Kenneth Munyiri, a dairy farmer in Gatundu South, has hailed Co-operative Bank of Kenya for advancing him Sh1.8 million loan to actualise his dairy farming dream.
Munyiri started his dairy farming with one cow in 2005.
The number of cows has since grown to 20, with 11 of them currently producing 240 litres per day thanks to Co-operative Bank loan.
“I have received top-ups a few times. This is the money I used to grow to where we are now,” Munyiri said.
Farmers are far from the ideal clients financial institutions are seeking for loan facilities. This is how Munyiri – and other farmers with his luck – are going about it.
1. Determination: Munyiri calls his enterprise Kenshire Farm. He made a decision to diversify into other forms of agribusinesses and farming.
“I also produce animal feeds – to feed my animals and sell to other farmers,” he says.
Munyiri is also a pig farmer (with over 70 swine) and rears layer-chickens. The one and a half acres are clinically partitioned, and animal houses constructed to professional standards.
There is an administration office from where Munyiri and his wife handle management matters. Everything at the farm communicates a professional agribusiness venture aimed at earning revenue.
Esther Kariuki is the Head of the department of agriculture at Cooperative Bank of Kenya. She says for a financial institution, it is important that the farmer applying for the loan demonstrate that they are determined to succeed.
“As a financial institution we do not just want to give farmers loans for the sake of it: we need to have faith that the farmer will repay the loan,” Kariuki says.
Before Munyiri received the loan, the bank sent a team to inspect Kenshire Farm: to analyse it and determine its business modus operandi.
2. Demonstrate deep knowledge: According to Kariuki, a farmer has to show that they know what they are doing. Luckily for Munyiri, he has a diploma in Animal Health.
He is therefore knowledgeable on animal husbandry and everything livestock farming.
Such a farmer, Kariuki points out, is likely to get things right and make money running the enterprise; significantly raising their chances of receiving the loan.
She says: “If you have no experience with dairy farming we advise you to consider working with someone who already has experience.
“This way you would learn from their mistakes and increase your chances of succeeding. A farmer who has knowledge and experience inspires confidence from the bank.
“We have even partnered with other institutions to provide farmers with skills in farming and financial literacy; just so that they would stand a better chance.”
3. Availability of farm records: When a farmer approaches a financial institution for a loan, Kariuki says, they would be asked to conduct a feasibility study.
The farmer ought to demonstrate how the farm earns revenue. It would show expenditure and income. It would predict (based on data) how the loan would positively influence the enterprise and therefore positively influence financial flows.
A feasibility study would be impossible if a farmer does not keep records.
“Records are important. Records tell the farmer if the enterprise is making profit or losses. They are absolutely important – and the bank will ask for them – when a farmer is applying for a loan,” Kariuki says.
Munyiri keeps his records in books and on a desktop computer at his office desk.
4. Have some type of collateral: According to Kariuki, a farmer can get a loan based on their ability to demonstrate that their enterprise is yielding enough profits to cater for running costs.
A more direct way of getting the loan, she says, would be to provide collateral – such as a car logbook or a title deed.
“With these, even if you weren’t a dairy farmer, you would still get the loan because it is secured.”
But in the absence of a collateral, she says, the financial institution would need to find a different type of collateral.
“Co-op Bank for instance has partners who we work with to cover the collateral risks. On this, we have worked with USAid, Agriterra and IFC.”
Collateral, Kariuki says, gives “the farmer motivation – a reason – to run the enterprise as profitably as possible: so that they would be able to repay.”
Collateral can be the cows themselves or even heavy farm equipment such as the automated milking pen or a tractor.
5. Being a member of a cooperative society: Munyiri is not a member of a cooperative society. He is thus an exception. However, Kariuki says a farmer in a cooperative stands a better chance of getting a loan.
“We have financed many farmers not in a cooperative. However, majority of the farmers we have funded are in cooperatives.
“The good thing about cooperatives is that they already have records of the farmer’s deliveries. As a bank ourselves, we believe in the cooperatives model.
“Sometimes members of the cooperative guarantee each other and therefore it becomes easy for the bank to trust them with loans,” she says.
