Are you a Nigerian looking to fund your business in 2025? If that’s your goal, then you’re in the right place.
In this article, I’ll show you how you can explore the best startup business loans available in Nigeria in 2025,
including the options that give you easy approval even with no revenue, and how you can secure funding with no money.
The amazing thing is that the secret to taking your business from just an idea to reality doesn’t always lie in big money—it lies in knowledge, time, and consistency. The truth is simple: you can get started with the right steps, but “simple” does not mean “easy.”
Securing a startup loan as a beginner might not be easy for you, but it is absolutely achievable even with a newly founded business. Let’s dive into everything you need to know.
What is a Startup Business Loan?
A startup business loan is a form of financing provided by banks, microfinance institutions, government programs, or private lenders to help entrepreneurs launch or grow a new business. Unlike regular loans that require a history of revenue or collateral, some startup loans are designed specifically for beginners with little to no financial track record.
Read More: Top 7 Small Business Loans For Students In Nigeria (Proven Ways To Start Your Dream Business)
In Nigeria, startup loans can come in different forms:
Government-backed loans like BOI (Bank of Industry) and CBN loans.
Microfinance and cooperative loans for small businesses.
Grants and interest-free funding for startups.
Private lenders or fintech companies that provide digital loan options.
The key is to know which one works for you as a beginner with no money.
Why Do You Need a Startup Business Loan?
Many Nigerians have amazing business ideas but lack the funds to get started. This is where startup loans come in. Here are some reasons you might consider one:
To fund your business idea when personal savings are not enough.
To buy equipment or inventory for your business.
To cover operational costs like rent, utilities, and salaries.
To scale your business faster instead of waiting for slow organic growth.
If you are serious about running your business in 2025, a startup loan could be the stepping stone that takes you from just an idea to a profitable reality.
How Do I Startup a New Business in Nigeria?
Starting a business in Nigeria requires both planning and execution. Here are the key steps you should take before even applying for a loan:
1. Identify a Profitable Business Idea
Look around you. What problems exist in your environment that people are willing to pay to solve? That’s the starting point of every successful business. Some trending ideas in 2025 include:
Food delivery and catering services
Online stores (fashion, gadgets, groceries)
Agricultural ventures (poultry, fish farming, cash crops)
Logistics and delivery services
Digital businesses (freelancing, blogging, affiliate marketing, etc.)
Read More: Whogohost Review: 7 Powerful Reasons Why Nigerians Love This Hosting Service
2. Register Your Business
Most lenders in Nigeria prefer to deal with registered businesses. Luckily, with the Corporate Affairs Commission (CAC), you can register a small business name for as low as ₦15,000–₦30,000.
3. Write a Simple Business Plan
A business plan shows lenders that you’re serious. It doesn’t have to be complicated. Just outline:
Your business idea
Your target market
Your revenue model
Your growth strategy
This helps lenders see that you are organized and intentional.
4. Start Small if Possible
Even before applying for a loan, it’s wise to test your idea on a small scale if possible. This way, you already have proof that your business works.
5. Apply for Startup Loans or Grants
Once you’ve taken the basic steps, you can start exploring loan options (which I’ll explain below).
Best Startup Loan Options in Nigeria 2025
Here are the most reliable and beginner-friendly options for funding your startup:
1. Bank of Industry (BOI) Loans
The BOI offers financing for new and small businesses in Nigeria. The amazing part is that they support different industries like agriculture, tech, fashion, and manufacturing.
Interest rates are usually lower compared to commercial banks.
They sometimes partner with government programs to make loans easier for startups.
2. CBN Loans (Central Bank of Nigeria Programs)
Through schemes like AGSMEIS Loan and Anchor Borrowers’ Program, the CBN provides loans for young entrepreneurs in agriculture and small businesses. These loans often come with low interest rates and flexible repayment plans.
3. Microfinance Bank Loans
If you don’t qualify for BOI or CBN programs, microfinance banks can be a good option. Some popular ones in Nigeria include:
LAPO Microfinance Bank
AB Microfinance Bank
Accion Microfinance Bank
They usually offer smaller loans that are easier to access for beginners.
4. Fintech Startup Loans
Thanks to technology, you don’t even need to visit a physical bank anymore. Apps like Carbon, FairMoney, Renmoney, and Branch provide quick business loans with minimal requirements.
Read More: How to Get a Startup Business Loan With No Money
5. Government Grants and Programs
Sometimes, the Nigerian government or international organizations (like Tony Elumelu Foundation, YouWin, etc.) give grants to startups. Unlike loans, grants do not need to be repaid.
How to Get Approved for a Startup Loan With No Money
You might be wondering: “How do I qualify for a loan when I have no money, no collateral, and no revenue?” The secret lies in preparation. Here’s what to do:
1. Build a Strong Business Plan
This is your number-one weapon. Lenders want to see that your business has the potential to succeed.
2. Keep Good Records
Even if your business is new, keep basic financial records. Show proof of small sales, customer interest, or even market surveys.
3. Improve Your Credit Score
If you’ve taken loans before (even small ones), make sure you repay them on time. This builds trust with lenders.
4. Explore Collateral-Free Loan Options
Some fintech companies and government programs don’t require collateral. Focus on these as a beginner.
5. Join Cooperatives or Business Associations
Sometimes, being part of a cooperative society increases your chances of getting a loan. Lenders trust groups more than individuals.
Benefits of Getting a Startup Loan in Nigeria
Access to capital – You can start your business faster instead of waiting years to save up.
Flexibility – Some loans have flexible repayment options that suit small businesses.
Builds your credit history – Successfully paying back a loan can help you qualify for bigger funding in the future.
Opportunity to scale – You can expand your business operations much quicker.
Challenges of Getting a Startup Loan
Of course, it’s not all smooth sailing. Some challenges include:
High interest rates from some lenders.
Strict requirements like collateral or guarantors.
Risk of debt if your business fails.
But with careful planning and smart execution, you can overcome these challenges.
Conclusion
Getting a startup business loan with no money in Nigeria in 2025 is absolutely possible. While it may not be easy, it’s achievable if you prepare yourself with the right tools—a solid business idea, a registered business, a simple business plan, and knowledge of the right loan providers.
Remember: it’s not just about getting money; it’s about using it wisely to start and scale a profitable business.
So, take action today. Your dream business could be closer than you think!