When a bank says no, many small shop owners in Ghana look to MASLOC or a microfinance company. These lenders can be a real help for a growing shop. They can also trap you in repayments you can’t keep up with. Here’s what to know before you apply.
What is MASLOC?
The Microfinance and Small Loans Centre (MASLOC) is a government agency that lends to micro and small businesses, both to individuals and to groups. According to MASLOC’s own website, applicants should:
- Be between 18 and 65 years old
- Have an ongoing business or project, and experience in it
- If it’s a start-up, show that it’s viable and can create jobs
Notice the emphasis on an existing business. MASLOC itself says applicants who are already trading have an advantage. Loan amounts, rates and the full criteria are given at MASLOC’s regional offices, so visit or call the office in your region for current terms.
Microfinance companies and savings and loans
Besides MASLOC, many licensed microfinance companies, savings and loans companies and rural banks lend to traders. They’re often faster than banks and closer to the market. But their interest rates are usually higher, and repayments are often weekly or even daily.
Only borrow from a lender licensed by the Bank of Ghana. You can check the list of licensed institutions on the Bank of Ghana website before you sign anything.
What lenders look at
- Proof your business is real: a shop or stall, registration, and some trading history
- Cash flow: MoMo statements, bank deposits and sales records showing money coming in regularly
- Your plan for the money: exactly what the loan buys and how it brings in more profit
- Guarantors or group members who will vouch for you
Work out the real cost first
Before you sign, ask the lender for:
- The total amount you’ll repay, in cedis, including all fees
- How often you pay (daily, weekly or monthly) and how much each time
- What happens if you miss a payment
Then do one simple check: can your shop’s profit, not its sales, cover each repayment with money to spare? If the repayment eats most of your profit, the loan will hurt more than it helps. Know your break-even before you borrow.
Good and bad reasons to borrow
| Good reasons | Bad reasons |
|---|---|
| Restocking fast-selling accessories you already sell out of | Paying a two-year rent advance |
| Buying stock for a confirmed bulk order | Buying expensive phones you’ve never sold before |
| Adding a proven product line | Covering losses from a shop that isn’t yet profitable |
Other options to consider first
- Supplier credit: stock now, pay in a week or two, usually with no interest
- Saving from profit and growing slowly
- A bank loan once your records are strong. See how to get a bank loan for your shop
Build a shop that lenders trust
How to Start a Phone & Accessories Business in Ghana shows you how to budget, keep simple records and grow a shop that’s ready to borrow safely when the time comes.
Launch price: GHC 69 (regular GHC 150). Instant PDF download.
Want a loan-ready plan for your shop? Month 6 of the Phone Shop Launchpad 1-on-1 mentorship covers records, bank history and a borrowing strategy.
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