The Central Bank of Nigeria under the present administration of President Muhammadu Buhari is doing everything under its power to encourage entrepreneurial activities in the country, by giving out cheap CBN Loans.
Different credit facilities are being created and target at individuals who are in serious need of financial boost for their business activities, one of which is what this article is all about – The Ten Million Naira (N10M) Loan facility.
This facility is tagged “The Agric-Business/Small and Medium Enterprise Investment Scheme”, AGSMEIS. The scheme is an initiative to support the Federal Government’s efforts and policy measures for the promotion of agricultural businesses and small/medium enterprises (SMEs) as vehicles for sustainable economic development and employment generation.
Who is Eligible?
You must deal with any of the following categories before you can apply. If your business type is not listed below, you might need to have a rethink.
- Creative and Art Industries : (Fashion, Beauty, Apparel and Textile, Arts & Entertainment)
- Industrial and Manufacturing : (Agriculture & Allied Processing, Automobiles)
- Information & Communication Technology : (Telecommunication, Media & Publishing)
- Hospitality: (Catering & Event Management)
IF YOUR BUSINESS IS NOT LISTED ABOVE AND YOU NEED HELP WITH APPLICATION, SEND US A MAIL AT firstname.lastname@example.org. We offer free consultancy.
HOW TO GET THE N10M
- Attend a compulsory training with a CBN certified Entrepreneurship Development Center (EDC). This training usually last for four (4) days and averagely cost Ten Thousand Naira (N10, 000) to attend.
- The Entrepreneurship Development Center (EDC) will guide and assist you in getting all necessary documents required to secure the loan.
- Loans are paid into the account of beneficiaries. Unqualified candidates are given feedback.
- The Entrepreneurship Development Center (EDC) will assist you to implement your business plan and provide business support services commercially.
- Sell products and services to pay back the loan and make profit.
- Run your business, keep proper records, monitor sales and expenses to maximize profit and pay back the loan.
IMPORTANT INFORMATION TO NOTE
- This is different from the CBN COVID-19 credit target facility funds.
- Before you can access the loan, you need to get trained by selecting a CBN certified Entrepreneurship Development Center (EDC) to guide you through the loan application process and ensure that all your documents are complete.
- Interest rate for this loan is 9% per annum.
- This loan is collateral free.
- The loan tenor (duration) to pay back this CBN Loan is a maximum of seven (7) years.
- The loan scheme is easily accessible and the entire process is automated. From application to disbursement usually takes six (6) to eight (8) weeks. Maximum of two (2) months from the date of application.
- Disbursements have started for some successful applicants.
- Nirsal Microfinance Bank is the avenue through which this loan can be accessed.
- START YOUR REGISTRATION HERE
Even if you are not interested in taking the loan you can still benefit from the process through any of the following:
- Business support Providers: you can register to offer support services to the beneficiaries.
- Vendors and Suppliers: you can register to supply good quality products and equipment to the beneficiaries.
- AGSMEIS eMall: you can as well register your products and services for online sales on AGSMEIS eMall portal.
- Make sure your business is registered before you start application.
- Have a clear goal of what you intend to use the funds for; this will guide your business activities after disbursement.
- Do your homework very well and ask yourself honestly if you really need this loan.
CBN loans are a very cheap way to access flexible credit facilities for your business, OgaCeo will be bringing you more updates on them.