india pharmacy mail order http://indiaph24.store/# india pharmacy
online shopping pharmacy india
pharmacy website india https://indiaph24.store/# indian pharmacy paypal
best india pharmacy
safe online pharmacies in canada [url=http://canadaph24.pro/#]canadian drug pharmacy[/url] canadian pharmacy prices
buying from online mexican pharmacy: best online pharmacies in mexico – medication from mexico pharmacy
http://indiaph24.store/# india online pharmacy
https://ciprofloxacin.tech/# ciprofloxacin order online
http://finasteride.store/# cheap propecia without insurance
lisinopril pharmacy online [url=http://lisinopril.network/#]can you buy lisinopril[/url] lisinopril 40 mg without prescription
lisinopril 4 mg: zestril 10 mg price in india – lisinopril online purchase
https://nolvadex.life/# tamoxifen brand name
buy cytotec over the counter [url=http://cytotec.club/#]cytotec buy online usa[/url] buy cytotec pills online cheap
tamoxifen dosage [url=https://nolvadex.life/#]tamoxifen estrogen[/url] tamoxifen for gynecomastia reviews
http://ciprofloxacin.tech/# ciprofloxacin
buy cytotec online fast delivery: buy cytotec over the counter – buy misoprostol over the counter
http://ciprofloxacin.tech/# buy cipro cheap
100 mg lisinopril [url=http://lisinopril.network/#]generic zestoretic[/url] zestril medicine
https://ciprofloxacin.tech/# ciprofloxacin generic
https://cytotec.club/# buy cytotec pills online cheap
order cytotec online: order cytotec online – cytotec pills buy online
https://nolvadex.life/# tamoxifen menopause
order generic propecia without insurance [url=http://finasteride.store/#]propecia price[/url] cheap propecia price
order cheap propecia no prescription: buying generic propecia no prescription – buy propecia without dr prescription
http://finasteride.store/# cost generic propecia without dr prescription
buy cytotec online fast delivery [url=http://cytotec.club/#]cytotec pills buy online[/url] purchase cytotec
http://ciprofloxacin.tech/# buy cipro online
cost propecia without insurance [url=http://finasteride.store/#]order propecia no prescription[/url] cost of generic propecia without rx
http://cytotec.club/# buy misoprostol over the counter
does tamoxifen make you tired: where can i buy nolvadex – should i take tamoxifen
cipro for sale [url=https://ciprofloxacin.tech/#]antibiotics cipro[/url] cipro online no prescription in the usa
https://ciprofloxacin.tech/# ciprofloxacin generic
buy generic ciprofloxacin: ciprofloxacin generic price – ciprofloxacin 500 mg tablet price
lisinopril 20 mg tablet cost [url=http://lisinopril.network/#]benicar lisinopril[/url] can i buy lisinopril over the counter
https://finasteride.store/# buying generic propecia price
https://lisinopril.network/# lisinopril 20 12.5 mg
cipro online no prescription in the usa [url=http://ciprofloxacin.tech/#]cipro pharmacy[/url] ciprofloxacin mail online
tamoxifen benefits: tamoxifen warning – tamoxifen chemo
https://ciprofloxacin.tech/# ciprofloxacin
ciprofloxacin mail online [url=http://ciprofloxacin.tech/#]п»їcipro generic[/url] ciprofloxacin order online
https://ciprofloxacin.tech/# buy ciprofloxacin over the counter
Cytotec 200mcg price: buy cytotec over the counter – buy cytotec pills online cheap
https://ciprofloxacin.tech/# cipro
ciprofloxacin generic [url=https://ciprofloxacin.tech/#]ciprofloxacin[/url] ciprofloxacin
zestril 10 mg price: cheap lisinopril no prescription – cost of brand name lisinopril
http://cytotec.club/# cytotec buy online usa
п»їdcis tamoxifen [url=http://nolvadex.life/#]femara vs tamoxifen[/url] tamoxifen moa
http://ciprofloxacin.tech/# ciprofloxacin generic
https://nolvadex.life/# aromatase inhibitor tamoxifen
propecia price [url=http://finasteride.store/#]cost of cheap propecia without rx[/url] propecia without prescription
lisinopril 3: lisinopril online without a prescription – zestril 2.5
https://finasteride.store/# cost of cheap propecia
buy cipro online canada [url=https://ciprofloxacin.tech/#]ciprofloxacin order online[/url] ciprofloxacin 500 mg tablet price
https://viagras.online/# Generic Viagra online
http://levitrav.store/# Levitra tablet price
Cheap Levitra online [url=https://levitrav.store/#]Levitra 20 mg for sale[/url] Vardenafil price
Generic Levitra 20mg: Levitra online USA fast – Levitra 10 mg buy online
sildenafil online: Sildenafil Citrate Tablets 100mg – Generic Viagra online
Levitra 10 mg best price [url=https://levitrav.store/#]Vardenafil online prescription[/url] Levitra tablet price
http://viagras.online/# buy Viagra online
https://cialist.pro/# Buy Cialis online
Vardenafil buy online [url=http://levitrav.store/#]levitrav.store[/url] Levitra 20 mg for sale
https://cenforce.pro/# buy cenforce
