2.2 How to get a loan

How to obtain a grant or loan through the Small Business Beureau  under Micro and Small Enterprise Development Project

To obtain a grant or loan, small business owners must:

Be registered through the Deeds Registry. The Small Business Bureau can help get your business registered.

Employ not more than twenty-five persons

Be involved in sectors or business activities that are not harmful to the environment, especially priority sectors such as farming;  processing;  aquaculture and low carbon activities such as energy efficient transportation; internet and computer services; entertainment; and arts and craft.

General loan requirements would be those of Republic Bank Ltd. and GBTI for loans as follows:

  1. Business proposal – if start up business
  2. Proof of other existing income – if start up
  3. Financial statements – for at least 1 year (existing business seeking to expand)
  4. Business registration and relevant licenses and permits (specific to type of activity)
  5. Evidence of equity contribution – min. of RBL – 25%, GBTI – 10%
  6. Relevant collateral documents – property, vehicle or deposit account are accepted by banks (must cover min. of 60% of loan in value)
  7. NIS
  8. TIN
  9. ID – (age requirement – 18 to 60)

The Small Business Bureau does preliminary assessment based on submission of the above mentioned (viability and associated risks) and send the applicant with a referral letter to the bank of their choice. The bank, based on individual risk assessment upon interviewing client could ask for additional information/documentation.

How to obtain a loan through the Institute of Private Enterprise Development

IPED loan moneys for business development to non-traditional customers – persons and businesses anywhere in Guyana who may not have access to commercial banking. IPED has financed activities in agriculture, fishing, and the service industry, industrial projects and retail/ commercial activities.

Loan Categories

  • Micro Loans – up to $600,000
  • Small Loans – up to $5,000,000
  • Medium Loans – up to $20,000,000

Loan Requirements

Applicants should:

  • Have a business idea
  • Be at least 18 years old
  • Have Proof of Identity (e.g. National ID Card or Passport)
  • Have Proof of Address (e.g. Utility Bill)
  • Be able to demonstrate a personal commitment to the project
  • Have two character references
  • Provide loan collateral, with proof of ownership
  • Provide an equity contribution in cash or kind
  • Provide application and legal fees
  • Have licences from State Agencies if required by statute (e.g. Shop licence, Food-Handler’s Certificate or Import/ Export licence)
  • Have been in business for at least 6 months