We help farmers unlock financing by building a portfolio of collateralized asset like their crop-in-the field, or commodities stored in our warehouse.
Current Status
1. Minimum Viable Product
2. In collaboration with WACOT RICE LTD. We piloted the Argungu Outgrower Scheme in Kebbi State, North-West Nigeria. We surveyed and onboarded 5,000 smallholder farming households. A total of 3,500 received input financing and 98% recovery rate successfully recorded. – 2021 – till date
3. In collaboration with the Japanese International Cooperation Agency (JICA), we are currently piloting a Proof of Concept of Credit Scoring Modelling Development for Smallholder Farmers.
Problem or Opportunity
Samllholder farmers lack of access to useful and affordable financial products and services that meet their needs.
Solution (product or service)
Our Financial products plug leakages of points leaking value from short-term farming needs to household needs like
1. Input financing (pre-cultivation and in-cultivation),
2. Crop-protection financing (in-cultivation) and
3. Warehouse receipt financing (cash lending, swap trade, on-spot sales,) etc..
Business model
- Bulk pricing for BNPL – 3% less market rate for input and service financing,
- Loss leader pricing – N500per MT/Month Storage account charges (Grain Bank),
- Interest rate – 2% monthly tenor rate on all loan products
- Credit score report - N4,500 single package to N22,500 bundle package
- Matching order spread - N1,552.5
Incubation/Acceleration programs accomplishment
iHatch Incubator - Managed by the National Information Technology Development Agency (NITDA) and Japanese International Corporation Agency (JICA)
