To survive in the ever-changing business environment, microfinance institutions have put in place strategies that give superior value to customers .This brings about sustainable advantage thus attaining high-performance level over competitors.

However, while choosing the favorable microfinance suited for your needs, a couple of factors centered on convenience of the services received should top your checklist.

          1 Efficiency Of Services to Clients

Ensure the microfinance of your interest is reliable whenever needed. Where there is a customer support system dedicated to keeping you in the loop round the clock.

Bidii Credit   provides an efficient way to access credit by minimizing unnecessary processes. We are aware that access to capital for SMEs is of great importance in nurturing free enterprise, healthy business rivalry, innovation, and growth in all economies.

2 Individual lending

 This is the simplest and the oldest credit lending model where small loans are given straight to the borrower. Most SMEs have greatly benefited from this model since it is easy, efficient, and confidential.

Individual loans are given based on a combination of personal guarantors, individual savings accounts as well as co-signers and household securities to ensure repayment.

At Bidii Credit we have embraced the individual lending model for all our products and this has benefited our clients through efficiency and effective turnaround time.

3 Non-Financial Services

Access to funds as well as improved services also play a significant role on the development of SMEs. To maximize usage of the resources availed by the lenders, microfinances provide non-financial packages such as training of their clients. This is done through physical meetings, webinars and/or monthly circulations of written materials on various topics of interest.

Bidii Credit values the growth and well being of our clients’ businesses . All our relationship officers are well trained to provide free business advice to our clientele. We work hand in hand with our clients listening to their needs and finding the right package to improve their endeavors.

4 Credibility of the microfinance

People shy away from financial institutions for the fear that after investing with them some of these microfinances end up going under. Long-term survival and sustainability are critical for a business owner. Microfinances allows SMEs to protect, diversify, and increase their sources of income, the essential path out of poverty and hunger.

The ability to borrow a small amount of money to take advantage of a business opportunity, to pay for school fees, or to bridge a cash-flow gap can be a first step in breaking the cycle of poverty.

Bidii Credit is a licensed financial provider. Our top management is tasked with overseeing operations and ensuring they run seamlessly.

5 Choose a Micro-finance That Understands Your Business

SMEs vary widely in size and capacity for growth. As an entrepreneur you should look for a microfinance that understands the nature of your business. This ensures that they offer you a suitable product that will boost your business effectively.

We value our customers and take time to understand their needs. This guides us in offering them the most suitable product out of our wide range of SME loans.

The post Boosting your business through microfinances in Kenya appeared first on Bidii Credit Limited.

Credit score affects your financial life significantly as it plays a key role in a lender’s decision to offer you credit. A credit score of 500 and below is considered poor and this results to financial institutions declining you loan request. Below are some ways to improve your credit score:

1. -Paying your loans on time: consistently making credit card and loan payments on time is one of the biggest factors of your credit score. Set up reminders on your phone or email so you don’t miss a payment. Six months of on-time payments are required to see a noticeable difference in your score.
Secondly, you can cover your payments on time by changing the dates your payments are due. Set up your payment schedule based on when you get paid. Consistent and timely payments have a big impact and will greatly improve your credit score over time.

2.Increase your credit line: If you have credit card accounts, call and inquire about a credit increase. If your account is in good standing, you should be granted an increase in your credit limit. However, it is important not to spend this amount so that you maintain a lower credit utilization rate.

3.Work with one of the best credit repair companies: If you don’t have the time to improve your credit score, credit repair companies will negotiate with your creditors and the three credit agencies on your behalf, in exchange for a monthly fee. Additionally, given the number of opportunities that a great credit score provides, it could be worthwhile to utilize one of the best credit monitoring services to keep your information secure. Dispute Wrong Information on Your Credit Report. There are several Kenyan individuals offering these services on freelance basis on upwork

If you check your credit report and notice that there’s wrong information, take action to resolve it. Dispute any errors promptly. Consistent credit fix reviews will improve your credit score as well as develop the habit of staying on top of any inconsistencies.

4. Don’t close a credit card/ loan account: Once you pay off a loan or if you are not using a certain credit card, you may be tempted to close the account. However, in order to keep your credit score higher, you should actually keep the credit card open.

5. Pay Off Owed Money
The amount of credit you have versus the amount of credit you’re using is a factor in your credit score. Stop borrowing money and pay off what’s already owed. This is one of the best ways to relieve stress and improve your credit score fast.

