I heard about this agri loan from a friend, please I am a charcoal and catfish business owner and I need fund, I could this platform be of assistance to me? In my catfish production and my charcoal business. Please assist on this. +2348025038875
Welcome!!!, I think you need to stay connected to get accurate information you want. Thanks
Please I need a details knowledge on how to acquire this loan for my business expansion… Praise assist on this…
Still await your response
Good Day Sodeeq,
Below are some tips to access funds for agriculture from a financial institution.
The following key points may be very relevant:
- Understanding your area of interest in the agricultural value chain is very important. You need to follow your passion, study the markets, acquire key skills or gather sufficient experience before starting.
- You will be required to register the business as agricultural loans cannot be accessed by individuals or individual accounts. After the registration, you will need to open a corporate account.
- Start small and test the market. It is easier to access facility for expansion purposes than for a startup.
- While starting small, ensure adequate record keeping.
- Detailed feasibility study and/or business plan on the proposed expansion will usually be required.
- It is important to have basic knowledge of cash flow projection for the business. The cash flow projections must be realistic and conservative to stimulate the interest of your banker or the lender.
- It is usually required to have an account history for six to twelve months. This is important to show your company’s turnover and capacity. We advise that you ensure that all funds pass through the account.
- Separate business funds from personal funds.
- Where you desire to buy or purchase items, please obtain pro-forma invoices and tell your bankers that you don’t mind if funds are transferred directly to the supplier. This shows the sincerity of purpose and with no intention to divert funds.
- Technical partnership or there might be need to hire staff with good experience in the same line of business.
- Ensure you have positive or good credit history.
You may need to bear in mind that it is a regulatory requirement to provide a good form of collateral as security for the amount you are trying to access. There are different types of modes of securing the facility.