The microfinance sector is a rapidly growing sector across the emerging markets and in Zimbabwe, the sector is still in its infancy level of development. The current trend of economic “informalization” is expected to accelerate as large, blue chip and traditionally resolute companies and employers significantly rationalize costs and retrench staff thereby providing significant opportunities and microfinance businesses.
The attractions to the microfinance sector are many. Microhub wants to further demystify the notions that microfinance is not for serious business people and that for good returns MFIs have to exploit their clients through high interest rates and other malpractices. Technological and mobile advancements have started to provide vast opportunities for sustainable growth, efficiency and real attainment of the much-talked-about social goals and impact. The major constraint in the sector at the moment is the current liquidity crunch in the economy. There is a perpetual need for funding.
The Microhub Advantage
To be the leading driver of sustainable financial inclusion in Zimbabwe and the region.
- Long-term sustainability will be achieved through customer-centricity and affordable products.
- Technology-driven business processes & systems and delivery channels. This allows a centralized and efficient service and support model.
- Passionate, committed, experienced & knowledgeable staff.
- Management and board with massive combined knowledge in micro, retail, commercial, and investment banking.
- Extensive knowledge of the Zimbabwean landscape; pitfalls and opportunities as well as an in-depth understanding of the psychographic driving forces that motivate behaviour within the target market.
- Partnerships – The business will build long-lasting, mutually beneficial partnerships.
- Capitalization – the Microhub funding model strikes a good balance between capital markets as well as private funding.
- Scalable business model – Cash flow-based lending model that adequately assesses the ability and willingness to repay for micro businesses. The company has a very healthy approach towards risk modelling and pays due attention to factors mitigating risk within the environment.
- Strict adherence to the client protection principles. The business endorses the SMART Campaign and client protection principles have been streamlined into the business systems, processes and practices
Sustainable value creation for our clients and partners through simplicity, accessibility and responsiveness.