Bank of Industry Loan: How to Get Bio Loan in Nigeria

About Bank of Industry

Bank of Industry (BOI) is a Nigerian development finance institution that provides financial assistance to small, medium, and large-scale businesses. It is owned by the Ministry of Finance Incorporated (MOFI) Nigeria (94.80%), the Central Bank of Nigeria (CBN) (5.19%) and private shareholders (0.01%).

BOI loan products include term loans, working capital loans, and project financing for various sectors, including agriculture, manufacturing, and services.

What are the Benefits?

It provides financial services to micro, small, and medium-sized businesses and low-income individuals and groups
It gives out loans for asset financing, working capital, consumer loans, and group loans that go under 500,000 per business.

How Does the Bank of Industry Work?

The Bank of Industry does not lend money for raw materials, land, or buildings. Gives money to the companies that make the equipment: The Bank of Industry is in charge of giving money to the people who make machines and making sure the machines are well received.

How to Apply for Bank Of Industry Loan

To apply for a loan with the Bank of Industry (BOI), you can follow these steps:

Visit the Bank of Industry’s website at www.boi.ng and click on the “Apply for Loan” button on the homepage.
Choose the type of loan you want to apply for from the list of available loan options. The options include SME loans, large enterprise loans, and youth entrepreneurship support (YES) program loans.
Review the requirements and eligibility criteria for the loan option you have chosen. Make sure you meet all the criteria before proceeding with your application.
Fill out the online loan application form with all the necessary details. You will need to provide information about your business, your financial status, and your details.
Attach all the required supporting documents, including your business plan, bank statements, tax returns, and other relevant documents.
Submit your loan application form and wait for the Bank of Industry to review your application. If your application is successful, a loan officer will contact you to discuss the terms and conditions of the loan.
If you accept the loan offer, you must provide additional documentation and meet any other requirements before the loan can be disbursed to your account.

Overall, the Bank of Industry offers a range of loan options for entrepreneurs and businesses of all sizes. By carefully reviewing the eligibility criteria and submitting a complete and accurate loan application, you can increase your chances of securing the funding you need to grow your business.

Bank Of Industry Loan Requirement

The Bank of Industry (BOI) is a Nigerian government-owned financial institution that provides loan facilities to entrepreneurs, small and medium-sized enterprises (SMEs), and large corporations operating within various sectors of the Nigerian economy.

To apply for a loan from the Bank of Industry, the following are the general requirements:

Business registration: The applicant’s business must be duly registered with Nigeria’s Corporate Affairs Commission (CAC).
Feasibility study/business plan: The applicant must provide a comprehensive or feasibility study of the proposed business/project.
Collateral: The applicant must provide adequate collateral/security for the loan facility. This could be in the form of property, equipment, inventory, or other acceptable assets.
Personal Guarantee: The applicant may be required to provide a personal guarantee from a reputable individual who can vouch for their creditworthiness.
The applicant’s credit history will be evaluated to determine their ability to repay the loan.
Industry experience: The applicant must possess relevant industry experience and expertise.
Bank Statements: The applicant’s bank statements for the last six months will be evaluated to assess their cash flow and financial capacity.
Tax Identification Number (TIN): The applicant must have a valid Tax Identification Number (TIN) issued by the Federal Inland Revenue Service (FIRS).

Please note that the specific requirements may vary depending on the type of loan facility being applied for and the applicant’s industry sector. It is recommended to visit the Bank of Industry website or contact them directly for more detailed information on loan requirements.

Read Too: Newcredit Loan – How to Apply, Requirements, Code and Benefits

Bank of Industry Loan Interest Rate And Fees

Term loan interest rates range between 5% and 10% per annum.
The interest rate on Working Capital loans: 12.5% per annum for SMEs, 15% per annum for Large Enterprises
Appraisal Fee: 1% of loan amount payable on collection of letter of loan offer. This fee is non-refundable.
Commitment Fee: 1% of loan amount payable upon acceptance of Loan Offer Letter. This fee is non-refundable.
Monitoring Fee: 0.125% on the outstanding loan balance payable quarterly in arrears.
Revalidation Fees: 1% of the loan amount.
Loan Restructuring Fee: 1% of the restructured amount.
Penal Charge on Outstanding Balance upon Expiration of Facility Tenor: 2.5% of the outstanding amount per month.

