Maridady Sacco: Maridady Motors has started a savings and credit society (Sacco) that is offering car loans to prospective buyers. The sacco is now targeting people looking to acquire both personal and commercial vehicles, taxi drivers, boda boda riders, car-wash operators, and mechanics.
“I have seen what diligence, persistence, integrity and trust can do to develop an organisation be it social or economic. I would want to replicate the same at Maridady Motors Sacco,” says Eric Mwangi, the CEO of Maridady.
Taxi drivers who are able to save Sh. 2,000 per day will qualify for a new car once they hit Sh. 350,000 in savings.
Boda boda riders saving Sh. 300 per day will qualify for a new motorbike once they hit Sh. 50,000.
“The client will save with us up to 50 per cent of the cost of the car or machinery and we finance the remaining 50 per cent through the Maridady Sacco,” says Mr. Mwangi.
Unlike the conventional Saccos, however, members of Maridady who raise up to 50 per cent of the value of the asset they want to acquire will not require guarantors.
“The guarantor model will only apply for those unable to raise 50 per cent of the asset value,” he said.
Maridady Motors, which also handles direct vehicle imports for clients, said it is working on a scheme that will enable it to finance direct imports. “Many Kenyans would love to import vehicles directly but lack the finances to do so,” Mr Mwangi said adding that the company is working on partnership with Co-operative Bank and a Japanese firm to offer the service.
“Our clients trust us and they do referrals even through social media. Most of our clients are also repeat clients,” says Mr. Mwangi.