Establishing Connections

Greetings lenders! My name is Neil DiMuccio, and I am a Client Relationship Manager with Zidisha in Kenya. I am currently visiting borrowers to learn more about them and support them with their Zidisha loans. It is my hope that this work will build bridges to better connection and understanding, and that Zidisha and its borrowers will increasingly grow, communicate, and support each other.

I recently had the opportunity to meet and work extensively with Robert Ndungu, who also goes by Robert Njoroge. To be perfectly honest, I was thrilled to meet this man, because he was the first person I had lent to using the Zidisha platform last year! I decided to lend to Robert because he was offering a high interest rate (at the time), because he had numerous sources of income, and because he seemed to be something of a pillar in his community. My visits to Karunga have affirmed these thoughts – Robert is a well-known, hard-working, and productive member of his community!

I made several visits to Karunga, a small agricultural community some 12 kilometers North and East of Nakuru near Bahati. This town is a hotspot for Zidisha borrowers, with some 30-40 persons having Zidisha loans in the area, due in part to the work of gentlemen such as Robert, who is a Zidisha Community Organizer for Karunga. Luckily, the ride to Karunga is gorgeous. Imagine this: getting on back of a motorbike, and zipping along a bumpy and rutted dirt road, seeing fields of wheat, corn, and sunflower underneath a canopy of trees. All this while cows and goats graze idyllically, and locals smile and wave to you. Living and working in Kenya may not always be easy or comfortable, but it certainly has its pleasures!

Anyway, Robert was kind enough to let me photograph him in his shop, and was selfless in giving of his time to walk me around and introduce me to many Zidisha borrowers, translating to Kikuyu, Swahili and English as needed. We also had lunch together at one point, with other Community Organizers of Karunga, where we talked, laughed, and discussed Zidisha’s impact on the community. It was agreed that Zidisha’s low-interest loans were very helpful, but that further services would be of benefit, such as medium-scale agriculture and engineering projects, to do things like aiding farmers in irrigation (I believe the region is currently mostly without irrigation).
Please join me in thanking Robert for setting a great example with his use of Zidisha, as well as his tireless service of helping those around him in his community. Thank you, Robert! Best wishes and God Bless. 

Following a Proven Path to Success

Hello Lenders,
My name is Andrew Weber and I recently served as a Zidisha Client Relationship Manager in Kenya. There I paid a visit to James at his business in a town on the outskirts of Nairobi. For years James watched as a friend consistently maintained a healthy profit operating a clothing store. James was already doing ok with his existing businesses selling charcoal and operating a motorbike taxi, but he wanted a little something extra to help support his wife and 3 children aged 12, 8 and 5. So he has decided to follow the proven copycat path to business success and has opened his own clothing store now.

James used his Zidisha loan to enable this new business to get off the ground. He now has store fully stocked with clothing for men, women, and children. He has only been open for about a month but the early returns are strong. He is on pace to make about $140 on each large been of clothes he sells. If the business continues to do well he hopes to move his family into a large home. James’ plan to emulate his friend’s success appears to be perfectly on course right now. 

Secondhand clothing- a route out of poverty

Here is a great update from Dan in Kenya!

Hello, my name is Dan Cembrola, one of Zidisha’s Kenya Client Relationship Managers. I am currently visiting Zidisha borrowers in Nakuru and its outskirts.

Today I visited with Keziah at her store in the center of Nakuru. This store is one of her two businesses. In Nakuru, you will find many stalls lining the streets selling secondhand clothing. There are a few upscale stores that sell clothes for formal occasions and many local tailors who make custom made clothing, mostly for women and children. Outside of these two clothing options, most people purchase clothing from the street vendors. Keziah supplies these vendors.

Keziah, or her business partner and hopefully future Zidisha borrower Elizabeth, regularly travel to Nairobi to purchase bales of clothing. These bales are about three and a half feet wide and two feet in height, tightly packed with clothing. Keziah is not able to open the bales and inspect the clothing, they are sold as is. Similarly, after Keziah transports the bales back to Nakuru she sells them to the local vendors as is. Each bale costs about $75-$100 for Keziah to buy in Nairobi and she is able to resell them for $175-$220 in Nakuru. It only costs $2 to transport a bale from Nairobi to Nakuru, so Keziah is able to make a tidy profit on each one.

When walking the streets of Nakuru, it is not uncommon to see people walking around wearing American football jerseys from the 1990's, tee shirts promoting small town American restaurants, and obscure US politicians. Obviously, these items of clothing were donated to various NGOs in America by people intending for their donations to be given free of charge to people in the developing world. In actuality, these items of clothing are shipped to Mombasa, they are then purchased by wholesalers in Nairobi, sold to people like Keziah in the clothing business, who then sells them to local vendors, finally the local vendors sell them to the townspeople who were initially intended to receive them for free.

