Local Purchase Order Finance
Provides short-term financing for fulfilling local purchase orders (LPOs) and local service orders (LSOs).
Provided Grassroots Business Fund
Purchase Order Finance
Amount: KES 100,000 - 3,000,000
Details
Financing Coverage:
Up to 100% of PO/SO value.
Invoice discounting up to 80%.
Pricing:
2.4375% of loan amount (one-time, upfront) for the first 90 days.
0.8125% per month with the loan term based on terms in the PO provided.
Repayment Incentives:
10% rebate on total interest for full, on-time repayment within 90 days.
No rebate if repayment exceeds 90 days.
Eligibility Criteria:
Majority of youth/women-owned and led business enterprises.
Operational for a minimum of 12 months.
Only assets that will contribute to profitability in the short term are eligible (i.e. revenue generating or cost saving in the short term).
Profitable or near-break-even enterprises.
Justification of financing need.
Provide 12-month bank statements, management accounts, and financial projections.
Proof of business ownership and operations.
Willing to undergo business visits, credit checks, and BDS.