Your credit score is one number that can cost or save you a lot of money in your lifetime. An excellent score can land you lower interest rates, meaning that you will pay less for any line of credit you take out. But it’s up to you, the borrower, to make sure that your credit remains strong so you can have access to more opportunities to borrow if you need to.

At Bidii Credit we have personal credit managers who will be at your disposal to give you FREE advise on your credit before you take a loan. You can call us any time for a loan review or as for a callback by visiting us on https://www.bidiicreditkenya.co.ke/contact-us 

The post How to improve your credit score with financial institutions. appeared first on Bidii Credit Limited.

Blogging is a startup business that can be extremely profitable. Over the last few decades, companies in Kenya are in a hunt for bloggers who help them to create a web-based platform for their business and reach to a global audience through the means of online posts and contents. In this era of the digital age, blogging has evolved to become the backbone for successful businesses and bloggers are looked upon as online influencers.

If you have the keenness to write, a quest for reading and a dedication to never give up, you have the perfect ingredients to become a good blogger.

With great bloggers in Kenya to get inspiration from e.g. This is ES, Under-25 etc., there are countless free blogging guides available online, to help beginners create impactful blogs. With a Ksh.1500 initial cost of investing in a hosting space and domain name, you are geared up to succeed in one of the most lucrative business ideas in Kenya.

Fruits and Juice Kiosk

The working class crowd in Kenya is becoming more conscious of what they eat and drink. Staying fit and healthy is a top priority- given most of them stay at their desks 8am-5pm, has now and this turned the idea of opening a fruit juice kiosk into one of the most successful business ideas in Kenya. Nothing can be more refreshing than a glass of fresh fruit juice on a sultry afternoon.

Tuition and Coaching Centers

This is another lucrative business option for those with capital constraints. Tuitions classes or coaching centers can begin from your home, eliminating the need for any rented space. The classes can be taken individually or in larger groups. With a strong knowledge in the field, you excel will help to spread your popularity by word-of-mouth.  Slowly, as the business grows you can hire professionals in other field and start working from a rented place. In the event you lack space at your home, you can also do this online!

DIY Home Decor & Crafts Business

Ever paid attention to Art and Craft sessions at school? Well, if you did and are creative enough to turn junk into marvelous art pieces, then this won’t cost you more than few pennies. And to the world around, they sell like hot cakes for home decor purposes and landscaping.

DIY Studio in Valley Arcade was doing very successful with his DIY skills up until she decided she was going to close shop. and she will definitely tell you she didn’t break the bank to start this business.

Handicrafts Seller

The Government of Kenya through Magical Kenya has started promoting the sale of handicraft products in numerous cities and states. Some of these products include beaded ornaments, metal ware, paintings, shawls, carpets, wood ware, earthenware, embroidered goods, bronze and marble sculptures, etc.

May sellers on Maasai market (who design their own products) will tell you they started with very little capital. Many beaded ornaments on JIJI currently retail from between 200 to 1500 a piece. Meaning with 5000 you can have a good number of ornaments for resell. And even better number of these items if you decided to do it yourself by following several DIY channels out there.

NOW WHAT

So now that you have all these business ideas at your disposal, the next biq question would be, how can I get some cash to try out these ideas? Well, there are several financial institutions that could offer you cash in terms of capital. Our advise is that you also do your due diligence before you try getting these funds. Bidii Credit for example has a fully-fledged business consultancy team that can advise you. We also have a wide range of products that could suit most of these ideas. Most of these products can be accessed in less than 6 hours! So you come to us with your idea and walk out with up to 5million in cash! How about that?

The post Top 10 Small Business Ideas to Start in Kenya- Part 2 appeared first on Bidii Credit Limited.

A logbook loan is a loan secured using your vehicle’s logbook. The loan covers a percentage of your car’s value irrespective of the age and model.  In other words, it is an easy and quick way of getting a loan for automobile owners. 

This means foregoing the rigid background and eligibility checks you receive from your bank when applying for a loan. Logbook loans in Nairobi and other cities in the country are an efficient technique for car owners to secure a substantial amount against their car. No one would ever imagine getting the amount they desire in 24 hours! 