The secondhand clothing business in Kenya is immense. Prior to my meeting with Keziah, she was completely unaware that the clothing she was selling was actually intended to be donated to people in need. The vast majority of clothing vendors are equally unaware. Regardless of the fact that these clothes were intended to be donated, it is probably best that this secondhand clothing business exists. It provides an income for tens, if not hundreds, of thousands of people.

In addition to her clothing business, Keziah's second business, which she describes as her main focus and passion, is cosmetics. For the past three years, Keziah has been selling cosmetic items, including every type of make up imaginable as well as weaves and human hair wigs. All of these items are very popular among women in the urban center of Nakuru. Because of this, it is difficult to find a street that does not have a salon or cosmetics store.

Due to the high level of competition in Nakuru, Keziah travels to the surrounding villages to sell her wares. She has developed a loyal customer base in the areas surrounding Nakuru. With her first loan, Keziah increased her supply of cosmetics and human hair wigs, which is a highly profitable item. Keziah is also adept at applying make up, weaves, and wigs.

In the future, she envisions using her next loan and the profits of her two businesses to purchase a cosmetics store in Nakuru. Though competition is high in town, Keziah has many loyal customers from the surrounding villages and towns. Currently, her customers outside of Nakuru are only able to purchase her products when she is visiting their village. Since Keziah is often traveling, she wishes to have a permanent store in Nakuru where she would employ someone full time. Keziah believes, correctly, that this will allow her to travel and continue to expand her customer base while allowing her current customers to purchase cosmetics at their lesiure from her store.

Keziah is a very motivated young woman and has a sharp mind for business and her future is bright.

Traveling out of poverty

John Maina hails from a family of four, where his college education was not able to guarantee him a job (similar to an American undergraduate’s journey these days). However, his love for travel and exploring new venues propelled him to start a tourism company, which transports visitors to and from airports, and to events. His business has now reached a stage where international bookings are being generated and this brings into play the very idea of expanding his business and improving the breadth of professionalism within the workplace. Mr. Maina’s ultimate ambition is to penetrate international markets while exploring the tourism industry from a grassroots level. Below is a recent update from one of our client relationship managers:

Hello, my name is Traci Yoshiyama, Zidisha’s Kenya Client Relationship Manager. I am currently visiting Zidisha borrowers in and around Nairobi.

“Life in Kenya is hard.” I hear this statement often, though never as a complaint, but merely said with matter-of-factness. And although this is true for many, it is hardly a deterrence to persevere. But while the entrepreneurial spirit soars in Kenya, this unbridled enthusiasm comes with many challenges. Families struggle due to lack of business know-how and financial management skills and risk of unavoidable circumstances are high. To be a successful entrepreneur anywhere in the world takes not only passion, but also careful planning. Today I met a true entrepreneur in every sense of the word, Zidisha borrower John Maina, who turned a life that presented many obstacles into something of a success story.

Despite being orphaned at the age of three, losing his sponsor during his first year of high school, and having the responsibility of supporting his siblings with wages made from a janitorial position, John became the founder of the rapidly growing tour company, Topman Safaris and Travel. Although only operating for four months, Topman Safaris has already accomplished so much. Through diligent web marketing, John has spread the word about Topman, receiving clients from all over the world, including places like Turkey, Oman, India, and Spain. He has even partnered with several tour companies in Tanzania, Zanzibar, and Seychelles, expanding his tours beyond Kenya. Never tiring of visiting the picturesque sites of Kenya, John has already made over twenty trips to the Maasai Mara. Proven to be a profitable business thus far, John has been able to start a salon for his wife and also purchase a plot of land.

Like any good businessman, John is constantly searching for innovative ways to expand his company. Growing up amongst the exotic flora and fauna of Mount Kenya, he witnessed the destruction of wildlife on a daily basis, at the time not understanding the importance of ecological conservation. It is because of this exposure that John would like to turn Topman Safaris and Travel into an ecotourism operator. Coming December he will do just that. In addition to becoming an eco-friendly company, John became a Zidisha member. With his loan, he would like to continue to renovate his office, making it more aesthetically pleasing and professional for his clients. Currently having to rent a vehicle for safari excursions, John would also like to purchase his own van, allowing him to save thousands of shillings each month. With a bit of savings, he is also planning on attending the ITB Berlin in March, the world’s largest travel and tourism trade fair.

