SME Products

Nafasi has tailored products to fit SMEs

Nafasi has tailored products to fit SMEs. We believe SMEs are the back bone of the economy and we are here to support growth in that sector.

Accounts and Savings

Account available to SACCO members/SME’S operating registered sole proprietor enterprises or registered businesses, Public/private organizations e.g. schools, CBOs

Cheque books on request

Flexible and unlimited access to funds

Access to business support service/experiences as follows:

  1. Trade facilitation: Guarantees and bonds
  2. LPO/LSO and contract financing
  3. Business O.D alternate/advance
  4. Working capital
  5. Money transfer/RTGS service/experiences
  6. Membership to business clubs
  7. Invoice discounting

In house cheque provided on request

Loans and Advances

Loan Size is:

  • In accordance repayment ability/appraisal
  • In accordance with SACCO lending policy

Securities options:

  •  NAFASI loan security deposit- LSD
  • Title deeds
  • Logbooks
  • Shares
  • FD or other deposits
  • Insurance certificate
  • Floating charge/chattels
  • Business stock
  • Guarantors
  • LSD 25% (exemptions may be given to loans with chargeable security)

Flexible repayment frequency e.g. Monthly/Weekly/Daily

Up to 6 months Account operation and/or statement from previous bank that is considered at the discretion of the CEO upon acceptable commitment to bank with NAFASI eg Lipa na Mpesa (LNM)

Loan to SME’S to finance LPO/LSO and contracts to SMEs with existing accounts

Secured by the payment undertaking by the procuring entity.

Loan term up to 12 months (based on LPO/LSO payment term

Balloon payment mode or as per certified phases

No LSD required

Cross Cutting Products

Available Kenyans of majority age willing to join NAFASI upon positive identification.

Each share is worth Ksh 20 and one is required to buy 500 shares to join – total Ksh 1,000

Shares grant the member respective rights as per Nafasi By-Laws

Minimum shares is Ksh 50,000 of which one is allowed to build/purchase gradually over time

Maximum shares are as per the by-laws and applicable laws

Share to be transferred to next of kin or new members as the case may be.

Available to all adults as minimum requirement for membership. All members have rights to NAFASI products and service. Shares earn dividends in accordance with SACCO annual performance. Shares can be transferred to other members or next of kin as the case may be.

Saving for a purpose/ goal related savings eg holiday, investment, etc

Linked to national and international funds transfer service providers, Mpesa, etc

• No opening Balance, and
• Deposit any amount, anytime

Limited withdrawals

Earns Interest earning at the end of the year on pro-rata

Other issues:

  • Free standing orders
  • Monthly/regular check-off to the account
  • Advisory services/reminders on the set goals
  • NAFASI Loan to support the goal, in case of shortage
  • Free SMS reminders on progress towards the goal

Saving for the next holiday destination

Linked to domestic and international holiday products through partnerships with travel companies

  • No opening Balance, and
  • Deposit any amount, anytime

Withdrawals or Transfers are allowed towards payment of the holiday package

Earns Interest earning at the end of the year on pro-rata

Other issues:

  • Free standing orders
  • Monthly/regular check-off to the account
  • Advisory services/reminders on holiday options
  • Free SMS reminders on progress towards the goal

Loan to acquire assets as per the schedule provided

Asset terms guided by the current guidelines given from time to time, as well as any existing MOU

Term of up to 5 years, varying with asset type/years etc (as per applicable schedule from time to time)

Loan size- 100% of the asset price (see asset financing schedule)

One-month account operation required to channel the Income or written commitment acceptable approved at the discretion of Board & Management

Disbursement in cheque drawn/RTGS in favor of the vendor

Security – Asset registered jointly, comprehensively insured through NAFASI insurance agency, and the Sacco interest noted accordingly as well as installed with tracing devise at borrower’s cost

Perfected asset documents (above) lodged with the SACCO’s lending department

Loan to landlords under agents with whom NAFASI has MOU

Unsecured loans to landlords for up to 36 months

Securities options:

  • Deed of rental assignment
  • Agent guarantee & indemnity
  • Guarantee by the registered owner, if not the borrower is not the owner eg parent

Loan security deposits (minimum of 25%). Exemption to the LSD can be issued through proper authorization as per the policy

Refinancing allowed during loan term

A general purpose advancement of funds against grain under documented and confirmed storage within the NCPB silos and other private grain silos under formal bodies such as east Africa grain council

Open to members with ABILITY TO REPAY and a favorable risk factor as per warehouse receipt value (quality, quantity and valuation thereof), CRB credit score and credit history

Qualification amount is 60% of confirmed receipt value (60% of the purchase price of grain in store)

1) Duration of the advance will be up to six months, but payment will be bullet in nature as the grain in store is being released

2) Securities: Lien on confirmed storage documentation endorsed and lodged in the Saco as security, and only released against full loan repayment

Where the member commit to continuously build their loan security deposit as they continue trading in grains, exemption to the upfront LSD will be given through proper authorization as per the policy