Self Employed Loan in Nigeria – How to Apply

Self Employed Loan in Nigeria – How to Apply – Here are all you need to know about self employed loan in Nigeria to drive home present and future plans. See below for details; the requirements, and how to apply.

Who is a self-employed person?

This is an individual who does not hold a job for any specific employer. As a self-employed individual, you trade with businesses directly and earn income from such transactions. Many times, the employer does not withhold taxes, therefore it becomes your responsibility.

As a self-employed individual, it can involve you in different occupations, although highly skilled and major in a particular one.

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What are self-employed loans in Nigeria?

Just as the name implies, self-employed loans in Nigeria are loan services available to you as a self-employed individual. The loan scheme and properties vary from one microfinance institution to another.

They design it for self-employed individuals to relieve financial constraints whether in executing a contract or for personal reasons.

Are self-employed individuals the same as Business owners (SMEs)?

Not necessarily. For one, the tax rules that apply to self-employed individuals are not the same as that of a business owner. The owner of a business may hire employees and supersede operations, but technically become an employee and receive a salary. A self-employed person on the other hand is the most times the primary and sole operator of the business.

Where can I obtain a self-employed loan in Nigeria?

You can obtain a self-employed loan from any financial organization that offers it. This is basically every financial origination in Nigeria. It includes microfinance banks, commercial banks, fintech digital-based companies, individuals, and cooperates investors.

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What are the conditions for obtaining a self-employed loan in Nigeria?

The conditions for obtaining a self-employed loan in Nigeria differ from one financial institution to another. For example, microfinance bank loans are generally easier to access, with lesser paperwork and eligibility criteria too. However, they do not offer as much loan sum as commercial banks who have tedious and lengthy procedures/ requirements.

Individuals and corporate investors are not a reliable way of obtaining a self-employed loan in Nigeria. This is because many would rather invest for a share of equity, rather than offer you a loan like conventional banks.

However, they offer the lowest sum among all others.

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Documents Required

With all that being said and done, getting a self-employed loan in Nigeria includes the following documentation:

1. A functional bank account and bank verification number (BVN).
2. A valid means of identification.
3. Loan request form

And other documents as requested by the institution.

Conclusion

Taking a self-employed loan is a quick way to get out of financial obligations. As a self-employed personnel, you can obtain a loan to fund your business or contracts during a trade. The good thing is that there are more than enough institutions willing to offer one. If you meet the criteria, you can simply apply to get a loan today.