Bank of Industry Loan for Agriculture

The Bank of Industry (BOI) is a development finance institution providing financial assistance for Nigeria’s industrial, agricultural, and other economic sectors. BOI offers various loan programs for agricultural enterprises, including smallholder farmers, agro-processing businesses, and other agricultural value chain players.

Some of the agricultural loan programs offered by BOI include:

Agric Processing Fund: This loan supports agro-processing businesses producing crops, livestock, and fishery products. The fund provides financial assistance for acquiring equipment, working capital, and other requirements necessary for establishing or expanding agro-processing plants.
Smallholder Farmer Loan: This loan program targets small-scale crop and livestock production farmers. The loan provides financial assistance for purchasing farming inputs, such as seeds, fertilizers, and livestock feed, and for acquiring farm equipment and working capital.
Agro Equipment Leasing Facility: This loan program supports agricultural businesses needing equipment to enhance their production processes. The loan provides funds for leasing various agricultural equipment, such as tractors, harvesters, and processing machines.
Cottage Agro Processing Fund: This loan program promotes small and medium-scale agro-processing businesses in rural areas. The fund provides financial assistance for acquiring equipment, working capital, and other requirements necessary for establishing or expanding agro-processing plants.

To apply for any of these loan programs, interested individuals or businesses can visit the BOI website or any of its branches for more information on the requirements and application process.

Bank of Industry Loan for Graduates

The Bank of Industry (BOI) is a Nigerian government-owned development finance institution that provides financial assistance to businesses in various sectors of the economy. One of the programs offered by BOI is the Graduate Entrepreneurship Fund (GEF), which provides loans to young and aspiring entrepreneurs who have graduated from tertiary institutions in Nigeria.

The GEF loan is designed to support graduates with viable business ideas requiring funding to start or expand their businesses. The loan amount ranges from N500,000 to N10 million, depending on the business’s needs, and the interest rate is 9% per annum.

To be eligible for the GEF loan, an applicant must meet the following requirements:

Be a Nigerian citizen
Have completed NYSC or provided an exemption letter
Must have a viable business idea
Must be a graduate from a Nigerian tertiary institution
Must have a business plan and a guarantor
Must possess a valid BVN

To apply for the GEF loan, interested graduates should visit the BOI website or any of their branches to obtain the application form. The application process involves submitting a business plan, financial projections, and other relevant documents. Once the application is approved, the loan disbursement process will commence.

It’s worth noting that the GEF loan is just one of the many programs offered by BOI. They also have other financing programs targeted at Nigeria’s micro, small, and medium enterprises (MSMEs). Therefore, you must meet the GEF loan criteria to be eligible for other BOI loans.

Contact Details

Head Office: 23 Marina Street, Lagos.

E-mail: [email protected]

Tel:07002255264

Frequently Asked Questions

Who is the CEO of Bank of Industry Nigeria?

Mr Olukayode Pitan is the CEO of BOI.

Where is the Bank of Industry located in Nigeria?

Bank of Industry is located at BOI House Plot 256, Zone A O Off Herbert Macaulay Way Behind Unity Bank Central Business District Abuja, Nigeria.

Can I Open an Account With the Bank of Industry?

Yes. Customers must open an account with the Bank of Industry before the application can commence.

What is the Aim of the Bank of Industry?

The Bank of Industry’s main aim is to promote the industrial sector of the economy.

What is the Role of the Bank Industry in Nigeria’s Economy?

The role of BOI in Nigeria’s economy is to provide long-term financing and counter-cyclical loans diversified across industries.

Bottom Line

Bank of Industry (BOI) loans provide opportunities for entrepreneurs and businesses to access the capital needed to start, expand or develop their operations. With various loan schemes, flexible repayment options, and competitive interest rates, BOI loans are a great option for those in need of financing. However, as with any loan, it is important to fully understand the terms and conditions before applying to ensure that it is the right fit for your business needs.