SMEs Media is established to assist entrepreneurs and investors acquaint with the latest useful information on businesses, investments and new ground breaking opportunities within and outside Nigeria.
We do not offer business or personal loans, but we can assist you by providing useful tips on how you can easily access the loans. If you are looking for a business or personal loan, you need to spend time carrying out a little research, as there are different types of loan on offer from a host of banks.
We make it easy for you………..
Types of loans
Business Loan: – With a business loan, you are lent a certain sum of money over a period of time, and the interest rate and monthly payments are fixed over the term. This type of loan is usually secured.
Some business loan providers offer access to short-term finance within 6months and 12months while some can offer long term loan for about 3 years and above , though it depends on the bank and the type of project.
Unsecured Loan: – This type of loan does not have any collateral, though is mainly for personal loan. It is the money lent to you for personal use for a very short period of time.
Although BOI(Bank of Industry) offers loan to businesses whether startup or not, but in most cases they consider industries that meet the following criteria:
- Capacity to substantially add to industrial output.
- Projects that use largely domestic raw materials.
- Industry in which Nigeria’s comparative advantages could be converted to competitive ones.
- Ability to promote the expansion of exports through the production of high quality products that are attractive to domestic and export markets.
- Niche projects that produce for worldwide consumption.
- Projects that create both forward and backwards linkages, with the rest of the domestic or regional economy.
- Ventures that promote inter-state or regional integration.
- Small and medium enterprises (SMEs) that have linkage with large firms, belong to clusters and operate under franchise.
- Enterprises with high employment generation capacity.
- The project must be technically feasible, commercially viable and economically desirable.
- Projects that are environmentally friendly.
- Enterprises that have good management set-up and proper accounting procedures.
- Enterprises promoted by women entrepreneurs.
The following industrial sub-sectors are also accorded priority in the project selection:
- Agro-industries, textile and leather
- Polymer –based industries
- Solid minerals
- Information communication technology (ICT) services
We hope to bring to you updates from different commercial banks as we proceed in business.
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