If you’re seeking quick access to cash, a car logbook loan offers the easiest route. By leveraging your automobile, you can receive a substantial amount based on its value in your bank account in a day. It is a popular option when you cannot access credit elsewhere 

How Logbook Loans Work

• Usually, you’re asked to hand over temporary ownership of your car to the lender. However, you are allowed to continue driving the car as long as you keep to the terms of the agreement
• As part of the loan application process, you’ll hand over your logbook to prove ownership
• The lender will also conduct an HPI check on your car. This is to assess its value as well as ensure that it’s free from finance and that you are the registered owner
• You’re asked to provide personal details including 

-Your address 

-Financial information such as your income

-Regular expenditure

• Another eligibility test is running a credit check to review your loan affordability. However, it’s expected of you to take personal responsibility and ensure you are able to pay back
• Depending on your lender, this process can be completed online, on the phone, or in person. Still, in some cases, the process can be finalized in as little as one to two hours
• The borrowed amount is deposited in your bank on the same day. Other lenders may offer other options such as cash or a cheque.
• After paying off the loan, the car ownership is transferred back to you. 
• In the event you don’t keep up with the repayment plan, the lender may sell your car to recoup their money

Benefits of a Logbook Loan 

• A logbook loan allows you to borrow a larger amount of money compared to a payday loan or personal loan
• A logbook loan typically has a repayment period of between 12 – 36 months. This is much longer than you get with a personal loan. This means more time to get your finances in order
• In certain scenarios, it’s possible to offer partial resettlement by repaying a chunk of your loan early. This reduces the interest on the remainder of the loan. 

The quicker you repay your logbook loan, the lower the overall interest you will payback. Where possible, pay back the money as soon as possible.

The post An Insight into Logbook Loan appeared first on Bidii Credit Limited.

Unsecured Personal Loans

Personal loans can be used for a variety of reasons including:

• Paying for a wedding expense
• Consolidating debt
• Paying rent

Personal loans can be unsecured loans. This means, you will not put collateral like a home or car on the line in case you’re unable to pay back.

Benefits of Unsecured Personal Loans

• A personal loan may help you pay off the debt sooner.
• A personal has a lower interest rate. A lower interest rate could translate to big savings
• A personal loan is a good choice if you are planning to finance a major purchase. This could be a home improvement project, a medical bill or moving expenses.

Secured Personal Loan

• A secured personal loan requires collateral. This could be a car, home etc to “secure” the loan.
• Secured personal loans have a lower interest rate compared to unsecured personal loans. This is because a secured loan is less risky since there’s an asset to backup your loan

Business Loan

• This is similar to personal loans, but customized for business use. You are given a certain amount of money over a period of years. This is subject to affordability and a credit background check. It’s payable with interest. A business loan can either be secured or unsecured.

Car Loan

This is a loan aimed at specifically buying a car. Just like a secured loan, the money you borrow is secured against the vehicle you plan to purchase. Keep in mind, If you default on your repayment plan, the lender is allowed to seize the Car.

Bridging Loan

A bridging loan helps you ‘bridge the gap’ when you need to pay for something as you await for your funds to become available. Bridging loans are common amongst people who are buying a property, but are waiting for the sale of another property. Bridging loans are secured loans, Such loans require a high-value asset to get approved. This could be a property or land.

Guarantor Loan

This type of loan is under an unsecured personal loan. It requires a third party to guarantee the repayments. This is in case the original applicant defaults the payment plan. These loans are ideal for anyone with poor or no credit history who may have been turned down by a lender.

Payday Loans

These are short-term loans and they are typically due by your next payday. To repay the loan, the lender will typically require you to write a post-dated check. Alternatively, you could authorize the lender to automatically withdraw the amount you borrowed, plus any interest or fees, directly from your bank account.

Home Equity Loans

A home equity loan is a secured loan, and your home is used as collateral to borrow a needed amount of money. The amount you borrow is determined by the equity you have in your home. This is the difference between your home’s market value and how much you owe on your home. Usually, you’re not allowed to borrow more than 85% of the equity you have in your home.

Credit Card Cash Advances

Some credit cards may offer a cash advance. This is a short-term loan that you borrow against your card’s current balance.
Before borrowing money, set a budget. This will allow you to know what you can pay back on a monthly basis.

Bidii Credit offers several loans for different population categories. Unlike the loan types mentioned above, we have very flexible loans that you can enjoy, ranging from unsecured SME loans, Logbook loans, Rental income loans, mobile loans and input credit loans. If you are looking to get a loan, consider from one of our options at Bidii Credit Kenya and enjoy the flexibility we offer on our products

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