UBA Business Loan: How to Apply

You can now get a UBA business loan with access to up to N10million to help grow your business quickly.

The various types of business loans that you can get from the United Bank for Africa include:

  1. Temporary overdraft
  2. Invoice Discounting Facility (IDF)
  3. Young Entrepreneur Finance Scheme
  4. UBA creative industry finance
  5. UBA medical loan
  6. Agri-Business Small and Medium Enterprise Investment Scheme (AGSMEIS)
  7. Trade finance
  8. Development Bank of Nigeria (DBN)

These can be further broken down thus:

#1: Temporary Overdraft

With a temporary overdraft from the United Bank for Africa, your business can have access to extra cash which can be used to finance a few of its daily expenses.

This kind of financing comes as a short-term facility for small businesses where the business owner can only borrow money for up to a month (30 days). Interests are usually taken on any money withdrawn from the temporary overdraft.

#2: Invoice Discounting Facility (IDAF)

This kind of financing helps you to cover late payments by customers, as well as unpaid invoices. It can, in turn, help you maintain a consistent cash flow for your business.

Here, the small business owner gets a cash advance to cover the unpaid invoice, so long as he can show proof of the unpaid invoice.

Now, any money paid is discounted from the total value of the invoice.

#3: Young Entrepreneur Finance Scheme

This is a UBA business loan that offers credit facilities to young entrepreneurs in Africa. Qualified applicants are required to show a strong and bankable business idea.

#4: UBA Creative Industry Finance

This is a program that is backed by the CBN under the initiative of the United Bank for Africa that gives you access to as much as N500million in funding at a 9% per annum interest rate.

The entire length of the loan offer extends up to ten (10) years, afterchich you’d be required to pay back all the funds borrowed.

To qualify, you must be operating a business that’s either in the fashion, ICT, movies and music industry.

#5: UBA Medical Loan

This is a UBA business loan for companies that operate under the health industry.

Funding is provided in the form of a term loan or through asset financing.

To qualify for this kind of UBA business loan, your business must be operating either as a diagnostic center, medical lab, dental clinic, hospital, optics, and pharmacy.

You can get as much as N50million in funding for up to three (3) years.

#6: Agric-Business Small and Medium Enterprise Investment Scheme (AGSMEIS)

AGSMEIS is an initiative by the Central Bank of Nigeria (CBN) to assist agricultural businesses within the country. They also help to provide financial support to micro, small and medium-sized enterprises (MSMES) within the country.

You can get as much as N10million in funding for up to seven (7) years, with a 5% per annum interest rate.

#7: Trade Finance

With this, you can get a line of credit, as well as an LC discount financing for your importation and exportation business.

Generally, it offers financing to businesses that are focused in international trading activities.

#8: Development Bank of Nigeria

This is a UBA business loan that offers cash advances to micro, small and medium-sized enterprises (MSMES) within the country.

Depending on the type of your business, you can have access to funding for up to ten (10) years, with some really flexible interest rates.

How to Get a UBA Business Loan

The qualification requirements for a UBA business loan includes the following:

  1. You business must have already been registered officially under the Corporate Affiars Commission (CAC)
  2. You must own a UBA business or corporate bank account
  3. Your business must have been in operation for a minimum of one (1) year
  4. You must have good credit – this includes no bad debt or unpaid obligations

Thus, you will be required to fill out or submit the following necessary documents:

  • A UBA business loan application form
  • Your company profile that includes the name of your business, the type of industry that it operates under, and all other necessary details that relate to your business
  • Your business plan
  • The cash flow budget of your business
  • Your personal bank statements
  • A well-audited financial accounting of your business
  • The Certificate of Incorporation of your business
  • Valid means of identification. This includes a government approved identity card such as your national identity card, international passport, drivers license, and voters card)
  • Your proof of address or living residency
  • Information relating to your collateral (if required)

Application for a UBA business loan should be done directly in the bank.

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