The Lift Above Poverty Organisation Microfinance Bank, (LAPO MFB), on Saturday sensitized operators of Micro, Small and Medium Enterprise (MSMEs) participating in the ongoing 2021 Edo Trade Fair on financial literacy.
The seminar was organised by the Benin Chamber of Commerce, Industry, Mines and Agriculture (BENCCIMA) as part of activities lined up for the 2021 Edo Trade fair.
The theme for the fair is “Expanding the Frontiers of MSMEs through Business Collaboration and Capacity Building”
Speaking to the participants, Ms Eunice Igbineweka, Credit Administrator, LAPO MFB, said that operators of MSMEs need to understand the type of businesses they do before they venture into borrowing loans.
“MSMS operators should have experience in the line of business they are doing and grow that business for a minimum of one year before requesting for loans.
“They should know their sales peak period and the periods they don’t make sales, knowing this will help them know the time to apply for a loan facility.
“There is also a need for MSMEs operators to always attend capacity building seminars so as to gain ideas to grow their businesses”.
She tasked MSMEs to have good record keeping, operate bank accounts for their business transactions as well as do registration of business name to qualify them for funding opportunities.
Commending LAPO for the lecture on financial literacy, Mrs Aina Omo-Ojeonu, President of BENCCIMA, said it was necessary for financial institutions to educate MSMEs on financial literacy before giving them funding.
“Capacity building is key to business development and MSMEs should get knowledge about funding from financial institutions they intend to borrow loans from.
“This is an opportunity for MSMEs to collect loans to grow their businesses”.
Meanwhile, Mr Ogbeiwi Odihi-Ogiamien, Edo Coordinator, Youth Wing of the National Association of Commerce, Industry, Mines and Agriculture, said that the seminar was a step in a right direction as capacity building was key to business sustainability.
“The seminar has given us the opportunity to know how to access loans from MFBs and the need for us to gain knowledge about ways to develop our businesses.
“I appreciate BENCCIMA for this programme and I am advising small business operators to work on their businesses capacity so that they can easily access funding.