Seeking opportunities every which way, John is an inspiration to those wanting to improve their lives through entrepreneurship. I am happy to see that Zidisha is one mechanism that can assist him with his endeavors. Planning a trip to Kenya? Visit John’s website at http://topmansafaris.com.

The Young and the Restless

Even with a primary level education, Benard Njoroge still manages to use the investments in his education to build a sustainable life for himself and his family. His occupation as an electrician did not detract him from seeking out a Zidisha loan to engage in farming and the purchase of livestock. His wife is also a farmer and together, they make a power team. Below is a recent account of the duo family business run by Mr. Njoroge and his wife:

Hello, my name is Traci Yoshiyama, Zidisha’s Kenya Client Relationship Manager. I am currently visiting Zidisha borrowers in Kenya.

The youths of Kenya have had the advantage of growing up in the ubiquitous world of technology. Bright-eyed and bushy-tailed, many young entrepreneurs dive head first into the business of digital entertainment. What many believe only to exist in developed countries is easily accessible in the most unlikely places.

Twenty-six year old, Benard Njoroge, resides in the sleepy village of Waka, Rongai. A single dirt road stretches for miles, and the only sounds are those of nature and the occasional comings and goings of motorbikes. Unbeknownst to a newcomer, one would never guess Bernard’s cinema and electronic shop operate alongside the lone road leading to Waka. Made out of thatched mud and pillars of wood, the interior of Mr. Njoroge’s shop is well stocked with cell phone covers, chargers, earpieces, and multiple tools for electronic repairs. Trained by a friend, Benard opened his shop three years ago. Behind the shop lies his cinema. Tiered wooden benches cover it’s floor, while a few lucky viewers can enjoy some added comfort on recycled car seats. Arriving too early, I unfortunately cannot catch a glimpse of today’s feature presentation of Moon Monster, a Chinese kung fu film. At 10 bob a viewing, Chinese flicks are of the most popular showings, for who can resist those classic Jackie Chan fight scenes.

 

Referred to Zidisha by fellow borrower, Sammy Kanja, Benard received his first loan in August. With the loan and income of his two businesses, Benard is now the proud owner of a plot of land. Currently living with his father, Benard hopes that a second Zidisha loan will assist him in building a home for his family. In lieu of a house, Benard’s wife planted maize and beans on their newly acquired shamba, which she tends to while he manages his electronics shop and cinema.

Having only a couple of hours in Waka and more Zidisha borrowers to visit, my time with Benard was brief. Although short-lived, the impact of Zidisha on Benard and borrowers of a younger generation provides strong insight into the future of Kenya, for when given the opportunity to strive for something greater, there are no shortcomings of hard work, dedication, and innovation.

This is the link to the borrower's Zidisha profile

Change through safety

Coming from a humble background, Anthony Gitambe made a conscious decision to bring about change within his locality in Bahati, which was infused with problems of poverty and drug addiction. He did this through creating a chicken broiler project, which in turn, would generate employment for the youth population of that area. In order to bring about this transformation, Mr. Gitambe came to Zidisha for a loan to start up his business. Below is a recent account of the progress of his business:

Hello, my name is Dan Cembrola, one of Zidisha’s Kenya Client Relationship Managers. I am currently visiting Zidisha borrowers in Nakuru and its outskirts.

Zidisha borrower Anthony Gatembe resides in Maili Kumi, a small town 18 kilometers north of Nakuru. It is at his new home here where he is starting his next business venture. His previous endeavor, a poultry farm ran into a harrowing obstacle when 80% of his chickens contracted Newcastle disease. Fortunately, due to Anthony’s earnings at his second job as a driver between Nairobi and Nakuru in addition to the funds he saved from his Zidisha backed poultry business, Anthony was able to purchase a piece of land in Maili Kumi. He plans to repay his current loan in the following week and refocus his efforts.

Anthony has been practicing farming and agriculture since he was a child. On his new property, he is currently growing maize and other assorted vegetables to be sold to the rapidly expanding customer base in Nakuru. His long term goal is even more ambitious. By November, he plans to purchase a cow and begin a dairy farm on his new property. In addition to Anthony’s lifelong knowledge of rearing livestock, he has researched the local market and is well versed on what he can expect to receive in return for his investment.

He calculates that a cow could produce 40 liters of milk each day. With the local price hovering between 30-40 Kenyan Schillings per liter, Anthony expects to make between 800-1,000 Kenyan Schillings after production costs. In addition to strictly selling milk, Anthony also plans to take courses to learn how to produce yogurt and cheese from the milk, both of these products would increase his profit margin.

Losing 80% of his chickens could have been debilitating financially to Anthony, but because of his ambitious and ingenious use of his Zidisha loan, he is now embarking on a business venture that he believes will be both more safe and profitable.