MSME Survival Fund and Guaranteed Offtake Scheme are a part of the N2.3trn stimulus package of the Nigerian Economic Sustainability Plan (NESP). As a part of the federal government plan to sustain Micro, Small and Medium Enterprises most affected by the Covid-19 pandemic, President Buhari approved N60B for the MSME Survival Fund and N15B for the Guaranteed Offtake Scheme.
These two initiatives are to stabilize and help micro, small and medium businesses pay employees, which will, in return, save existing jobs, and also increase employment opportunities.
The Nigerian Economic Sustainability Plan was set up by the Federal Government to combat negative economic impacts of the Covid-19 pandemic.
Suggested: 22 Verified FG & International Grants for Small Businesses in Nigeria
In keeping to its promise to support businesses overcome challenges posed by the COVID-19 pandemic, the FG is set to commence nationwide implementation of 2 MSMEs initiatives; the MSMEs Survival Fund (N60b) and Guaranteed Offtake Schemes (N15b). Read the details, register and RT. pic.twitter.com/hSa9llwMKu
— Bashir Ahmad (@BashirAhmaad) September 10, 2020
MSME Survival Fund
The MSME survival fund is not a loan, but a conditional grant given to Micro, Small and Medium Enterprises to retain employees and save employment.
The Federal Government is targeting to save over 1.3 million jobs nationwide and to impact over 35,000 people per state directly.
Duration of the fund:
This initiative is to provide immediate relief to businesses for three months.
Beneficiaries of the fund:
The focus of the MSME Survival Fund is to help two groups of people: MSMEs and self-employed individuals.
Both the MSME Survival Fund and Guaranteed Offtake Scheme have made provision of a 5% special need and 45% female business owners.
Registration Steps and Requirements
Requirement for Registration
To register, you must be the Founder/Proprietor/Administrator of the MSME that you are trying to register.
Register your personal details to start the payroll support application. Instructions at the top of the form will guide you on the required fields that need to be filled to complete the initial registration.
On registration, an activation code would be sent to your phone and also your email to enable you to activate your account. On successful activation, you would be asked to log in to your account where you would see your registration progress and other profile details.
Step 1 – Personal Registration
Step 2 – Register Your Organization
Note: You must register for your unique SMEDAN Unique Identification Number (SUIN) and you would need to fill in the details of your employees, but unfortunately, that form is not available until October 1, 2020.
Guaranteed Offtake Scheme
While the goal of the MSME Survival Fund is safeguarding employment, the Guaranteed Offtake Scheme is to protect and sustain Micro and Small Enterprises’ income from the adverse effects of the Covid-19 pandemic.
This scheme will birth various initiatives geared towards boosting production capacities of micro and small businesses.
Duration of The Guaranteed Offtake Scheme
This scheme is to last for a period of 3 months.
Beneficiaries of the Fund
MSMEs registered in Nigeria
Features of the MSME Survival Fund and Guaranteed Offtake Scheme
Payroll Support: For a period of 3 months, 500,000 MSMEs affected by the Covid-19 pandemic will be supported with N30, 000 – N50,000 per employees to pay their staff.
Free Business Registration: 250,000 new small businesses will be provided with free CAC business name registration.
General Grant: 100,000 MSMEs affected by Covid-19 are to be granted N50,000 each survival grant.
Operations Grant: 333,000 transport business operators and artisans will be provided with N30,000 each to make up for their income loss during the Covid-19 pandemic.
Guaranteed Offtake Scheme: The federal government will bulk purchase products from over 100,000 businesses to keep these small businesses functioning and save jobs.
Conditions for Applicants
- Must be Nigerian owned business
- Business must be registered with the CAC
- Business must have more than 3 paid employees
- The CEO must have BVN
- Self-employed individuals include the following:
- Transportation business operators like Uber drivers, Bolt drivers, bus drivers, Taxi drivers
- Artisans like electricians, bricklayers, plumbers, etc.
Note: Please ensure you register your business at www.smedanregister.ng before applying for the payroll support fund.
What is the TakeOff Date of the SME Survival Fund
The take-off dates of the SME Survival funds have been scheduled based on the categories of the intending beneficiaries. They are as listed in the photo attached.
What is the address of the SME Survival funds Portal
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