Micro lending business plan
Micro lending business plan
So, to mitigate these threats, we have induced the use of credit scoring software like and we hope and are well prepared to use else any of these threats to our own advantage. However, you will get a certain amount of people who are out to take your money, or who are asking for the money to achieve an unattainable goal. This will make it easier for people to enter our website with just a click of the mouse. The best thing you can do is learn how to screen your clients, and to create detailed contracts about each loan. Determine your market It is important that you develop your mission statement and make a list of your target customers. For example, if you live in a city or country where fishery or other agriculture-based businesses are the most lucrative, you can start by offering your credit packages to entrepreneurs in those businesses. Payment Terms: It can be from two months to six months.The advisable payment schemes are daily or weekly; for employees and pensioners, though, payments can be scheduled every payday or once a month. Makes sure of the operation of equipment by completing preventive maintenance requirements; calling for repairs.
Penalties: A penalty charge should also be imposed on delinquent borrowers. STEP 9. It was also envisaged that we should beware of huge losses in three situations: due to sharp, sustained increases in interest rates, accounting control fraud, or the collapse of hyper-inflated residential real estate bubbles.
What is the target market? All your employees must have relevant qualification and experience in financial lending as well as small business assessment.
To build a client base, you could partner with the human resources and accounting departments of your target companies. Sales and Marketing strategy We all at Vanguard lenders LLC are very much aware of the threats and strict competition in the micro lending and mortgage business, and we have devised our strategic means to win and suppose them.