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. 

Falling down yesterday, standing up today

A man of great perseverance, Mr. Francis Kiiru was unable to finish his primary education due to financial difficulties. However, the lack of a higher education did not prevent him from accomplishing great feats, especially in supporting his wife and eight children. Below is a recent update on Mr. Kiiru from our Client Relationship Manager, Traci:

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

Francis in his shop

It is said that a person’s true character is revealed when confronted with challenge and controversy. Week after week, I speak with those who have encountered many adversities in life, misfortunes and hardships that test the strongest of minds. And week after week, as I sit and chat with Zidisha borrowers across Kenya, I am never met with self-pity or deprecation, but rather an unwavering determination to succeed. Last week, I was greeted in Dandora, a slum in eastern Nairobi, by a charismatic mzee (respected elder), beaming from ear to ear. This man was Francis Kiiru.

Francis grew up in the Rift Valley, situated approximately three hours from Nairobi. In the year 2000, without notice or pay, Francis was let go of his job with the Ministry of Lands. Being the sole provider of his family of nine, he decided to move to Dandora and start a general shop. Due to the high costs of living in Nairobi and lack of security in Dandora, Francis’s eight children and wife remain in Nakuru. Dandora being prone to rampant crime and Francis having experienced theft in the past, it is not often that he can leave his shop to visit his family. But despite the distance, Francis manages to take care of his loved ones, sending money to his wife through M-PESA everyday.

Francis and fellow Zidisha borrower

Although they have a small farm in Nakuru, the produce is not plentiful enough to generate any income or put food on the table. Francis also bought his wife a sewing machine to begin her own tailoring business, but due to their location, it did not take off. His general store being his family’s only source of income, Francis is able to pay for six of his children to attend school, along with all their basic necessities, such as food and housing. With the help of Zidisha and his lenders, Francis used his loan to buy stock, such as sugar, flour, salt, toilet paper, and soap. Although his first priority is providing for his family, Francis would like to rent a bigger space for his shop, hoping that future Zidisha loans can assist in this endeavor.

Despite the sacrifices Francis has had to make, his attitude remains resilient. The smile you see in my photos is not for the camera’s sake, but a true representation of a man that believes he has and will continue to succeed. Being only one of two Zidisha borrowers in Dandora, Francis would like to see his friends benefit from the organization as he has. I have a strong feeling, and I must admit, a bit of hope, that I will be back soon. Thank you for a nice visit Francis and good luck with your business over the holidays! 

Look Good to Feel Good

Here is a great update from Traci in Kenya!

Traci and Judy

December 19, 2012

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

Look good to feel good, a universal approach to life amongst women everywhere in the world, Kenya being no different. Salons and boutiques ubiquitously line the streets of every town, big or small. Heaps of secondhand clothing can be found on the busy downtown sidewalks of Nairobi, women picking through the piles to find that special piece to add to their wardrobe. And formal dress is not only set aside for Sunday’s best, but every day men and women, the rich and poor, can be seen sporting the latest fashion trends. With clothes being an easy, affordable, and high-demand commodity, many women, including Zidisha borrower Judy Mburu, decide to venture into the clothing business. 

After leaving her job with EPZ, Judy began her new career as a hawker, selling shoes around the town of Githunguri. Proving to be a success, she soon earned enough money to rent a space constructed out of iron sheets along the side of the main road, neighboring produce stands and similar boutiques (see profile picture). Progressing even further, Judy introduced secondhand clothes, called mitumba, to her stock. For two years her business grew, allowing Judy to put food on the table for her family (two young boys), pay rent, employ a woman to upkeep her home during her long 13-hour workdays, and chip in for a security guard to watch over the shops in the evening. 

