Many SMEs in North Central Nigeria face challenges such as limited access to finance and inadequate financial knowledge, which hinder growth and sustainability. This study examined the effect of loan guarantee and financial literacy services SMEDAN on the performance of SMEs in North Central, Nigeria. This utilised a quantitative research design using the survey approach. The population of the study consisted of 130,959 registered SMEs in North Central Nigeria, from which a sample size of 519 SMEs was selected. Data for the study were collected using an adapted questionnaire, while the responses obtained were analysed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The study found that the loan guarantee of SMEDAN have positive and significant effect on the performance of SMEs in North Central Nigeria, while the financial literacy services of SMEDAN have a positive but insignificant effect on the performance of SMEs in North Central Nigeria at 5% level of significance. The study concludes that loan guarantees of SMEDAN positively and significantly influence the performance of SMEs in North Central Nigeria, while, and financial literacy services of SMEDAN positively but insignificantly influence the performance of SMEs in North Central Nigeria. The study concludes that access to reliable financial support remains an important factor in improving the performance of SMEs in North Central Nigeria. However, while financial literacy services provided is not sufficient to improve SMEs performance. The study recommends that SME owners and managers in North Central Nigeria actively participate in SMEDAN’s financial literacy and training programmes, focusing on practical knowledge such as budgeting, cash flow management, record-keeping, and strategic decision-making, and consistently apply these skills in their daily business operations to improve efficiency, reduce financial errors, and enhance overall business performance.