marketing
BioData section:
- Please enter your first name
- Please enter your last name.
- Please enter your email address
What does this mean?
Make sure your first name and last is the same on your National ID or other means of identification you have (NIMC Card, International Passport)
Also, make sure that the name corresponds with bank details to avoid disbursement issues when it’s time to get the loan.
Basic Information
In this section you have to specify the following:
- 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?
- Does your enterprise currently employ ≤50 employees?
- Can your enterprise employ at least 2 people from the loan requested?
- Does your enterprise or major promoter(s) have any credit history?
- Is your enterprise wholly Nigerian owned?
What does this mean?
The BOA-SMEDAN matching fund collateral-free loan is focusing on the agricultural sector.
It is also in batches, first beneficiaries must be in FCT, Oyo, and Kaduna state. It will definitely get to your state.
And this doesn’t stop you from getting your Free SMEDAN ID because you will need it when it gets to your state.
Regulatory Compliance
A loan isn’t meant for everybody. It is meant for those who have VALID means of ID and ready to use it for the purpose it is meant.
In this regard, you must be able to provide convincing answers to the following questions:
- Does your enterprise have a SMEDAN Unique Identification Number?
- Does the enterprise have a Tax Identification Number (TIN)?
- Does the enterprise have a CAC registration number?
- For a package product, does your business have a NAFDAC registration number?
- Is/are there any audited financial statements?
What does this mean?
It is very important to register your business in Nigeria with the Corporate Affairs Commission, the company registration process with CAC isn’t as difficult as you think.
We’ve seen individuals who registered their business on CAC portal in the comfort of their home and the certificate got delivered to their preferred address.
If you must benefit from a government loan, the government want a mutual relationship where both parties gain a WIN-WIN relationship.
Product Demand/Marketing
- Does your business 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?
What does this mean?
Your business must have a master plan known as a business plan. How exactly do you plan to execute your strategies and effectively put the loan into use?
This is very important. You can check our two-page business plan template to have an idea of how to design your own plan.
Good to hear
Why is it that I always some apply but not lucky