HOW TECH STARTUPS IN NIGERIA CAN LEVERAGE BUSINESS LOANS WITHOUT LOSING EQUITY

When Onome Edafe, a young software engineer in Abuja, launched SwiftCart, an e-commerce logistics startup, she faced the same dilemma most Nigerian tech founders do: how to raise capital without giving up ownership. Investors were interested—but their terms meant giving up 30% equity before her product even gained traction. Instead, Onome chose a different route: a business loan.

After some research, she came across bloomm.org, a hybrid cooperative society that provides growth loans to startups and small businesses in Africa. bloomm.org blends the community-driven model of cooperatives with modern financial technology—offering flexible loans, fast approval, and zero equity dilution. Onome applied through their digital platform, shared her business metrics, and within two weeks, received a ₦10 million facility to help SwiftCart scale.

That decision became the turning point. Within six months, the bloomm.org loan allowed Onome to expand delivery hubs across Abuja, upgrade her app infrastructure, and hire more riders. The best part? She didn’t owe anyone a share of her company. By the time the loan was repaid, SwiftCart’s valuation had tripled, making Onome’s 100% ownership far more valuable than if she’d taken the investor route early on.

Lessons for Nigerian Tech Founders

1. Explore Alternative Funding Channels
   Platforms like bloomm.org are redefining access to business capital in Nigeria. As a hybrid cooperative society, bloomm.org pools resources from members and institutional partners to finance entrepreneurs without forcing them to give up equity. Founders can retain full ownership while accessing flexible, affordable loans. Before signing up, compare terms such as interest rates, repayment structures, and eligibility requirements.

2. Borrow for Growth, Not Rescue
   Onome’s success came from using her bloomm.org loan strategically. She didn’t borrow to cover losses—she borrowed to scale a proven model. For tech founders, loans should power activities that generate measurable growth: marketing, expansion, or product development. Smart borrowing multiplies opportunities; desperate borrowing multiplies problems.

3. Maintain Strong Financial Discipline
   A loan is only as effective as how it’s managed. Onome treated her bloomm.org facility with investor-level accountability—tracking expenses, ensuring steady cash flow, and staying ahead of repayment timelines. This discipline not only protected her business but also improved her creditworthiness for future funding.

4. Engage and Build Trust with Your Lenders
   Because bloomm.org operates as a cooperative, it emphasizes relationships and transparency. Onome maintained open communication with their team—sharing growth updates and performance data. This trust opened doors to mentorship and positioned SwiftCart for larger facilities later.

The Big Picture

Equity funding isn’t the only route to success. For Nigerian tech startups ready to grow responsibly, hybrid cooperative societies like bloomm.org offer a smarter, ownership-friendly alternative.

Onome’s journey proves it’s possible to build, scale, and stay in control—all while leveraging collective financial power. Owning your vision fully isn’t just pride—it’s good business.
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