Always looking to expand, Judy became a Zidisha member in November, receiving her loan shortly after. Thanks to Judy’s astute business skills and the help of Zidisha, she no longer has an iron sheet shop, but now rents a permanent room. Furthermore, with her Zidisha loan, Judy was able to become an M-PESA agent, dedicating half of her shop to M-PESA matters. A similar approach to strategically placing knick-knacks along checkout counters, Judy’s M-PESA customers will inevitably browse her clothing shop. No longer selling mitumba, due to an increase in import taxes, she now offers new clothes for all ages. Obviously not a one trick pony, Judy also sells popcorn outside her shop, though due to the day’s downpour, her machine could not be set up. Wanting to pay back her loan earlier than expected, Judy would like to use her second loan to buy more clothes and add hair accessories. She would also like to move to a larger space, preferably back to the main road, which draws a lot of foot traffic. 

After only two years, it is hard to imagine that this all started with a portable shoe business. But after meeting Judy and witnessing her conviction to succeed, it all makes perfect sense. Being in Githunguri often, I look forward to greeting Judy at her future shop along the main road. Asante sana Judy, kwa tembelea mzuri! 

View more pictures of my visit with Judy at www.talkingstory.posterous.com/pages/snapshots 

Achieving Literacy Through Technology in Africa

An update from one of our interns on the ground 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.

The town of Salgaa, located 30 kilometers west of Nakuru, would not be described as a technological hub. In fact, many of the homes here do not have access to electricity. Considering this, it is not hard to imagine that many residents of Salgaa are not overly familiar with the use of computers. Boaz aims to change this. 

Boaz opened his current store in July of this year but has been teaching computer literacy classes since 2010. He was previously conducting classes in his home. However, the genesis of Boaz’s passion and appreciation for computers dates back to 2008. Boaz was in the town center of Nakuru four years ago where he saw a young Kenyan student being instructed on how to use a computer by an older Indian gentleman. Boaz remembers thinking, “If this young boy can use a computer, why can’t I?” He promptly enrolled in a two month computer training course. 

Currently, Boaz has 20 students who attend his daily 2 hour classes. The students are taught to use Microsoft Office and various other computer programs. Upon completion of the course, each student receives a certificate verifying that they have a competent computer literacy. This certificate is now mandatory for many government jobs. Boaz says the course he offers would cost students 5,000 Kenyan Schillings in an urban center like Nakuru or Nairobi, but he is offering his course at 2,500 Kenyan Schillings to entice the technology wary citizens of Salgaa. 

With his first Zidisha loan, Boaz plans to buy a printer, scanner, and photocopier. In the longer term, he plans on expanding his current business which currently includes six computers. He envisions starting Salgaa’s first cyber café. He also wants to start working with some of the local schools to incorporate computer science into their curriculum. Boaz is passionate about helping members of his community enhance their level of computer literacy as he believes it is of the utmost importance when trying to secure a job in today’s economy. With the help of his loan from Zidisha, Boaz is spearheading the movement to educate his community. 

The Young at Heart

Margaret, who is on her second Zidisha loan, was visted by one of our Kenyan Client Relationship Managers this past week. You can read about Dan's meeting with Margaret below:

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.“I am here! I am here! I am here!” Margaret proclaimed as she deftly hopped over a small ditch on the side of the road. After a warm greeting Margaret began quickly leading to me her shop in Bahati Center, an agricultural town north of the city of Nakuru. She jumped over puddles and potholes the whole way before hopping on top of the step at the entrance to her shop. Margaret is 65 years old. Her shop is part of a building that Margaret owns. The shop sells some basic supplies and contains a storage room that she will soon fill with bags of maize from her farm to be sold through the shop. The shop also contains a soon to be operational MPESA stand. Locals use the MPESA service to send and receive money electronically. Margaret had used her first loan to purchase a sheep and has used her current loan to open the MPESA stand. Margaret’s shop only occupies a small portion of the large L-shaped building that she owns. She has created six hotel rooms with the remaining space and built one additional free standing room. She currently is renting out rooms at the rate of 600 Kenyan Schillings for a single and 1,500 Kenyan Schillings for a double. Since the new constitution was passed in 2010, the town of Bahati has become a district capital. Margaret expects to continue to enjoy full occupancy as her hotel is located adjacent to the new government office. After explaining these various business ventures, Margaret announced, “Now I will take you to my home business.” With boundless energy, she led me three kilometers down the road to her farm, where she lives with her husband. They cultivate mainly maize and tomatoes but also have sheep, goats, and a few chickens remaining after they recently sold 2,000 chicks. Margaret explained that the land they used to live on was ten acres but it was lost during the post-election violence. Since relocating to Bahati, they now only have two acres but she seemed to lament more the fact that each of her five children are now adults and working in different parts of the country. In addition to Margaret’s “town business” and “home business” she also found time to become the chairwoman of the Happy Mothers Group. This started out as a collection of five women and has now grown to seven who are all Zidisha borrowers. As Margaret escorted me the three kilometers back to town, she excitedly told me about how her family will all be returning next month for Christmas, a happy mother indeed. 

