The GROW project is a Government of Uganda initiative funded by the World Bank that arose out of the need to respond to the needs of women entrepreneurs who want to grow their businesses. Under the initiative, women are advanced loans of between Shs4m and Shs200m
The Generating Growth Opportunities and Productivity for Women Enterprises (GROW) Project loan facility was launched at Hotel Africana in Kampala on Wednesday.
The GROW project is a Government of Uganda initiative funded by the World Bank that arose out of the need to respond to the needs of women entrepreneurs who want to grow their businesses. Under the initiative, women are advanced loans of between Shs4m and Shs200m
Speaking at the launch, Vice President Jessica Alupo urged women entrepreneurs that when they chose to borrow for business expansion and growth, they should borrow wisely.
‘Before taking the loan, have a clear business plan. Identify how the funds will be used—whether it’s for expansion, acquiring new equipment, or improving product quality. Every shilling borrowed should have a purpose and contribute directly to business growth’ she said.
The vice president also asked them to invest in what brings returns.
“Prioritize investments that will yield measurable returns. For instance, purchasing machinery to boost production capacity and drive more sales is a smart use of the loan. Avoid using funds for non-essential or luxury items that do not contribute to business growth or profitability,” she stated.
The project is being implemented through six banks of Equity Bank, Centenary Bank, dfcu Bank, Finance Trust Bank, Post Bank and Stanbic Bank.
Here are the bank requirements one requires to access the loan.
dfcu BANK
UGX 4m-200m 10% per year at Declining balance
AGRICULTURE PRODUCTION
Amount: UGX 4m-UGX 200m
Tenure: up to 2 years
Requirements:
Proof of cashflows (one year bank statement)
Collateral (As applicable le land title, land sales agreement)
Proof of businesses (trading license) Facility is secured by bank
BARAKA LOANS
Amount: UGX 4m-UGX 30m
Tenure: 1month-12 months
Requirements:
Proof of cashflows (one year bank statement)
Proof of businesses (trading license)
Collateral (land title, land sales agreement)
BUSINESS GROWTH LOANS
Amount: UGX4m-UGX200m
Tenure: up to 2 years Requirements:
Proof of cashflows (one year bank statemerit
Proof of businesses (trading license) Collateral (As applicable is land title,
land sales agreement)
TRADE/ASSET FINANCING LOANS
Amount: UGX 4m-UGX 200m
Tenure: up to 2 years
Note: Up to 80% financing depending on the type of asset being purchased and up to 70% of contract sum. Minimum unsecured- UGX 100 million for trade financing
Requirements:
Proof of cashflows (one year bank statement)
Proof of businesses (trading license)
Collateral (land title, land sales agreement)
EQUITY BANK
UGX 4m-200m 10.5% per year at Flat interest rate
LEVEL 1 LOANS
Amount: UGX 4m – UGX 20m
Tenure: 3-24 Months
Requirements:
New micro enterprises.
One guarantor is required and should be permanent.
Depending on the cash flows of the Business/enterprise financed.
Collateral: Bibanja, titled land, lease offers, Motor vehicles.
LEVEL 2 LOANS
Amount: UGX 20m – UGX 40m
Tenure: 3-24 Months
Requirements:
Micro growth.
One guarantor is required and should be permanent.
Depending on the cash flows of the Business/enterprise financed. Collateral: Bibanja, titLed land, lease offers, Motor vehicles.
BUSINESS GROWTH LOANS
Amount: UGX 40m-UGX 100m
1 Tenure: 3-24 Months
Requirements:
Micro growth.
One guarantor is required and should be permanent.
Depending on the cash flows of the Business/enterprise financed. Collateral: Bibenje, titled land, lease offers, Motor vehicles
FINANCE trust BANK
UGX 4m-200m
10.5% per year at Flat interest rate
BUSINESS LOAN (SECURED)
Amount: UGX 4m-UGX 200m
Tenure: up to years
Requirements:
Loans made to individual borrowers (not groups).
Acceptable securities are; Chattels (furniture, home appliances), unregistered land (Bibanjas),
Land Titles, Log books.
Evidence of business income.
AGRICULTURAL LOAN (SECURED)
Amount: UGX 4m-UGX 30m
Tenure: up to 2 years
Requirements:
Loans made for individual borrowers (not groups).
Collateral Chattels (furniture, home appliances), unregistered land (Bibanjas), Land Titles, Logbooks.
Provide evidence of income.
TRADE FINANCE (UNSECURED)
Amount: UGX 4m-UGX200m
Tenure: up to 2 years
Requirements:
No Collateral Required.
Copy of the contracts previously executed and those running
Contract to be financed and call off orders If any.
Audited Books of Accounts (latest) Account statements for last 12 months from other banks.
CopIes of past interim payment certificates contract completion certificates and/or goods received.
Additional documentation as required
POST BANK
UGX 4m-200m 10% per year at Declining balance
UNSECURED LOAN
Amount: UGX 4m-UGX 5m
Tenure: up to 8 months
Requirements:
Guarantors shall not have non- performing loans
Personal guarantee of group executive members
Borrowers eligible for the unsecured facility must belong to a registered group with evidence of group activity (regular meeting, saving, loan repayment)
Evidence of income generating activity to repay loan.
Business age-Not less than 24 months
SECURED LOANS
Amount: UGX 5m-UGX 200m
Tenure: up to 24 months Requirements:
The maximum tenor for the secured loans shall not exceed 24 months.
Cashflows of the borrower.
Collateral with sufficient cover as guided by the Credit Policy.
Personal guarantee of directors or Individual entities as per credit recommendation.
Evidence of income generating activity to repay loan.
Business age-Not less than 24 months
CENTENARY BANK
UGX 40m-200m 10.5% per year at Declining balance
SME BUSINESS LOAN
Amount: UGX 4m-UGX 200m up to 2 years
requirements:
Title deed or other asset(s) being offered as security with valuation report (dated within 4 years of application date), done by bank’s approved valuers.
Site visit reports and Valid licenses for the security business and
MICRO BUSINESS LOAN
UGX 4m – UGX 40m
Up to 2 years
Requirements:
Informal loan security accepted of fixed or movable assets.
Flexible and regular repayment plans.
Guarantees, personal or corporate.
Applicant must be resident within the branch designated area of operation.
There must be an on-going business activity
STANBIC BANK
UGX 4m-200m 10.5% per year at Declining balance
WORKING CAPITAL LOAN
Amount: UGX 4m-UGX 200m
Tenure: upto 12 months
SHORT TERM LOAN
Amount: UGX4m-UGX 200m
Tenure: up to 6 months
BUSINESS TERM LOAN
Amount: UGX4m-UGX 200m
Tenure: up to 2 years
AGRIBUSINESS FINANCING
Amount: UGX 4m-UGX 200m
Tenure: upto 2 years
OVERDRAFT SECURED
Amount: UGX 4m-UGX 200m
Tenure: upto 2 years
Note: You only pay interest on what you use, NOT on the full amount
VAF SECURED
Amount: UGX 4m-UGX 200m
Tenure: upto 2 years
Note: Purchase of Office equipment specialised equipment e.g. Medical, factory equipment, production line equipment. Vehicles e.g. commercial, tractors, yellow metal, Personal care.
LOAN REQUIREMENTS
Founding documents (Trading Licence Inclusive)
Proof of cashflow (bank statements with existing bankers for recent 12 months period)
Collateral details (where applicable)
Contracts of the business (where applicable)
