Sigei lives in the Litein area of Kenya. He lives with his children in their rural home where he has been carrying out a farming business for five years. His primary income sources are milk, eggs, tea and crops.
He stated what is most enjoyable about farming: "milking dairy cows". His biggest challenge is animal diseases and the high cost of feed during dry seasons. The animal in the farm is named "Lelmet". He will use the loan of 25,000 KES from Kiva's partner Juhudi Kilimo to buy poultry birds.
Sigei was asked why he chose Juhudi Kilimo for this loan, to which he replied: 'Their rates are fair'. This client was also asked what he learned during Juhudi's required micro-finance training session: 'Loans are good.'
His highest monthly expense is farming costs. When asked 'How will this loan benefit your family?', Sigei replied, 'it will improve the living standards.'
As part of Juhudi's loan appraisal process, each borrower's assets are evaluated. Sigei owns the following: 'cow, poultry' but does not own 'pig, pump, bicycle, motorcycle, automobile'. Juhudi Kilimo also tries to measure any change in living standards based on this loan. This borrower has in the household 'mosquito net, electricity, running water' but does not have 'solar power, sewing machine, TV, DVD'.
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.