Local Purchase Order Finance

Provides short-term financing for fulfilling local purchase orders (LPOs) and local service orders (LSOs).

Provided Grassroots Business Fund

Local Purchase Order Finance Amount:

KES 200,000 - 3,000,000

Details

Financing Coverage:

  • Up to 80% of LPO/LSO value

  • Invoice discounting up to 80%

  • Pricing:

    • 2.4375% of loan amount (one-time, upfront) for the first 90 days

    • 0.8125% per month flat rate beyond 90 days until full repayment (max 6 months)

    • 8% per annum for payments beyond 180 days

  • 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

  • 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

To apply