"The Popcorn Lady"

Hi Lenders,

Here is a brand new update from one of our client relationship interns in Kenya! Be sure to check out the borrower's profile for more information and leave any questions that you may have in the comments below!

Hello, my name is Andrew Weber and I am currently a Client Relationship Manager visiting Zidisha borrowers all over Kenya. It is quite common in Kenya to see people selling small bags of popcorn or peanuts. These ubiquitous little treats are sold by everyone from shop owners to wandering food merchants tapping on your window as you wait for your bus to depart. While the roaming vendors hawking various products are often ignored by weary Kenyans as they wait at the bus station, I’ve seen locals perk up many times to purchase a snack from a popcorn and peanut seller. Irene understands Kenyans’ craving for salty snacks, and has in turn made herself into the Popcorn Lady of Naivasha. 

Irene’s popcorn and peanut empire covers more than 100 vendors and shops in the region. She has the largest network of customers in the area. Rather than join the hordes of snack retailers in the area, Irene opted to enter the distribution business in 2003. She procures large sacs of popcorn and peanuts directly from a food wholesaler in Nairobi. The massive bulk of her individual purchases speak to the volume of snacks she pushes through the area: 90 kg (200lbs.) sacs of peanuts and multiple 10kg (22lbs.) sacs of popcorn. She then cooks the products herself before having them bagged and then selling them near and far. Customers include traders who come to her to bring snacks back to their more rural villages, and also shops all over the region. “Shops buy from me because I know how to cook”, says Irene. She cooks the peanuts in salt and water with no oil. 
With her loan Irene has increased her supply greatly, and moving the greater bulk has not been a problem at all for her. Wedding season is coming up so she hopes to continue moving an increased supply. The increased profits help support her six children, a couple of which are studying at universities. She is also still hoping to use part of the loan to buy a large popcorn machine, which will enable more quickly churn out her product so she can continue to grow her business. The machines are quite pricey though, so that purchase might have to wait until Zidisha loan number two. Once she has a large popcorn machine, her snack empire may begin to reach all corners of the nation. 

Technology Sets No Boundaries

Here is a great update from Traci in Kenya! She had the opportunity to meet with Duncan Chege earlier this month. Mr. Chege is a great example of the type of individual who is striving to make a real difference in his community. I hope you enjoy Traci's update! If you have any questions for Traci leave a comment below and I'll relay the message to her.

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

Minds alike, Duncan Chege and Zidisha both envision a world where technology sets no boundaries, where opportunity is no longer stifled due to economic standings, and where geography plays no role in one’s level of success. Although late in the game, the technology industry in Kenya is growing at an overwhelming rate of 20% each year. With rapid growth comes rapid change, and a shortage in skills is a challenge that Kenya is currently facing. 

Seeing the way of the world and a need for technology education, Duncan Chege moved from his rural town of Rongai to Nairobi, the heart beat of Silicon Savannah. In 2009, with only one computer to furnish his shop, it was here that Duncan opened Vision Computers. Within its three years of operation, one computer quickly multiplied to eight, and upon receiving his first Zidisha loan in June, eight grew to ten. With more computers, students are now able to work independently without the fuss of sharing a screen or fighting over who gets to use the mouse. Duncan wishes to pay back his loan quickly, in hopes of being able to take out a larger loan, which would allow him to rent a bigger space. 

