Woodhall Capital, NEXIM, Others Partner To Close Africa SMEs Finance Gap

Woodhall Capital has partnered with the Nigerian Export-Import Bank (NEXIM), African Export-Import Bank (Afreximbank) and SEWA Capital Limited, to spearhead efforts in bridging Africa’s significant trade finance gap.

At a pivotal gathering of Africa’s trade finance leaders, Woodhall Capital hosted a groundbreaking workshop in Abuja to champion the role of factoring as a transformative liquidity solution for SMEs.

Held on the sidelines of the Afreximbank Annual General Meeting and executed in partnership with NEXIM Bank, Afreximbank and SEWA Capital with the theme “Factor Forward: Advancing Factoring in Nigeria and Beyond,” the event highlighted key solutions to help SMEs.

The CEO of Woodhall Capital, Mrs Mojisola Hunponu-Wusu, said, “In markets where working capital is the difference between survival and insolvency, factoring can no longer be treated as an exotic option; it must be made mainstream.”

Attendees included CEOs of financial institutions, risk managers, export-focused SMEs, trade lawyers, fintech innovators and credit insurers. In two deeply technical panel discussions, the event tackled regulatory challenges surrounding assignment of receivables, credit scoring frameworks for debtors, legal enforceability under Nigerian business law and the difference between recourse and non-recourse factoring.

Managing Director of SEWA Capital, Mrs Angela Jide-Jones, stated that, “Factoring is one of the few instruments that addresses both liquidity and dignity for SMEs. They do not need to beg for loans; they need to unlock value already earned.”

SMEs also participated in breakout sessions that guided them on structuring their contracts, digitizing invoices and presenting bankable receivables portfolios. For many entrepreneurs, the event illuminated a financing option that did not rely on traditional collateral or prolonged loan application cycles.

Post-event, Woodhall Capital launched a “Factoring Readiness Diagnostic” to assist eligible SMEs with onboarding processes. The firm also announced the rollout of its Factoring Enablement Program, which will help SMEs legalize their contracts, prepare documentation and connect with reputable factoring service providers (FSPs).

Afreximbank presented insights from its Model Law on Factoring, a framework that ensures legal consistency across Africa. The bank emphasized the need for Nigeria to adopt the model and align its factoring protocols to enable cross-border transactions under the AfCFTA.

NEXIM Bank highlighted factoring’s importance to exporters, saying, “More than 40 per cent of Nigeria’s non-oil exporters operate on open-account terms, often waiting months for payments. Factoring,” they argued, “enables SMEs to close this working capital gap without taking on expensive debt or giving up equity.”

Also, SEWA Capital stated its commitment to co-structure 10 SME factoring deals by Q4 2025. Jide-Jones stated that the company will focus on gender-inclusive enterprises, youth-led startups and high-growth sectors like agribusiness and logistics.

Hunponu-Wusu noted that, “SMEs do not need sympathy; they need liquidity. They need financial models that recognize value in contracts, performance and trust. Factoring does all of that and more.”