Benard, pictured on a motorcycle is requesting a loan to help him in construct a dairy housing unit. He lives in the Nyamira area of Kenya, which is a popular banana growing region. He has 1 child and has been farming for 3 years. His primary income sources are eggs, tea, crops, dairy, and transportation services.
He stated what is most enjoyable about farming: “Planting tomatoes, they yield so fast!” His biggest challenge is “Rearing chicken due to the risk.” Animals on the farm have been given the names of 'Nyabarati.'
Benard was asked why he chose Juhudi Kilimo for this loan, to which he replied that the repayment period is favorable, and the installments are fair. This client was also asked what was learned during Juhudi's required micro-finance training session: “That they give even very small loans.”
His highest monthly expense is farming costs. When asked 'How will this loan benefit your family?', Benard replied that his income will increase thus giving them a better lifestyle.
As part of Juhudi's loan appraisal process, each borrower's assets are evaluated. Benard owns the following: 'cow, poultry, pump, motorcycle' but does not own 'pig, bicycle, automobile'. Juhudi Kilimo also tries to measure any change in living standards based on this loan. This borrower has in the household 'mosquito net, solar power' but does not have 'electricity, running water, sewing machine, DVD, TV'.
Note: To create this loan profile, Juhudi Kilimo used a mobile device to gather information in the field and send the data to a central online repository, thus reducing paper use, making the process more efficient, and keeping costs down.
To facilitate a partnership between Kiva and Juhudi Kilimo, K-Rep Group (Juhudi Kilimo’s 100% owner) has guaranteed Kiva funds in the event of institutional default. Lenders should be aware that the risk of borrower default remains borne by the lender.
About Juhudi Kilimo:
Juhudi Kilimo is a for-profit social enterprise working with small-holder farmers in Kenya to finance purchases of dairy cows, chickens, agricultural equipment, and other assets that create immediate cash flow. Many of the assets are insured to prevent devastating business losses, and targeted technical assistance is provided to farmers, from agricultural training to basic book keeping and local market research.