How to Apply for SMEDAN Loan in Nigeria

SMEDAN, Small and Medium Enterprises Development Agency of Nigeria, is a government agency that assists Micro, Small and Medium Enterprises (MSMEs) with various financial platforms. This agency typically collaborates with several financial outfits to provide MSMEs with the assistance best suited to their business needs. To apply for SMEDAN loan, you must have your business registered, as well as be a citizen of Nigeria. Also, the type and size of the business, location and financial viability as well as business plan determine the kind of loan you are eligible for.

As earlier stated, SMEDAN partners with financial institutions – Commercial Banks, Microfinance Banks, Mortgage Banks, and Other Institutions – to make this assistance possible. Some of these institutions are listed below:

• Access Bank Plc.
• Bank of Agriculture
• Skye Bank Plc.
• Stanbic IBTC Bank
• Time Microfinance Bank
• Union Bank Nig. Plc
• Commonwealth Microfinance Bank
• Federal Mortgage Bank of Nigeria
• Giwa Microfinance Bank
• Danisoft Bank Kano
• GTBank Nigeria Plc.

There are four different credit facilities accessible on the SMEDAN platform, these are Personal loans, Mortgage loans, Business loans and Credit loans.

How to Apply for SMEDAN Loan

To access SMEDAN personal loans, follow the steps below:

1. Visit the SMEDAN credit information portal
2. Select Personal Loans
3. Choose a loan purpose
4. Select Age Range
5. Choose your Employment Status
6. Choose Location
7. Input Loan Amount
8. Click on Check Availability. You will be redirected to a page that shows a list of financial institutions from which you can request a loan.
9. Click on View Detail And Apply to see more information on the selected offer such as repayment plan, interest rate as well as documents required.
10. You will also need to fill in some more information such as your Business/company name, your name, email address, phone number as well as your SMEDAN ID amongst others. You will also need to provide reasons why you need the loan.
11. After providing all necessary information on the page, click on Submit Information and wait for confirmation.

For Business Loans, Credit Loans and Mortgage loans, the process is similar to that of Personal loans.

1. Visit the SMEDAN credit information portal
2. Select Business Loans, Credit Loans or Mortgage loans, depending on your need
3. Select Loan Purpose
4. Input Borrower Age Range
5. Input Business Age
6. Choose Location
7. Input Loan Amount
8. Click on Check Availability. You will be redirected to a page that shows a list of financial institutions from which you can request a loan.
9. Click on View Detail And Apply to see more information on the selected offer such as repayment plan, interest rate as well as documents required.
10. You will also be required to fill in some more information such as your Business/company name, your name, email address, phone number as well as your SMEDAN ID amongst others. You will also need to provide reasons why you need the loan.

Advantages of SMEDAN Loans Over Other Loan Platforms

As earlier highlighted, you must have a SMEDAN registration (this is to enable you to get your business or company recognized, as well as to generate a SMEDAN ID) to apply for these loans. Let us look at a few advantages of SMEDAN loans.

• One of the advantages is variety. Business owners have a variety of options to choose from as regards loan platforms.
• As opposed to other loan platforms, SMEDAN offers longer loan tenor reaching up to three (3) years.
• Business owners can choose platforms that offer loan amounts as high as, or even more than they need.
• Flexible repayment plans are also an advantage of SMEDAN loans.
• Interest rates are as low as 6%.
• Documents required from applicants are not superfluous.