Many entrepreneurs in Nigeria have amazing business ideas but many get discouraged at the thought of not having enough capital to either start-up or scale. If you are an entrepreneur or a business person in this category pay attention to all the details in this article.
Grants in Nigeria
Lots of organizations in Nigeria have sprung up over the years to provide a solution to the problem of business funding. Their goals are to encourage entrepreneurial activities and boost the economy at large. Financial assistance through loans has come in several ways: Development Bank of Nigeria, Bank of Agriculture and so many others have provided farmers and small business with financial support.
Grants are safer compared to loans. Unlike a loan where you may have to worry about loan tenure and interest rates, all that’s needed in securing a grant for your business is an authentic business idea and a very convincing pitch.
The grant requirement of most organisations in Nigeria differ. Nonetheless, there are a few general requirements that are applicable to all.
- You must be between 18-40 years of age
- You must be a legal citizen of Nigeria
- Your business must be for-profit and located in Nigeria.
Let’s consider some of the top grant organizations in Nigeria and their requirements.
Tony Elumelu Entrepreneurship Programme
This is an all-year entrepreneurship programme organized by the Tony Elumelu Foundation (TEF). It provides young African entrepreneurs with a seed capital of $10,000. The entrepreneurship programme started in 2015 and it is firmly concerned with training and mentoring entrepreneurs.
To apply for this grant:
- You must be a legal citizen of any African country between the ages of 18 and above.
- Your business must be profit-oriented and based in Africa.
Next, log on to the website through the TEEP portal. There you would be required to submit your application and provide necessary details as requested. A confirmation email would be sent to you after a week. Though the 2019 application exercise has concluded, there’s still an opportunity to prepare ahead for the 2020 round.
GroFin has a $100 million fund size to support small and medium businesses across Nigeria. The financial institution is dedicated to providing financial support to budding and growing businesses across Africa and the Middle East. Grofin not only provides Small and Medium Enterprise (SMEs) with funding but also business support which involves business diagnostic and business planning. This support is to help entrepreneurs grow their business by making good use of the funds given to them. The desired business finance has to be between $100,000 and $1.5 million.
To be eligible for this business funding your business must be based in Nigeria, Ghana, Kenya, Uganda, Rwanda, South Africa, Tanzania, or Egypt. The business must be solely for a profit with a total turnover of less than $USD15 million.
Africa’s Young Entrepreneurs Empowerment Nigeria (AYEEN)
This initiative was created with the aim of empowering young African entrepreneurs through business enlightenment, mentoring, and funding. This annual programme isn’t concerned with selecting a particular winner, rather, providing hundreds of qualified entrepreneurs with equal access to funding. The qualified entrepreneurs are monitored for a period of one year by the AYEEN.
This initiative provides business training and mentoring mostly in the aspects of agriculture and aquaculture. Notwithstanding, it also gives general business training and mentoring in other sectors of business in the economy.
To be eligible for this funding you must be a legal citizen of Nigeria, and your business must be Nigerian based.
This is a multimedia initiative of the Federal Ministry of Nigeria targeted at promoting entrepreneurial activities among Nigeria’s youthful population. The selected entrepreneurs are given funds, education and guidance, particularly in the economic sectors that critical to the government in boosting the nation’s wealth.
To be a part of YouWin Connect:
- You must be a Nigerian graduate of any tertiary institution.
- Only applicants between the ages of 18 and 40 can apply.
- Applicants and their businesses must be resident in Nigeria.
- Past YouWin beneficiaries and employed civil service staff are not qualified to apply.
Bank of Industry
The Bank of Industry’s Youth Empowerment Support (YES) is a recent initiative which aims at empowering budding and intelligent entrepreneurs; and also tackling the issue of unemployment. It teaches interested youth the basics of starting a business and provides the necessary skills needed to successfully start and develop a business.
Its participants are selected from a pool of young entrepreneurs with innovative business ideas between 18-35 years of age. The minimum educational qualification required is an Ordinary National Diploma (OND).
The YES programme consists of:
- Mandatory 8-week Business management and entrepreneurship online training.
- 5 days of intensive in-class training on Business management and entrepreneurship to cover the selected 5 modules for the course.
- Technical skill training and development
- Funding of businesses by the SME cluster of the Bank of Industry.