by In Nigeria, securing a business loan can be challenging for small and medium enterprises (SMEs) and startups. However, having your business registered with the Corporate Affairs Commission (CAC) significantly increases your chances of approval.
The CAC certificate serves as a formal proof of your business’s legality and credibility, which many financial institutions require before granting a loan. This article provides an in-depth guide on how to get a loan with your CAC in Nigeria, covering the types of loans available, banks that offer them, and the exact process to follow.
Understanding CAC and Its Role in Business Loans
The Corporate Affairs Commission (CAC) is the Nigerian government body responsible for registering businesses and companies. Once registered, you receive a Certificate of Incorporation, a unique business name, and a registration number. This certificate proves your business is recognized by law — a major requirement for obtaining loans from banks, fintech platforms, or government funding agencies.
Financial institutions trust CAC-registered businesses because registration shows legitimacy, accountability, and intent for long-term operation. In essence, your CAC document transforms your small business from an informal venture into a recognized entity worthy of credit.
Types of Loans You Can Get with Your CAC in Nigeria
1. SME Loans
Small and Medium Enterprise (SME) loans are the most common credit facilities available for registered businesses. They are provided by both commercial banks and microfinance institutions to support business growth, inventory expansion, or equipment purchase.
2. Government-Backed Loans
The Bank of Industry (BOI), Development Bank of Nigeria (DBN), and SMEDAN (Small and Medium Enterprises Development Agency of Nigeria) offer loan schemes specifically for CAC-registered businesses. These loans usually have lower interest rates and flexible repayment plans.
3. Fintech Business Loans
Platforms such as FairMoney, Carbon, Renmoney, and QuickCheck provide digital business loans that can be accessed online using your CAC number, business bank statement, and basic documentation. These loans are quick, convenient, and often collateral-free.
4. Bank Loans for Registered Businesses
Traditional banks like Access Bank, First Bank, UBA, Zenith Bank, and GTBank offer specialized SME loan programs for CAC-registered entities. These loans can range from ₦100,000 to over ₦10 million, depending on your business size and creditworthiness.
Banks That Offer Loans with CAC Registration in Nigeria
Access Bank – SME Loans
Access Bank provides various loan packages under its Access SME Program for registered businesses. With your CAC certificate, you can apply for:
- SME Working Capital Loan
- Term Loan
- LPO Financing
- Overdraft Facilities
Requirements:
- CAC Certificate and TIN (Tax Identification Number)
- Valid business bank account (corporate account)
- Business plan or loan purpose
- At least 12 months of business operations
First Bank – SME Connect Loan
First Bank offers loans to businesses that have been registered with the CAC. The FirstSME loan allows you to apply for up to ₦5 million depending on your turnover.
Required Documents:
- CAC incorporation certificate
- Business account statement (6–12 months)
- Valid ID and recent utility bill
- Loan application form and business registration details
UBA – SME Loan Facility
United Bank for Africa (UBA) provides SME loans to CAC-registered entities in Nigeria under its UBA Business Edge program.
Loan Features:
- Loan amount from ₦500,000 to ₦10 million
- Flexible repayment up to 24 months
- Requires CAC certificate and business bank account
Eligibility:
- Business must have operated for at least one year
- Must present business financial records and valid identification
Zenith Bank – MSME Loan Scheme
Zenith Bank offers MSME loan support to CAC-registered small businesses. These loans are designed to fund equipment, raw materials, and business expansion.
Documents Needed:
- CAC certificate
- Business plan and financial statements
- Valid identification and guarantor’s information
- Proof of business activity (bank statement or invoices)
Fidelity Bank – Small Business Loan
Fidelity Bank runs an SME-friendly program for legally registered businesses. With your CAC registration, you can access:
- Fidelity Easy Loan for SMEs
- Overdraft facilities
- LPO financing and contract loans
Requirements:
- CAC incorporation certificate
- Business account with Fidelity Bank
- Valid ID and proof of address
- Business operating for at least six months
Fintech Companies That Offer Loans with CAC in Nigeria
1. FairMoney Business Loan
FairMoney now provides business loans for SMEs using CAC verification. You can apply via their mobile app by submitting:
- CAC number
- Business name and BVN
- Bank account statement
- Loan purpose
Advantages: Quick approval, no collateral, and funds disbursed within 24 hours.
2. Carbon (GetCarbon) Business Loan
Carbon offers business loans to entrepreneurs with valid CAC documents. It uses digital evaluation methods to determine eligibility.
Loan Features:
- Loan range: ₦100,000 – ₦5 million
- Duration: 1–6 months
- Requires CAC number, TIN, and business bank details
3. Renmoney SME Loan
Renmoney provides loans for both individuals and CAC-registered businesses. It does not require collateral but expects proof of consistent business transactions.
Requirements:
- CAC incorporation certificate
- Business bank statement (6 months)
- BVN and ID verification
4. QuickCheck Business Loan
QuickCheck provides instant business loans through its mobile platform. Once you upload your CAC certificate and bank details, you can qualify for loans of up to ₦2 million.
Features:
- Instant disbursement after approval
- 3–12 month repayment period
- No collateral required
How to Apply for a Loan Using Your CAC in Nigeria
Step 1: Open a Business Bank Account
Ensure your business has a corporate bank account opened with your CAC and TIN details. Banks prefer to fund corporate accounts over personal ones for traceability and credibility.
Step 2: Prepare Necessary Documents
You will need:
- CAC Certificate of Incorporation
- Tax Identification Number (TIN)
- Valid ID (National ID, Passport, or Driver’s License)
- Business plan and loan purpose
- Bank statements (6–12 months)
- Proof of business address
Step 3: Choose the Right Lender
Decide between a bank loan, fintech loan, or government-backed loan depending on your business type, size, and required amount.
Step 4: Submit Your Loan Application
Most banks and fintech companies allow you to apply online or in-branch. Fill in your business details accurately and attach all required documents.
Step 5: Loan Review and Approval
The lender will verify your CAC details, check your business bank transactions, and assess your repayment capacity. If approved, funds are usually disbursed directly to your account.
Benefits of Having a CAC When Applying for a Loan
- Credibility and Legitimacy: Lenders prioritize registered businesses over informal ones.
- Access to Larger Loan Amounts: CAC registration opens access to higher credit limits.
- Government Grants and Partnerships: Only CAC-registered entities qualify for programs from BOI, SMEDAN, or DBN.
- Tax Benefits and Contracts: With CAC registration, you can access contracts that require official documentation.
- Business Growth Opportunities: Loans obtained with CAC support expansion and increased revenue potential.
Tips to Increase Your Loan Approval Chances
- Maintain a consistent cash flow through your business account.
- Ensure your business plan clearly outlines the purpose and repayment strategy.
- Pay existing debts on time to maintain a good credit score.
- Keep your business records and CAC information updated.
- Choose lenders that specialize in your industry or business size.
Conclusion
Obtaining a loan with your CAC in Nigeria is one of the most effective ways to secure funding for your business growth. Your CAC certificate acts as a stamp of legitimacy, opening the door to a variety of loan options — from traditional bank loans to fintech platforms and government schemes.
Whether you are a startup, small business, or established company, ensuring that your business is properly registered and maintaining a healthy financial record can help you access the right financing to grow and scale successfully.