Levitra online USA fast: Cheap Levitra online – buy Levitra over the counter
https://kamagra.win/# Kamagra 100mg
Buy Tadalafil 5mg [url=http://cialist.pro/#]Cialis without a doctor prescription[/url] Cialis over the counter
http://cenforce.pro/# Buy Cenforce 100mg Online
Cheapest Sildenafil online: Cheap Viagra 100mg – Viagra tablet online
Buy Vardenafil online [url=https://levitrav.store/#]Levitra online pharmacy[/url] п»їLevitra price
Generic Cialis price: buy cialis overseas – Cialis 20mg price
Buy Tadalafil 10mg [url=http://cialist.pro/#]Generic Tadalafil 20mg price[/url] buy cialis pill
http://viagras.online/# Viagra generic over the counter
canada pharmacy reviews: canadian online pharmacy – canadian pharmacy india
http://pharmworld.store/# online pharmacy discount code
purple pharmacy mexico price list [url=http://pharmmexico.online/#]mexican pharmaceuticals online[/url] mexico drug stores pharmacies
prescription drugs from canada: cheapest pharmacy – canada online pharmacy no prescription
reputable indian online pharmacy: online shopping pharmacy india – world pharmacy india
rxpharmacycoupons [url=http://pharmworld.store/#]pharm world store[/url] uk pharmacy no prescription
https://pharmmexico.online/# mexican pharmacy
indianpharmacy com: buy medicines online in india – india pharmacy mail order
how to buy prescriptions from canada safely [url=http://pharmnoprescription.icu/#]prescription meds from canada[/url] canadian prescription prices
http://pharmindia.online/# best online pharmacy india
mexico drug stores pharmacies: best online pharmacies in mexico – medication from mexico pharmacy
pharmacies without prescriptions: online pharmacy that does not require a prescription – order medication without prescription
reputable indian pharmacies [url=http://pharmindia.online/#]Online medicine home delivery[/url] indian pharmacy paypal
https://pharmmexico.online/# mexico drug stores pharmacies
mexican rx online: mexico pharmacies prescription drugs – pharmacies in mexico that ship to usa
https://pharmnoprescription.icu/# mexican prescription drugs online
canadian pharmacy meds reviews: online canadian pharmacy – canadian pharmacy online
buy medication online without prescription [url=http://pharmnoprescription.icu/#]online pharmacy without a prescription[/url] prescription meds from canada
http://pharmmexico.online/# mexican drugstore online
legitimate canadian pharmacy online: canadian pharmacy phone number – online canadian pharmacy
buy prescription drugs without a prescription: best online pharmacy no prescription – no prescription pharmacy
canadian neighbor pharmacy [url=https://pharmcanada.shop/#]best canadian pharmacy online[/url] reputable canadian pharmacy
https://pharmworld.store/# legit non prescription pharmacies
canadian pharmacy review: canadian family pharmacy – legitimate canadian pharmacy online
buy amoxicillin 500mg capsules uk: amoxicillin 500 mg purchase without prescription – how to get amoxicillin
neurontin price south africa [url=https://gabapentinneurontin.pro/#]neurontin 1800 mg[/url] buy neurontin online no prescription
http://doxycyclinea.online/# doxycycline vibramycin
zithromax z-pak price without insurance: zithromax 500 mg lowest price pharmacy online – zithromax coupon
zithromax prescription: buy zithromax 1000mg online – zithromax 1000 mg online
prednisone over the counter south africa: buy cheap prednisone – cost of prednisone tablets
order amoxicillin 500mg: order amoxicillin 500mg – amoxicillin 500mg price
amoxicillin 500mg tablets price in india: amoxicillin buy no prescription – where to buy amoxicillin 500mg
buy doxycycline online 270 tabs: doxycycline 100mg tablets – buy doxycycline monohydrate
http://amoxila.pro/# amoxicillin 500 mg tablets
buy amoxicillin online with paypal [url=http://amoxila.pro/#]amoxicillin script[/url] amoxicillin 500 mg purchase without prescription
where can i buy zithromax uk: where to get zithromax – zithromax 600 mg tablets
prednisone otc uk: prednisone over the counter cost – 6 prednisone
http://doxycyclinea.online/# doxycycline pills
zithromax for sale usa [url=https://zithromaxa.store/#]zithromax canadian pharmacy[/url] can you buy zithromax over the counter
zithromax 250: zithromax online usa no prescription – zithromax coupon
amoxicillin for sale online: amoxicillin 500 coupon – amoxicillin price canada
https://gabapentinneurontin.pro/# brand name neurontin price
buy doxycycline [url=https://doxycyclinea.online/#]where can i get doxycycline[/url] price of doxycycline
zithromax 250 mg australia: can i buy zithromax over the counter – where to buy zithromax in canada
http://doxycyclinea.online/# doxycycline hyclate 100 mg cap
neurontin 100 [url=https://gabapentinneurontin.pro/#]neurontin cost[/url] neurontin 204