Sam Smoots, the CEO of Crown Jewel Int’l USA and a former staff of the Overseas Private Investment Corpation (OPIC), an agency of the US governement said that it is easy to recognize that one of the main problems in Nigeria is access to long – term finance. He also said that his company could give loans on a short term basis at very reasonable interest rates. OPIC, on the other hand, gives loans of between 3-8yrs, between $100,000 to $4 million and the interest rate is about 10%-11% for entrepreneurs starting a new business or wanting to buy a franchise. He talked about US EXIM bank and that they also give loans, and that the US Trade Development Agency helps with feasibilty studies for any new business. He also stated that The African Development Enterprise Corporation with branches in 15 countries and with a fund portfolio of $100 million is a major source for loans. A member of Unilagfaces.com asked Mr. Smoots whether OPIC loans money to prospective franchisees who want to buy franchises from companies that are not American businesses. In response, he explained that OPIC does not loan money for buying franchises that are not US related. He however, recommended the International Finance Corporation (IFC), for funding of non-American franchises. In conclusion, he gave the web addresses of three organizations that entrepreneurs could get finance from as follows:
CTO has been so much fun. so educative and enlightening. Kudos to all exhibitors and speakers.