The LSETF Loan Program in Lagos State offers affordable funding to help small businesses grow, create wealth, and generate employment opportunities.
With a low 9% interest rate per year, this loan scheme is available to registered business owners in Lagos State.
TACT LOAN
If you live or have a business in the Lagos East Senatorial District (Epe, Ibeju-Lekki, Ikorodu, Kosofe, or Somolu), you can apply for the TACT Loan facilitated by Senator Mukhail Adetokunbo Abiru. You can access up to one million naira at a 6% interest rate per year. The loans are divided into four categories:
- Nano Loans (N10,000 – N100,000)
- Micro Enterprise Start-up Loans (N50,000 – N250,000)
- Micro Enterprise Loans (N50,000 – N500,000)
- Small & Medium Enterprise Loans (N500,000 – N1,000,000)
Type: Entrepreneurship
Deadline of LSETF Micro-Enterprise Loans
The deadline for LSETF Micro-Enterprise Loans 2024 is March 31, 2024.
About LSETF Micro-Enterprise Loans
The LSETF was created under the Lagos State Employment Trust Fund Law of 2016 to offer financial assistance to Lagos State residents, focusing on reducing unemployment by creating jobs and generating wealth.
The Fund began with N25 billion in initial capital provided by the Lagos State Government over four years. It also plans to secure more funding from donor partners, development agencies, corporations, and individuals.
Categories of LSETF Micro-Enterprise Loans Loans
Loan Categories Available are :
LSETF Micro-Enterprise Loan (N50,000 – N500,000) per person
- Available to all business owners operating and residing in Lagos State.
- Maximum loan amount: N500,000
- Loan tenure: 12 months (no moratorium)
- Equity: 5% of the loan size
- Interest rate: 9% per annum
Requirements:
- LASSRA ID
- Tax ID (LIRS)
- Valid government-issued identity card
- Bank Verification Number (BVN)
- Two passport photographs
- Six months bank statement
- Business must be in existence for at least one year.
LSETF Micro Enterprise Start-Up Loan (N50,000 – N250,000) per person
- Available to all micro-enterprise start-ups in Lagos State
- Maximum loan amount: N250,000
- Tenor: 12 months
- Equity: 5% of the loan size
- Interest rate: 9% per annum
The Requirements Needed:
- LASSRA ID
- Tax ID (LIRS)
- Valid government-issued identity card
- Bank Verification Number (BVN)
- One passport photograph
- Vocational training certificate from a Lagos State-recognized certifying body.
LSETF Small and Medium Enterprise Loan (N500,000 – N5,000,000) per business
- Available to all small and medium-sized business owners operating and residing in Lagos State.
- Maximum loan size: N5 million
- Tenor: 24 – 36 months
- Equity: 5% of the loan size
- Interest rate: 9% per annum
Requirements:
- LASSRA ID
- Tax ID (LIRS)
- Valid government-issued identity card
- TIN Number (FIRS Tax Identification Number)
- Valid CAC documents
- Bank Verification Number (BVN)
- Two passport photographs
- 12 months corporate bank statement
- Business must be registered with CAC and operational for at least a year
Value of LSETF Micro-Enterprise Loans
The Fund will use various methods to promote job creation in Lagos State, stimulate the Lagos economy, enhance the state’s productivity, support initiatives to attract investments to Lagos, and assist Lagosians in starting or managing their businesses. It also aims to help unemployed Lagosians lacking skills needed for available jobs.
This opportunity is available to:
- Micro-enterprises
- Those in need of N500,000 or less
- Residents of Lagos
Application Process of LSETF Micro-Enterprise Loans
The application processes are as follows:
- Visit Official Website: Go to the LSETF website at https://lsetf.ng/content/msme-loan-programme.
- Create or Log In to Account: New Users: Sign up by providing required information. Existing Users: Log in with your credentials.
- Access Application Form: Find the Micro-Enterprise Loans section on the website.
- Complete Form: Fill in accurate details about your business, including nature, goals, target market, and revenue projections. Input personal and contact information as requested.
- Upload Documents: Prepare and upload required documents like valid ID, business registration papers, financial records, etc.
- Review and Submit: Double-check the form and uploaded documents for accuracy and completeness. Make any necessary corrections before submitting.
- Submit Application: Finalize and submit the application online. You’ll receive a confirmation message upon submission.
- Await Communication: Wait for updates from LSETF regarding your application status. Be ready for interviews or providing more information if needed.
Tips for Successful Application of LSETF Micro-Enterprise Loans
Here are some Tips for Successful Application:
- Make sure all necessary documents are complete and accurate before submitting your application.
- Clearly explain your business idea, highlighting its growth potential and its impact on the local economy.
- Provide realistic financial projections and a strong repayment plan.
- Be ready for interviews or to provide extra information if requested by LSETF.
In Conclusion: The LSETF Micro-Enterprise Loans 2024 initiative offers hope and opportunities for entrepreneurs in Lagos State. With accessible financing, support services, and resources, this program aims to transform the entrepreneurial scene and drive sustainable economic growth in the state. Together with the Lagos State Employment Trust Fund, its partners, and dedicated entrepreneurs, we can build a vibrant and prosperous entrepreneurial ecosystem.
Frequently Asked Questions:
Who can apply for LSETF Micro-Enterprise Loans?
Lagos State residents with viable business ideas or existing micro-enterprises are eligible.
When is the application deadline?
The deadline will be announced soon. Visit the official website for updates.
Is collateral required for the loan?
No, collateral is not necessary for LSETF Micro-Enterprise Loans.
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