Providing internet services is only a fraction of what is offered at Vision Computers, for Duncan’s main objective is community development. Seeing technology as a tool for empowerment, he offers computer-training courses to youths. Many students coming from the surrounding areas, including a nearby slum, Duncan’s rates are much more reasonable than his competitors. In addition to training courses, he has also partnered with a local primary school. In small groups, children come to Vision Computers to receive informal lessons to acquire basic computer skills. As I speak with Duncan, eight children work together on a paint program, directing each other on what to draw and what colors to use. As I peek around the cubicle, I see a lime green house in the making. Children being sponges of knowledge, Duncan expresses the importance of exposing them to technology early on, in hopes of better serving their future. 

Before my visit with Duncan ends, he takes me to his partner school. Not having electricity, running water, and limited space due to other live-in tenants, I see how fortunate they are to have the resources that Duncan is providing. Wanting to spread the word about Zidisha, Duncan introduces me to the director of the school, hoping to extend his services in more ways than one. 

To view more pictures of Duncan and watch a short video of him and his students, visit talkingstory.posterous.com 

Fighting Crime in Bahati

Here is a recent update from Dan in Kenya. He met with Joel Mwangi this past week and was able to see what Joel's Zidisha loan has done for him. Be sure to check out Joel's profile page if you're interested in learning more about him.


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.

I visited Joel at the place of one of his businesses in Bahati. It is evident that Joel is a natural community leader, and a well-respected one at that. His most idealistic long-term goals are eradicating poverty in Bahati. Toward that end, he has used his Zidisha loan to expand his farm and invested in higher quality fertilizer and seeds to ensure that his crops will be healthy and bountiful. Joel strongly advocates the use of high quality seeds and fertilizer to his neighboring farmers. He evidenced his point clearly as he gave me a tour of his village, pointing out which farms were able to afford fertilizer and quality seeds. 

In an effort to advance his community, Joel is selling a portion of his land that he has tilled and prepared for the next growing season to a neighbor. His intent is to give his neighbor an opportunity to begin a small farming business to help support his family. Joel regularly advises members of his community on improving their fertilization and irrigation practices. With the now abundant crops Joel is growing with his loan from Zidisha he has been able to employ laborers in Bahati to assist him and his wife during the harvest season. 

In addition to operating a three and a half acre farm, Joel also serves as chairman of the group of motorbike operators in the region. In the past few years, there has been a rise in the incidence of common thievery in Bahati, many crimes were committed with the aid of motorbike drivers. With the assistance of the local police force and the support of his fellow motorbike drivers, Joel was elected chairman of the group. As chairman, Joel has instituted a policy that mandates that every motorbike driver must have a registered identification card which is displayed to all of their customers. This measure has provided a sense of accountability to the motorbike operators and allows their customers to be confident that each driver is registered and approved by the local government and police department. 

Crowdfunding Transforms The Charity Landscape

While charity organizations have been around for decades to assist those in need, the rise of the internet and crowdsourcing websites has transformed how charity is handled today. Microfinancing sites play an especially huge role in this as they allow donators to get their money directly to those who need it. Instead of donators placing their money in the hands of a charity that may never end up diverting the funds to where it is intended, donators can feel safe and confident in knowing that their money is directly handled by recipients in need.

Helping Businesses with Microfinance

Besides helping individuals gain access to things like education or an increased amount of savings, microfinancing also does a fantastic job at helping many businesses to grow. Around the world and in many poorer areas, many individuals who run their own businesses may be running into problems because of factors such as broken equipment or lack of resources and, therefore, cannot afford fixed price recruitment in order to hire others to help run their business. For most business owners in these rural areas, microfinancing is the only source of income for both them and their family.

If they have to end up shutting down their business, problems can soon occur. Microfinancing helps these owners with things like a new vehicle for their business, new fabric for a clothing company, or even money to produce additional food for a restaurant.

By helping these businesses, you aren’t only helping the owners and their families, but also the local economy. After all, one of the best ways to help a city’s economy to grow is to support the local businesses in the area. If a local business ends up having to close, this leaves a huge economic void for the area. Money spent at these local places will typically go straight back to the economy as much as two or three times over.

