Equity Grants


Grant eligibility criteria

  • The firm must be registered on the BIG platform and have attended an Induction Workshop
  • The firm and the Private Finance Company (PFC) providing or proposing to provide Equity or Mezzanine Financing to the lead entity, must both submit the application. A PFC may be a fund management company, finance company and any other types of non-bank finance company permitted by the Securities and Exchange Commission, Nigeria;
  • The PFC must have proven equity or quasi-equity investment in at least 5 other firms in Nigeria;
  • The PFC must have attended one of the Induction Workshops for PFCs organized by the GEM project;
  • The PFC and investee firm must provide an investment plan. The firm’s investment plan must project a minimum Return On Invested Capital (ROIC) of at least 140 percent at the end of the fifth year
  • There must be a signed Shareholder Agreement, or equivalent between the firm and the PFC, stating the proportion of equity or quasi-equity funding to be provided by the PFC, the duration of the PCF’s commitment, the PFC’s fees and incentive remuneration, the envisaged exit of repayment (in the case of quasi-equity) and other conditions governing the relationship between the firm and the PFC;
  • There must be a signed monitoring and supervision agreement, stipulating the PFC’s participation in all investment, finance, HR, marketing and product development decisions of the firm, and an agreement to actively participate in the management of the firm, as demonstrated by a plan to visit the firm at least six (6) times per year;
  • The firm has less than 100 full-time permanent employees.
  • The firm must be registered with CAC at the time of the first disbursement;
  • The firm’s revenues must not exceed $1 million in the last fiscal financial year;
  • GEM funding must be requested for utilization on eligible costs or activities;
  • The firm must satisfy the requirements on Environmental and Social compliance;
  • The tranches of the GEM funding must be utilized within 12 months; and
  • The firm’s business idea must result in increased sales for the business, increased value added per worker and creation of new jobs.

Matching fund requirements

The PFC’s investment in the firm will be considered sufficient matching for the GEM funding.

Eligible costs

The GEM Project will fund the PFC’s costs of managing, monitoring and supervising its investment in the firm.


Successful grantees will sign a tripartite contract with parties namely: the Federal Ministry of Industry, Trade and Investment (FMITI), the firm and the PFC (the grantee). The contract commits the grantee to the terms and conditions of the grant.