Non-deposit taking financial institution offering short-term loans

Our client is a regulated non-deposit taking financial institution, which offers quick loan disbursement and advanced loans predominately to government employees, recovered via salary deductions. In addition, a section of the loan portfolio consists of 12-month loans secured by motor vehicle security documents. The current loan book has an impressive collection rate and enjoys a widespread reach in terms of its current client base and sectors in which it operates. There is a fair degree of repeat business; however, the shareholders have identified a demand to service an expanding client base.

Key Aspects

• Regulated non-deposit taking financial institution specialising in quick loan disbursement, primarily for government employees
• Strong collection rate and a wide-reaching client base
• Operates as a credit-only institution, raising its debt capital for lending
• Diverse loan portfolio, including vehicle-secured 12-month loans and employee loans
• Monthly loan repayments are secured via salary deductions
• Established presence in East Africa, with room for further expansion

Opportunities

• Existing infrastructure for extending offerings to include private sector employee loans
• Seeking a strategic partnership to inject further capital and support the Company's growth
• Significant opportunity for expanding the client base, particularly in the private sector
• Introduction of mobile lending is possible through a new core banking system

Headquartered

• The Company is headquartered in Uganda and services clients across Uganda, Liberia, and Kenya.

Current Markets

• Commitment to quick loan disbursement and exemplary customer care are hallmarks of the business model, which directly drives the acquisition of approximately 15,000 new clients annually.