Funding is arguably one of the biggest challenges small businesses in Nigeria face, the problem is, however, not unique to Nigeria alone. The World Bank estimates that “50% of SMEs lack access to finance, which hinders their growth”.
This does not mean there are no places and organizations small businesses in Nigeria can raise capital, here are 9 of such organizations.
1. Bank of Industry
Bank of Industry Limited (BOI) is arguably Nigeria’s largest successful development financing institution. Providing financial assistance for the establishment of large, medium and small projects.
Its programmes include matching funds and managed funds, many of which target small and medium scale enterprises. An example is the Federal Department of Agriculture (FDA) Cottage Fund.
2. Tony Elumelu Entrepreneurship Programme
The Tony Elumelu Entrepreneurship Programme is a 12-month programme that will occur every year for the next 10 years.
Each programme cycle begins with applications from January 1st until March 1st. The application portal opens and ushers in a new year for the programme and for prospective start-ups.
Applications are from various sectors including but not limited to;
Agriculture, ICT, Housing, Media, Education, Transportation, Textiles, Manufacturing.
Find out more about the programme at http://tonyelumelufoundation.org/teep/
3. Dangote Foundation
Dangote Foundation in conjunction with the Bank of Industry (BOI) provides a 5 billion Naira matching fund, which could be accessed by Enterprises and Limited Liability Companies engaged in the Manufacturing, Agro-Processing and Merchandising sectors for made in Nigeria goods.
Click Here for more information on getting funding from the Dangote Foundation.
4. EchoVC
EchoVC partners provide a capital fund to leading technologies, teams and businesses in sub-Saharan Africa, North America and south-east Asia.
Average investment size ranges from $25,000 to several million dollars depending on the stage of opportunity and capital needs of the business.
Go to http://www.echovc.com/ for more information
5. CCHub
Besides providing a co-working space, CCHub also has in partnership with the Tony Elemelu Foundation, a program since 2012 to award pre-seed grants of $5,000 to 20 technology ideas/ventures targeted at typical social challenges in Nigeria.
Furthermore, it provides in partnership with Omidyar Network, Bank of Industry and Venture Garden Group a 1 billion naira social innovation fund.
Find out more at http://cchubnigeria.com/
6. Central Bank Textile Intervention Fund
The Central bank of Nigeria in conjunction with the Bank of Industry earmarked 235 billion naira intervention fund particularly for refinancing and restructuring of
banks’ loans to the manufacturing sector.
The funds meant for the development of the manufacturing sector of the Nigerian economy by improving access to credit to manufacturers,.
More information HERE.
7. Seedstars Africa
The Switzerland company invests up to 1 Million dollars in emerging market startups through its exclusive startup competition in over 65 countries. The last competition held in Nigeria was for young Startups (less than two years old) with a working product, and have raised less than $500,000.
More here: http://www.seedstarsworld.com/
8. Small and Medium Enterprises Development Agency of Nigeria (SMEDAN)
SMEDAN is charged with stimulating, monitoring and coordinating the development of the MSMEs sub-sector.
It also helps facilitate access to loans from her partnering financial institutions and from other specialized microfinance schemes.
Check http://www.smedan.gov.ng for more information.
9. African Women’s Development Fund
The African Women’s development fund AWDF supports local, national and regional women’s organizations.
The organization provides funds for work related to any of it’s six thematic areas; women’s human rights’, HIV & AIDS, Health & reproductive rights, governance peace & security, arts, culture & sports and economic empowerment & livelihoods.
It also has a Small Grants Programme operating in Ghana, Uganda, Sierra Leone, Liberia and Nigeria that supports small, grassroots African women’s groups.
Proposals are made online HERE
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