Our member, Asante Financial Services Group, is driven by passion to see to the growth of the MSME sector in Africa. It is through strategic partnerships such as the one with SOLV Kenya, a member company of Standard Chartered Banking Group, that we are able to extend our reach to the Kenyan MSMEs
In Sub-Saharan Africa, micro, small and medium enterprises (MSMEs) are the most significant drivers of the economies. However, many business owners face unique challenges whenever they need to access finance from financial institutions such as banks and MFIs. Banks deem them as “untouchables” while MFIs don’t have the capacity to support them at scale.
Asante Financial Services EA Limited has been supporting MSMEs in Kenya since 2018 and has committed a credit line of over USD10m for the pilot phase of their partnership with Solv Kenya. Through the SOLV Kenya platform, enrolled MSMEs will benefit from alternative credit scoring and therefore, ease their access to much-needed working capital that will be provided by Asante Financial Services Group.
How does this partnership benefit suppliers and distributors?
Asante working capital financing through the SOLV platform is an ideal solution for retailers looking to stock, restock, and grow their businesses. With real-time availability of capital, retailers can access the funding they need quickly and easily without having to provide any collateral or security.
This working capital financing provides retailers with an effective way to finance their businesses quickly and affordably. By increasing liquidity and improving cash flow management, retailers will be able to better compete in today’s ever-changing retail landscape and reach new heights.
Key Features of the credit facility and how it works for suppliers and distributors under the SOLV platform:
The credit facility from Asante Financial Service Group is designed to be fast-paced and accessible; allowing retailers access to funds within minutes after approval while offering a maximum loan amount of KES 2Million and a minimum KES 5000 loan amount.
With flexible repayment plans, Asante Financial Services Group offers the following credit facilities- 7 Day and 14 Day Loans with rates of 0.99% flat for 7 Days and 1.98% flat for 14 Days.
Asante Financial Services Group understands how unpredictable life can be, that's why when it comes to paying back the loans, they offer a rollover facility where distributors can extend their loan due date with minimal charges of 1.5% flat for 7 days and 14 days loan respectively with a rollover duration of 3 days.
How Suppliers and Distributors can access the credit facility from Asante Financial Services Group:
In order to access the Asante Financial Services Group’s credit facility, a supplier must first be on the SOLV platform. Distributers can request for their suppliers to nominate them onto the SOLV platform. After signing up on SOLV, the supplier uploads all of their invoices which enables distributers to view and request financing from Asante Financial Services Group for that invoice quickly and easily.
To begin, the distributor will have to create an account with SOLV and provide basic information such as name, address and contact details. Once they are successfully signed up, they will have to log in to the SOLV platform and go through a short onboarding process where they provide additional information This is important so that Asante Financial Services Group can verify their identity before granting any credit facility.
Once the distributor has successfully gone through the onboarding process and verified by Asante Financial Services Group, they can start making requests for financing from Asante and select any invoice from their dashboard that requires financing and submit it via a simple application form within SOLV. The application form includes important information such as amount of money required, terms & conditions of repayment etc., which helps in easy processing of requests for credit facilities at Asante Financial Services Group.
How the partnership will help empower MSMEs under the SOLV platform:
- Timely and easy access to finance.
- Open and inclusive trade ecosystem across various value chains
- Simplified business operations support
Asante Financial Service Group's partnership with SOLV Kenya has been beneficial for both parties. Not only has it provided distributors with affordable credit to help them manage their day-to-day operations, but it has also allowed Asante to strengthen its relationships with its customers and create a positive reputation in the financial services industry. Additionally, this partnership demonstrates the commitment of both companies to providing access to essential capital for small businesses that need funding to operate. This partnership is an example of how collaboration between two different sectors of business can lead to solutions that benefit everyone involved. Furthermore, it sets a precedent for future collaborations that can help fuel economic growth and foster innovation in sectors across the globe.
Asante Financial Services Group’s mission is to empower African entrepreneurs with the resources they need for economic growth. As an organization driven by the desire for an inclusive and prosperous Africa—Asante wants everyone engaged in productive economic activities to have access to credit and accomplish financial growth.
For more information, visit www.asantefinancegroup.com or follow Asante Financial Service Group on Twitter @group_asante or LinkedIn @Asante Financial Services Group.