Microfinancing Helps Increase Savings of the Poor

As this article by AllAfrica.com says, microfinancing has helped to destroy the myth that the poor do not save their money and is instead showing that most are credit worthy and do intend on saving. Microfinancing loan institutions are an essential part in helping those in rural communities to gain access to the financing they need. The only challenge right now seems to be that many citizens have trouble accessing these forms of credit. However, many microfinancing services around the country are working hard to implement this infrastructure and bring it into the hands of more people so that they can be helped. According to AllAfrica.com, a World Bank report has said that the number of people living on less than $1.25 per day is over 1.4 billion. With unfortunate statistics like these, it becomes apparent how important infrastructure like microfinancing is along with access to things like fresh food and water.

Microfinancing May Help To Solve Academic Issues

Thanks to budget cuts within education sectors throughout the world, research projects are getting cut, and tuition continues to rise. In many parts of the world, education is not even an option and many people can only work without ever having the chance to get a higher education. Microfinancing sites are increasing the ability for many throughout the world to be able to get an education.

Since many children have to work for their families each day, many are not able to go to school because they must help their families. Along with this, education is often expensive and is not free in all cases. Regardless, extra money that families receive can help to keep children in school and help them get an education. 

Why Is Microfinancing Better Than A Traditional Charity?

While it is true that there are plenty of fantastic charities out there, many of them are major for-profit corporations, and only a fraction of the money you end up donating will actually go to where it needs to go.

While not all microfinancing institutions are like this, a majority of them are non-profit, and their main goal is simply to get the donated money from you directly to the person that needs it. The existence of a company that handles your donation and distributes it when they feel it is necessary is eliminated by p2p microfinancing; it allows you to help many individuals around the world in a major effort to get out of poverty and improve the lives of both themselves and those around them.

Guest post by Eve Jamieson

Comfort Food in Ongata Rongai

Hi lenders! Here is a great update from Traci in Kenya. She recently had a chance to meet with Jane Njoroge, a resteraunt owner who is looking to expand her business. Read about Traci's visit below, and don't forget to check out her blog! 

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

The up-and-coming town of Ongata Rongai, home to many Zidisha borrowers, is a mini Nairobi, with its numerous supermarkets, sprawl of modern flats, and lining every street sit local restaurants and fast food chains. Just around the corner of the city center, away from the hawkers and fast-moving traffic, you’ll come across Liz’s Kitchen. Potted plants hug the exterior of this charming hotel (a hotel in Kenya often times refers to restaurant), while the inside is bathed in sunlight. Several rounded tea tables cover the floor of Liz’s Kitchen, giving off a European café vibe. The minute I step into Jane Njoroge’s hotel, I know I will be a returning customer.
Named after her sister, Jane started Liz’s Kitchen in 2010. Although she does not have formal training in the restaurant business, her prior profession as an educator has well equipped her in culinary arts. When still teaching, Jane took a six-month course specializing in nutrition and food preparation, as the skills acquired were needed at the nursery school. Jane decided to leave her job at the school when she had her youngest child, Wanjiru, who is now three years old. Although Jane is no longer a teacher, her passion for education never left her side, for her dream is to open a school in Ongata Rongai. With the help of her hotel business, she would like to buy land, build a school, and provide transportation for the students. 
Being new to Zidisha, Jane heard about the organization through her son, borrower John Njoroge. With her first loan, Jane would like to employ one more person at Liz’s Kitchen. Adding another employee would help Jane and her staff of two with the arduous task of morning food preparations. With extra hands, the cutting of vegetables; making of snacks such as chapati, samosas, and mandazis; and the labor intensive task of using charcoal will be much more manageable. Jane also hopes to find a reasonably priced machine to make chips (french fries). Being a popular snack for both adults and children alike, Jane finds herself turning away eager customers in want of this delectable treat. With the help of Zidisha, Jane hopes to soon add one more item to her already mouthwatering menu.
Before I could leave and it being time for lunch, I had to try my first meal at Liz’s Kitchen. A little bit of meat, a small serving of vegetables, a light soup on the side, and a whole lot of rice pilaf; the fact that my plate was empty in just a few minutes is a true testament to the quality of Liz’s Kitchen. Making frequent trips to Ongata Rongai and always struggling to find somewhere satisfactory for a quick bite, I know I have now found my haven. Jane, I wish you all the best with your loan and hope to enjoy some chips at Liz’s soon. 


