We delighted to inform you that the Enugu State Government portal for the Enugu SME Agency in partnership with Fidelity Bank Plc Enugu SME Micro Credit Lending ProgramIs officially open. Applicants are advised to read about the criteria and requirements carefully before applying for the loan.
The Enugu State Government, through the Enugu SME Agency in partnership with Fidelity Bank Plc have launched the Enugu SME Micro Credit Lending Program.
The Enugu SME Centre (“Enugu SME” or “Agency”) is the State Developmental Finance Institution tasked with the purview of acting as a catalyst for job creation and facilitating easier access to resources required by entrepreneurs and investors in the Micro, Small and Medium Enterprises (MSMEs), to achieve sustainable economic development in Enugu State.
Initiating and articulating policy ideas for small and medium enterprises growth and development; Promoting and facilitating development program, instruments and support services to accelerate the development and modernization of MSME operations.
Business line of credit made to provide working capital to small business owners from Enugu and operating in Enugu.
Limit
- Single Obligor Limit – N300,000 (Three Hundred Thousand Naira Only)
Tenor
- One month moratorium and Ten (10) Months Repayment (11 months)
Interest Rate
- 9% a year or 0.75% a month. Interest deducted upfront for loan period
Loan Eligibility
- Ndi-Enugu in credible economically businesses in Enugu State.
- Can apply as a business name or as an individual.
- Sufficient CRMS Report for anyone applying above N150,000 (One Hundred and Fifty Thousand Naira Only).
- All economically viable sectors and disabled.
- Verifiable means of identification.
- Submission of agreed documentation checklist for application.
- Free mandatory financial literacy training before disbursement.
How to process the Loan
Implementation Method
- The loan program shall be implemented using an online and offline structure where the initial application would be completed online.
- Potential applicants that successfully pass the initial application process (online application) are then invited to the Agency for discussion to understand the use of funds and strength of guarantor.
- If approved, applicant is sent to Fidelity Bank Plc to finalize their documentation as part of the conditions precedent to drawdown.
- Upon approval, the funds would be disbursed to the beneficiary’s Fidelity Bank Plc, with interest deducted upfront.
- Disbursement is based on a successful CRMS Report.
Security
- One Guarantor ( from Private Sector, Public Sector from special assistant or Civil Servant from level 7) with undated cheque for Principal.
- Execution of Global Standing Instruction (GSI) and Lien of BVN Form (either incorporated into Offer Letter or Standalone document).
- Direct Debit Instruction Letter
- Monthly repayment cheques
- Guarantors Cheque from Commercial Bank (not MFB).
- Letter of Undertaking
- Personal Guarantee
- Other securities as may be determined
Repayment Plan
- One month moratorium on principal
- Interest payable monthly in arrears
Default
- Clients that fail to remit their monthly repayments will be notified immediately, and if after 7 days they remain in default, intention to present the guarantors cheque will be communicated and effected by the 7th day.
- The moment a cheque returns, or a Direct Debit Mandate is dishonoured, Enugu SME Centre and Fidelity Bank Plc will begin engaging the guarantor for payment of the outstanding amount.
Documents for Uploading
- National Identification
- Last 12 months account statement from commercial bank
- Passport photograph
Other Important Considerations
- Mandatory financial literacy training before disbursement.
- Download of Xend App (Small Business Productivity App) – Done at Enugu SME Centre
- Disbursement is based on an adequate CRMS Report /(for disbursements above N150,000).
- Applicants without current accounts and/or bank accounts can open with Fidelity Bank Branch GRA with a N5,000 deposit. (with reference) for search fee and cheque issuance.
How to Apply for the Loan Enugu SME Agency in partnership with Fidelity Bank Plc
Interested persons should Click here To Apply
