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2025 Update: How to Get a Business Loan With no Collateral in Nigeria

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As a small business owner, your primary focus is likely on growing your business and meeting your customers’ needs. But there are times when you might need extra funds, whether to fuel your next phase of growth or to navigate through unexpected challenges.

This is where a small business loan can come in handy. However, one major concern for many entrepreneurs is whether they’ll need to provide collateral to secure the loan. A small business loan can be an excellent solution for entrepreneurs seeking additional funds to expand operations, cover expenses, or manage cash flow. But for many business owners in Nigeria, especially those just starting out, the loan application process can feel overwhelming.

The idea of offering collateral, assets like property, equipment, or inventory that lenders can claim if you fail to repay can add even more stress.Collateral serves as a safety net for lenders, reducing their risk if you’re unable to repay the loan. But what if your business doesn’t have significant assets to pledge? In such cases, securing a no-collateral business loan becomes a top priority. A no-collateral loan can provide the financial boost your business needs without the added pressure of risking valuable assets.

How to Get a Business Loan With No Collateral in Nigeria

Choosing the right business loan in Nigeria can feel overwhelming, especially for new business owners. To make the process easier, we’ve compiled a list of reliable apps that allow you to secure a small business loan without collateral. These platforms are designed to simplify access to funds, helping you focus on growing your business.

1. Carbon: Fast and Flexible Business Loans

Carbon is a leading digital banking platform in Nigeria that offers a range of financial services, including credit access, payment solutions, and tools for managing personal and business finances. For entrepreneurs wondering how to get a business loan with no collateral in Nigeria, Carbon is a great place to start. With Carbon, business owners can access loans of up to 20 million Naira within 48 hours. The loan amount you qualify for depends on your business’s monthly average sales.

Here’s what makes Carbon stand out:

• No Collateral or Guarantor Required: You don’t need to provide assets or a guarantor to secure a loan.

• Quick Processing: Loan approval and disbursement typically take 2-5 days, with funds released within 24-48 hours after approval.

• Flexible Repayment Options: Choose between weekly or monthly repayment plans that suit your cash flow.

• Affordable Fees: New applicants pay a 5% fee on the loan amount, while returning customers enjoy a reduced fee of 4%.

Eligibility Requirements for a Carbon Business Loan

To qualify for a Carbon business loan, your business must:

• Have been operational for at least 6 months.

• Be based in Nigeria.

• Operate in the trade, service, or production sector.

How to Apply for a Carbon Business Loan

Applying for a Carbon business loan is simple:

1. Download the Carbon app or visit their website.

https://getcarbon.co/loans

2. Create an account and provide the required documents, including:

• A valid ID.

• 6-month bank statement.

• A CAC certificate showing the names of your company’s owners or directors.

Carbon’s user-friendly platform and fast disbursement process make it an excellent choice for business owners looking for how to get a business loan with no collateral in Nigeria.

https://getcarbon.co/loans

 

2. Renmoney: No-Collateral Business Loans for Growth

 

Renmoney is a trusted digital bank in Nigeria that provides a wide range of financial services, including personal and business loans, savings accounts, and investment products. For entrepreneurs exploring how to get a business loan with no collateral in Nigeria, Renmoney offers a straightforward and accessible solution.

Here are the key features of Renmoney’s business loans:

• Loan Amounts: Access up to 15 million Naira to fund your business needs.

• Repayment Period: Flexible repayment terms of up to 24 months.

• No Collateral Required: You don’t need to provide assets to secure the loan.

Eligibility Requirements

• You must be at least 18 years old.

• Your business must have an existing bank account with any commercial bank in Nigeria.

