Thanks to First City Monument Bank’s (FCMB) SME Asset Finance Facility, Small and Medium Scale Enterprises can now easily obtain funds ranging from N5 million to N100 million to buy the machinery they need to develop and grow their businesses. More than 25,800 SMEs have used this facility thus far.
The bank has disbursed about N637.08 billion in loans to entrepreneurs and has given about N45.9 billion in loan guarantee support to SMEs with insufficient collateral coverage during the startup stage.
This asset loan facility, which offers a four-year repayment option, is available to expanding SMEs and early-stage enterprises with less than five years of experience. It can help support the addition of new equipment or replace assets that are depreciating in order to maintain a growing path.
George Ogbonnaya, Group Head of Business Banking at FCMB, asserted that Nigeria’s SMEs have the potential to increase economic growth and productivity. However, they must collect enough money to buy cutting-edge technology and other assets, which is a significant hurdle.
He said, “FCMB understands the challenges SMEs face in securing funding and is committed to providing them with the financial support they need to grow and succeed.”
The FCMB Asset Finance facility is simply set up to give SMEs a practical choice for affordably acquiring corporate assets. SME adoption has been outstanding thus far, and it is aiding their success.
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