We all know how challenging it is for women to access affordable loans that enable them to grow their businesses. In today’s changing economy, women are being given a chance to make a name for themselves as entrepreneurs, thanks to Chase Bank Kenya’s small business loans for women.
In 2014, Chase Woman sought a lending partnership with IFC (International Finance Corporation) through which a loan of $25M was approved for Chase bank, and the first tranche of $15M disbursed. The purpose of the loan is to empower women by lending affordable loans, while also growing the portfolio of SMEs in the bank.
It will enable more investment groups to be formally registered as limited liability companies, and propel their investments. The loan is available to any woman entrepreneur banking with Chase Bank.
Eligibility for the loan is on condition that:
- The business has over 51% female ownership.
- The business has over 20% female ownership and either;
- One female occupies a senior executive role e.g. CEO/COO/Vice President and other similar roles or
- There is greater than 30% female membership on the board of directors.
- A limited company investment group with 100% female membership.
The loan amount that can be borrowed ranges from $10,000 which is KES 900,000 minimum to $1,000,000 which is KES 90,000,000maximum.
The products on offer through Chase Woman are;
- SME Unsecured Lending – Includes the SME Term Loans/OD with a limit of Kshs 2 million. The reducing balance is 18% for a maximum tenure of 12 months.
- SME Term Loans/OD- Limit is Kshs 2 million with a 16% reducing balance for a maximum tenure of 60 months. Security is required.
- Asset Finance- Includes a 10.75% flat rate for a used car and a 9.5% flat rate for new car. Maximum tenure is 48 months.
- Chama Lending- It’s only for limited liability companies. Lend 9 times the savings with a 16% rate and security required.
Chase bank not only allows women to enjoy access to finance, and financial planning consultations on how to save or make onshore and offshore investments but also gives them opportunities to network by attending seminars, conferences, workshops, training events and business trips that are relevant to a woman entrepreneur.