These loans designed to meet credit needs of micro-entrepreneurs regardless of their gender, literacy level, and business turn-over. This facility shall be extended to finance existing business and not start-up micro enterprises. The eligible borrowers shall have the following characteristics:
The minimum loan amount is Tsh 100,000 and the maximum loan amount is Tsh 500,000 per individual member of the group. The loan sizes are subject to review time after time based on the demand of the product, experience and financial capacity of the company.
The repayment frequency shall be weekly or monthly according to the agreed terms in the loan contract. In order to enable the clients afford small due installments. Despite of the self-screening and monitoring among group members, thorough analysis of the ability of the micro business to service loan and character assessment remain the key prerequisite. Either, Group guarantee or Immovable Assets shall be the collateral or both depending on the size of loan.
Target people who are employed to the formal sector and ready to use their salary as collateral with consent of his/her employer. In this market, affordability and Credit worthiness involve understanding of individual incomes for those working in a company, and signing a contract with them which will indicate their affordability based on the Net salary determining the amount to be borrowed by not exceeding 1/3.
The minimum loan amount is Tsh 500,000 and the maximum loan amount is Tsh 10,000,000 The loan sizes are subject to review time after time based on the demand of the product, experience and financial capacity of the company. Repayment period ranges from 30days to 12months . The payment frequency shall be monthly to allow borrowers to use their salaries to repay their debt.
In order for someone to get access of this product, the following are requirements to be submitted: -
Target small entrepreneurs who seek financing facility to enhance their working capital. The facility shall be extended only to existing business not start-up businesses. The eligible borrowers shall be small entrepreneurs who have been operating the same business in the same permanent premises for period of more than 12 months.
The minimum loan amount is Tsh 500,000 and the maximum loan amount is Tsh 10,000,000 The loan sizes are subject to review time after time based on the demand of the product, experience and financial capacity of the company. Repayment period ranges from 30days to 12months .
The payment frequency shall be monthly to allow sufficient turn over on borrower’s business. The focal point of analysis for this product is the ability of the business to service the loan. However, other sources of income shall be weighted considerably as fall-back position during the analysis.
This facility targets individuals with short term liquidity crisis but are expecting reliable future cash flow (e.g. salary, bonus, commission, gratuity, maturity of fixed deposit) to service the loan. The future cash flow shall be substantiated before the endorsement of the facility. An applicant shall be expected to disclose honestly the reliable source of repayment. The minimum loan amount is Tshs. 500,000 maximum loan in this product is Tshs. 1,000,000 and the maximum repayment period is 3 months.