 

How to Apply for a Renmoney Business Loan

 

1. Create an Account: Download the Renmoney app from the Play Store or App Store and sign up.

2. Provide Your Information: Fill in your personal and business details.

3. Verify Your Information: Ensure all details are accurate and wait for approval.

4. Receive Funds: Once approved, the loan amount will be disbursed directly into your business bank account.

Renmoney’s seamless application process and no-collateral requirement make it a top choice for business owners seeking financial support.

https://web.renmoney.com/login/new

 

3. Payhippo: Fast Loans for Small and Medium-Sized Businesses

 

Payhippo is a digital lending platform designed to help small and medium-sized enterprises (SMEs) access quick and hassle-free business loans. If you’re looking for ways on how to get a business loan with no collateral in Nigeria, Payhippo is a reliable option.

 

Here’s what Payhippo offers:

• Loan Amounts: Access up to 3 million Naira within 2-4 hours.

• No Collateral Required: No need to pledge assets.

• Interest Rates: Competitive rates starting at 6.5% per month.

• Repayment Period: Flexible repayment terms of 30-90 days.

Eligibility Requirements for Payhippo Loans

 

To qualify, your business must:

• Be registered with the Corporate Affairs Commission (CAC) or hold a Money Agent license.

• Operate in Nigeria.

• Have a business or corporate bank account.

• Provide 3 months of bank statements, utility bills, business address, and home address.

• Be at least 24 years old.

• Provide one guarantor and two references.

 

How to Apply for a Payhippo Loan

 

1. Download the Payhippo app from the Play Store or App Store.

2. Create an account and complete the application form.

3. Submit the required documents and wait for approval.

4. Receive funds directly into your business account once approved.

Payhippo’s quick disbursement and no-collateral policy make it an excellent choice for SMEs in need of urgent funding.

https://payhippo.ng/

 

4. FairMoney: SME Loans with Competitive Rates

 

FairMoney is one of Nigeria’s leading digital lenders, with over 5 million users and more than 10,000 loans disbursed daily. For business owners looking for how to get a business loan with no collateral in Nigeria, FairMoney offers a reliable and efficient solution.

Here’s what FairMoney provides:

• Loan Amounts: Access up to 5 million Naira for your business.

• No Collateral Required: No need to pledge assets.

• Repayment Period: Flexible repayment terms of up to 6 months.

• Fast Approval: Loans are typically approved within 24-78 hours.

Documents Required for FairMoney SME Loans

To apply, you’ll need:

• A 6-month bank statement.

• A valid ID card.

• Proof of address.

• Bank Verification Number (BVN).

• Passport photograph or selfie.

FairMoney’s user-friendly platform and quick approval process make it a top choice for SMEs in Nigeria.

https://fairmoney.io/products/business-loans/

 

5. ALAT by Wema: Digital Banking for SME Loans

 

ALAT by Wema is a fully digital bank that allows you to manage your finances, send and receive money, and request business loans all from your mobile phone. For entrepreneurs exploring how to get a business loan with no collateral in Nigeria, ALAT SME Loans are a convenient option.

Eligibility Requirements for ALAT SME Loans

To qualify, your business must:

• Have an active ALAT or Wema business account.

• Be registered with the Corporate Affairs Commission (CAC).

How to Apply for an ALAT SME Loan

1. Download the ALAT app from the Play Store or App Store.

2. Log in to your account and click on Loans.

3. Select SME Loan and fill in your business details, including your CAC registration number and financial information.

4. Submit your application and wait for approval.

5. If approved, the loan amount will be disbursed directly into your ALAT or Wema business account.

ALAT’s seamless process and no-collateral requirement make it a great option for SMEs looking to grow their businesses.

https://alat.ng/loans/sme-loans/

 

Conclusion

Whether you’re looking to expand your business, manage cash flow, or handle unexpected expenses, there are countless reasons why your business might need extra funds. Fortunately, securing a business loan without collateral in Nigeria has become easier than ever, thanks to the emergence of digital lending platforms and innovative financial solutions. These platforms are designed to meet the needs of small business owners, offering quick, flexible, and hassle-free loan options. By using these apps, you can access the funds you need without the burden of providing collateral or dealing with complicated application processes.