Access up to 80% of your LPO value with our LPO financing in Kenya
Whether you are an SME owner, individual trader, and sole proprietor, our LPO financing in Kenya helps you deliver the desired goods and services you have committed to in your business transactions.
Check Qualification
Get Started Now
Enjoy the best rates with our risk-based pricing model. Apply now in 3 simple steps
LPO financing in Kenya is a receivable-based financing solution, a flexible service guaranteed to help you fulfill your supply promises to your customers.
- 1
Check Qualification Online
Use our simple online form to verify qualification for financing. Takes less than 3 minutes to finish.
- 2
Meet with our representative
Once you are prequalified, a representative will schedule an appointment and review your KYC documents so you make your application.
- 3
Funds Deposited
Once your application is reviewed and approved, the funds will be deposited to your account to keep your business on track.
What else should you know about our LPO financing in Kenya product?
How Much Financing Will I Get?
Up to 80% of your LPO Contract value.
How Does Your Pricing Work?
- Interest Rate: Minimum of 3% per 30 days or part thereof. Lower rates may be considered with exceptional approval.
- Default Rate: (+2% over the standard rate) effective after a 30-day grace period from the due date.
- Interest is charged on the financed amount, without upfront fees.
How Much Fees Are Charged?
- Arrangement Fees: Range from 1% to 3% (minimum of Kshs 5,000).
- Negotiable fees for the duration of the offer letter, dependent on the client relationship.
What Security Arrangements And Documentation Are Involved?
- Securities as per the Credit Policy.
- Assignment of payment to DCL or to an escrow account where DCL has equal control.
- Comprehensive insurance cover copy.
- Letter of offer.
- KYC compliance.
- Personal insurance for individuals.
- Standard DCL documents.
What Documents Are Required?
- Completed application form.
- Copy of National ID/Passport.
- MemArts/CR1 & CR2 copy.
- Certificate of Incorporation copy.
- Bank/M-Pesa statements for the last 6 months.
- Copy of the PIN Certificate of company and directors.
- Copy of Trading License/Utility bills.
- 2 Passport size photos.
- Management books of Accounts (if available).
- Company profile (if available).
What Qualification Criteria Applies?
- Business operation for a minimum of 1 year.
- Individual customers must be at least 21 years old.
- Banking history with current bankers for at least 6 months.
- Maximum of three unpaid items in the last 6 months.
- Maximum of two excess drawings in the last 6 months.
- No past due LCs, loans, or interest arrears in the last 6 months.
- Regular and consistent credits in the account for the last 12 months, without a declining trend.
- Maximum monthly repayments not exceeding 30% of the average monthly turnover of the last 12 months.
- Debt Servicing Capacity Ratio not exceeding 50%.
- Not on the prohibited list as defined in the Credit Policy.
- Kenyan nationality.
How Is Your Limit Maintenance Offer Like?
- New Customers and New Procuring Entity: Limit available for 6 months, then renewed for 6 months. Annual renewal thereafter with fresh bank statements.
- New Customer and Existing Procuring Entity: Same renewal process as above.
- Existing Customer and Existing Procuring Entity: Limit available for 12 months, then renewed annually with fresh bank statements.
- Existing Customer and New Procuring Entity: Same renewal process as above.
