No connections? No wahala. Here’s how to get the money moving!
Small businesses in Nigeria are the backbone of the economy, but money is the number one struggle. Banks charge killer interest. Investors want unicorns. So what’s the smart play in 2025?
Grants and Soft Loans.
They’re out there—but you need to know where to look, how to qualify, and how to stand out.
Let’s break it down step by step.
1. Know the Difference First
Grant Free money (non-repayable) You don’t pay it back. Ever.
Soft Loan Low-interest, long-term loan Payback is easier and slower.
Both can boost your business—if you play your cards right.
2. Where to Find Them
a. Government Programs
b; SMEDAN Grant & Credit Scheme
c. For registered MSMEs across sectors. Watch smedan.gov.ng for announcements.
Bank of Industry (BOI) Soft Loans
Tailored loans with flexible repayment terms. See boi.ng.
CBN Intervention Funds
Funds like AGSMEIS (Agribusiness), MSMEDF, etc. Work through partner banks or NIRSAL. International & NGO Grants
Tony Elumelu Foundation (TEF) Grant
$5,000 equity-free funding for African entrepreneurs. Opens early each year.
tefconnect.com USADF/LEAP Africa
Offers funding and mentorship to youth-led SMEs.
Women Entrepreneurs Fund (e.g., SheTrades, WIA)
Especially for female-owned businesses.
Private Sector & Accelerator Funds
Lagos Innovates (LSETF) – For Lagos-based businesses. Offers loans, workspace vouchers, and training. Tech Hubs & Incubators – Google for Startups, Co-Creation Hub, and others often run funded accelerator programs.
3. How to Qualify (Without “Knowing Someone”)
Here’s what funders look for: Registered business (CAC, TIN) Clear business plan Scalable idea or proven traction Financial records (even basic ones) Strong pitch/application
Pro Tip: Most SMEs lose out not because of corruption—but because they apply unprepared or late.
4. How to Write a Winning Grant Application
Be specific. Don’t just say “I want to grow.” Say how and with what results. Show impact. Jobs created? Local sourcing? Community benefit? Stay simple. Clear English beats big grammar. Follow the instructions to the letter. Miss one detail and you’re out
5. Common Mistakes to Avoid
Submitting without a business registration Copy-pasting a generic business plan Applying without understanding the eligibility Ignoring deadlines or missing documents Not checking your email after applying
Conclusion
Grants and soft loans won’t fall into your lap. But if you get organized, stay alert, and apply smart, 2025 can be the year your SME gets the funding it needs to grow—without drowning in debt.