To view more pictures of Jane, go to talkstory.posterous.com 

From the Ground Up

Here is a quick update from Traci in Kenya! She had the chance to check in with Rose Karanja the other week and was able to post some great pictures. You can view more of the pictures by going to Traci's blog, the link is at the bottom of her post.

 

August 29, 2012

Hello, my name is Traci Yoshiyama, Zidisha’s Kenya Client Relationship Manager. I am currently visiting Zidisha borrowers in and around Nairobi.
A few days ago I had the pleasure of finally meeting the much talked about Rose Karanja. Featured in many Zidisha posts and appearing in various forms of news media worldwide, I felt as if I already knew this truly inspirational individual. The epitome of a woman, Rose exudes a confidence that has surely been the driving force of her success thus far. The pictures highlighted in Alex Villec’s article show the foundation of a house being built. Look at the transformation now! 
To view more pictures of Rose, visit my blog: talkingstory.posterous.com 

Breaking gender stereotypes

Rosemary Kimani is an ambitious woman, who runs a hardware store within the Nakuru town centre. Opening up a hardware business is no easy feat, especially for a woman in Kenya due to a lack of investment capital and male domination. Loans are greatly needed to thrive in this business in order to secure inventory, machines and for an overall expansion and diversification of the business itself. Through accumulating stocks and other fixed assets, Ms. Kimani had big plans for her business. Below is a recent update on the progress of her business. The interview was conducted by Zidisha’s Client Relationship Manager in Kenya, Vivien:

Hello Lenders,
My name is Vivien Barbier and I’m a client relationship interns for Zidisha in Kenya. Today, I visited Mrs Rosemary Kimani in her shop in Nakuru where I also add the chance to meet one of her daughter and grandson. 

Mrs. Kimani operates a small shop in the street that sells plumbers material and other hardware products. She is a wholesaler and do not sale on retail. Her job consists mainly of visiting the retail shop in the area to sell her products. Today, especially because of the meeting I had with her, she stayed on the shop and sent her employee on the field to sell and to collect payments. To stay competitive with other hardware suppliers, she often had to agree to be paid by her customers after a few days. She is doing only for customer that she knows well but this makes her business in need of a large working capital, which limits the growth of her business. 

Using the loan of Zidisha, she was able to buy materials before receiving the orders from her customers. It allows her business to be much more efficient and competitive. Due to her good knowledge of the market she is able to predict demands and to order quantities required. In the future, she will request a bigger loan to Zidisha, so that she can increase further the size of her stock. She also wants to grow even more her business by adding electrical supplies to her product portfolio. She already has a small inventory of electrical supplies but it is too limited to make her an important player in the local market. She also plans to open a new shop in a better location; a new shopping mall that is currently being built. She already made the request for the boutique and is waiting for the answer of the real-estate developer. 

Mrs Kimani and her family have not always lived in Nakuru; they had a house in Kiptangwanyi but were forced to abandon it during the post election violence in 2007. They started a new life in Nakuru and pray that next year general election will be peaceful. I’m very happy to see that she has been able to put her life back on track after such tragic events. 

Even if she is a successful entrepreneur, Mrs Kimani doesn’t know how to use a computer or to speak English. Alice, her daughter will help her to interact with Zidisha. She is very thankful to all Zidisha lenders for their support. She told me several times, when I was in her shop, that what I was seeing had been made possible by Zidisha. 

The Meat Vendor of Karunga Village

Another update from Vivien in Kenya!

