August 11, 2022
Drafting a strategy for your lending business
The business strategy is the foundation of every business, it provides guidance to what the organization is set-up to achieve. The first step towards building a strong lending business, with long-term sustainable growth is having a clearly defined strategy. In simple terms, your strategy tells your stakeholders (internal and external) what your organization will be […]
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August 9, 2022
Expand your lending business with customer incentives
Human psychology indicates that human beings make purchase decisions based on emotions which are subsequently justified by rational suggestions. According to Simon Sinek, it’s easier to sell a product that’s emotionally charged. This is where incentives come in. Humans as consumers generally respond to incentives as a big motivating factor for their purchase decisions. The […]
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August 1, 2022
Customer count or profitability: which is more important for a lender?
Running a lending business, as is the case with running any other business, requires business owners to make some tough decisions. Most lenders, especially those new to the lending business, are typically faced with the high-consequence question: “What should I primarily focus on -growing my customer count or growing profitably?” The former is concerned with […]
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July 27, 2022
How to grow your customer base as a lender
Having a large customer base is the goal of every business. Not only is it one of the pillars of growth, it also allows a lender to diversify their revenue base. A solid customer base is a sign of a healthy business and the quarter on quarter growth is a metric that every smart investor […]
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July 25, 2022
Building the right culture in your lending business
Culture is a critical requirement for any business to achieve its business objectives. As the popular saying goes, “culture eats strategy for breakfast”. Well-thought out strategies, processes, policies, frameworks and models; without an enabling culture won’t return desired corporate values for any organization. A lending business, like any other business requires the right culture to […]
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July 20, 2022
Fund your lending business with on-lending facilities
The credit gap in Nigeria is massive, at over 74 trillion. However, there are still not enough loans to go around for everyone who needs them. Beyond the tech to scale, lenders also need the capital to lend. How many loans could a startup lender possibly give from bootstrapping? Say a lender starts with N10m […]
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Differentiate your lending business through customer experience
At our last count, we found over 200 loan apps in Nigeria and without a doubt, many more lenders are still building behind the scenes, getting ready to launch. Even though the wide credit gap means there are many potential customers available for the taking, now more than ever is the best time to discover […]
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Importance of credit scoring for loan decisions
“What if they don’t pay back?” If we had to compile a list of questions frequently asked by lenders, this would probably be top of the list. It’s the biggest and most terrifying question a lender is faced with when assessing a loan application. Lenders in Nigeria are constantly forced to confront the reality that Nigerians […]
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July 18, 2022
Device finance in Nigeria: A case for BNPL
The business of today is no longer a physical place. It’s now conducted in millions and billions of devices all over the world. . Even more interesting is the fact that, in Nigeria, lots of software developers, creatives, etc. are able to work for companies abroad from the comfort of their homes with their smart […]
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July 15, 2022
CBN’s Global Standing Instruction explained
Interestingly, not every loan default is as a result of a lack of capacity to repay. There’s also the question of willingness. Actually, most loan defaults are due to borrowers’ unwillingness to repay. After years of abuse by recalcitrant debtors, Nigerian banks and the Central Bank of Nigeria (CBN) launched the Global Standing Instruction (GSI), […]
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