Similarly, to BOI, the Central Bank of Nigeria, in its initiative to tackle unemployment and poverty in the North-eastern part of Nigeria launched a reorientation programme called “Entrepreneurship Training Programme” through its centre, “CBN entrepreneurship development centre” in Maiduguri. We gathered, from one of the Nigerian dailies (The Sun, Thursday 8/8/2016. Pg.2) that in the month of August, a total number of 6,532 youths including persons displaced by Boko Haram insurgency completed their training from this development centre, whom are mostly Borno state indigenes. However, there is the likelihood that certain percentage of these participants did not submit loan requests in which the total number of loan requests submitted were not approved.
It is noteworthy that the above scenario is not too different from the general public, majority of people who seeks government intervention funds end up disappointed; only 15% comes out successful. The question is; what happened to the 95%
This lead to our interview with Mr. Ubah Olaje Francis, the General Manager of Development Nexus Nigeria Limited(DNNL) one of Bank of Industry BDSP (Business Development Service Provider). They help SMEs to: Build their capacity for business; Develop bankable business plan; Support growth initiatives, and Position for long term viability.
Dialogue Between Our Team and Mr Ubah Olanje Francis
Q1. Can we meet with you?
I’m Ubah Olaje Francis the General Manager of DNNL, married with two lovely kids. My firm provide business services to private individuals, such services includes; registration of businesses, organise financial training, carryout feasibility studies, provide skill acquisition training to groups of people and facilitate loan securement between loan seekers and the government.
Q2. Who can apply?
The facilities are available to MSME’s, entrepreneurs and individuals with registered company. It is also available to start-ups, business expansion purposes, or for those who are in need of working capital.
Q3. What are the challenges of loan seekers?
Most Nigeria MSME’s don’t know the criterial for access the loan, they don’t have the required documentations needed e.g. tax clearance, registration documents, Business plan, viable collateral securities- for those who seek ₦10 million and above.
He further explained that most individual get frustrated in their eagerness to get a tax clearance and ends-up abandoning the process.
Q4. Are there Loan facilities with NO collateral?
Yes, he said. BOI has several packages without loan collateral, these facilities are available to entrepreneur who are into fashion designing, printing, bakery or processing, agriculture (fish pond, poultry) etc. He added that the loan facilities are also available to those seeking for loan below ₦10 million, but you will be expected to come with two standard guarantors who are graded i.e. senior public servants or private employees preferably Bank staff.
Q5. Other matters
He made mention on the sectors in which the government is focused on; he added that the government has being singing in the ears of Nigerians that she is try to diversify the economy through agriculture, even the blind can see it and the deaf can hear it, he also added that people with agricultural inclined businesses will be given favourable conditions. Aside that he said that sixty percent (60%) of the fund has been set aside for women driven business as a means to promote gender equality in the business arena. He lastly added, that the youth too will be given favourable conditions.
Q6. Success tip
He said; as long as you meet the necessary requirement, that one will surly get the loan. He added that people who are sure of obtaining this loan, are individuals who are members of a trade group or association, because the trade group serves as a collateral basis and guarantee. He also added, that a cluster group of individuals from a particular line of trade seeking loan are also successful in accessing the loan. He further advised that individuals and entrepreneurs should make every effort to join their various industrial trade association.
Q7. How can you help those people who are in need of such funds?
He concluded by informing us that they are licenced BDSP of Bank of Industry i.e. BOI consulting firm, who serve as an intermediary between the private individual and BOI, they educate client on the facilities available and how to access it, the help potential individual to get necessary documentations needed and how best they can meet the required criteria.
But outside that, we are business consulting firm, we carryout feasibility studies and also write business plan for private individuals and groups too, we also carryout financial training and capacity building for business.
Below are his details and how you can reach him
Ubah Olaje Francis
Development Nexus Nigeria Limited(DNNL)
Suit 9, peoples Plaza, NO. 9 Jere Street, Garki II,
08169028018 Call or WhatsApp