Hello Lenders,

My name is Vivien Barbier and I’m a client relationship interns for Zidisha in Kenya. I spend last week visiting Zidisha clients in Karunga village in the middle of the east-African rift valley. John welcomed me in the village and introduced me to many actual or future borrowers. He is really tanksful to Zidisha and he try to make the organization known by the other villagers. With the help of his friend Robert Ndungu, he organized me a meeting with the many villagers interested by becoming Zidisha members. 

John is not only a social super-connecter he is also a businessman. He is known is the whole village has a butcher and he employs a cooker to cuisine and to sell soups. He mainly sells sheep meat. He buys sheep from local farmers and has also his own small herd. The butchery business is one of the good businesses to be in Kenya, Kenyans love to eat meat, so John manage to sell about 10 to 15 sheep per month. The price of the meat is decided during a meeting with all the butcher of the area. This allow butcher to reduce the variability of their income and maintain a fair price. However, the situation in the area is not ideal for the moment. The economy of the rift valley is mainly base on agriculture, and thus, follows the cycle of the seasons. The harvest season start only in October and so farmers didn’t yet get the profit of their last six months of work. John, as many other shop owners, is waiting for October to see the revenue of his butchery reach the regular level. 

As he does not want to put all his eggs in the same basket, he also invested some of the money of the loan in his 6-hectares maize fields. He use the other part of the loan to by a milk cow, which produces now about 20 litters of milk per day that he sells in his butchery for an additional daily revenue of 800 Shillings ($9). 

Two of his three children told him that they wanted to become pilot and doctors, so he know that he will need to work hard to be able to pay all the schools fees to come. When I see the number of business run by John, I believe that there is a good chance that he manages to assume his children’s ambitions. 

Vivien
15th August 2012
Nakuru, Kenya 

Suits for sale!

Meet Ann Wangui, a shopkeeper from the Rift Valley city of Nakuru, Kenya. Her second-hand suit business enjoys healthy margins thanks to low operating costs and high demand. From her kiosk at the heart of Nakuru's municipal market, Ann sells at least 80 suits per month and diligently saves a portion of each sale for future investments in her business and family. As noted below, Zidisha has helped grow Ms. Wangui’s store and support her young children as they climb the ranks of secondary education. Last week, Vivien Barbier, Zidisha client relationship intern in Kenya, paid a visit to Ms. Wangui in downtown Nakuru. Take a look!

Hello lenders,

My name is Vivien Barbier and I’m a client relationship interns for Zidisha in Kenya. Today I visited Mrs Ann Wangui and her husband in their boutique. 

Mrs Wangui is running a shop in Nakuru’s market that sells second hand men suits. Every suit is in a very good state so it is hard to see that there are second hand. Before joining Zidisha, Mrs Wangui was client of other organizations that provided loans, but the interest rates were to high for her to make enough profit to grow the business. In addition to repay the debt, Mrs Wangui has to pay for the schools fees of her three children. Two of them are in high school and her youngest son is still at primary school. She told me that thanks to Zidisha and the low interest rate loan, the business is now much more profitable. Mrs Wangui also expects that her older son will be accepted to the university. In this case, the government will pay for his education. Mrs Wangui and her husband are putting a lot of effort to ensure the success of their children.

The last few months have been a rough time for their family, Mrs Wangui sister get very sick. Mrs Wangui had to pay for the important medical fees; this prevented her to pay back the loan during a few months. Fortunately, things are better now, her sister is doing well and Mrs Wangui can focus again on running her business. She also explained me that during the last month, the business was not great in the whole region. July and August are usually bad months for business and things improve in September. This is not the first time I hear that in the area; the other day, a farmer explained me that this was because the harvest period that only starts in September. 

Mrs Wangui plans for the future is to buy at least one new full suit to expend her product line. With second hand suits it is impossible to have a pants and a jacket from the same fabric and color. New suits can be sold for 30 000 KES ($350) so the profit that she can expect will be much bigger than for second hand suits. 

I lost the count of the number of time she said “Thank you” to the Zidisha community for having helped her when she needed it. She also told me that I should come back next year to visit her shop again and that I will be amazed by the change that I will see then. 

Vivien BARBIER
8th August 2012
Nakuru, Kenya

Learn more about Ann Wangui's story here!