The grow cash advances are disbursed in minutes and does not require personal guarantee.
Kopo Kopo Kenya Chief Executive Officer Francis Mugane says this will help small scale businesses get access to capital for their businesses.
“In our years of doing business, we’ve seen even our best customers struggle to access capital for their businesses, Given our mission to help businesses grow and prosper, solving this problem with Grow was a logical next step – and it’s only one of many steps to come,” he said.
Businesses automatically become eligible for “Grow” after accepting electronic payments via Kopo Kopo for three months.
Once eligible, a business owner chooses how much they want to receive and what percentage of daily sales should be deducted via Kopo Kopo to repay the cash advance.
The business owner then agrees to a simple fixed fee, and funds are disbursed to their Kopo Kopo account within minutes.
The more electronic payments a business accepts via Kopo Kopo, the more cash they are eligible to receive at a lower fee.
Kopo Kopo deducts a larger amount when sales are high, a smaller amount when sales are low, and no amount when there are no sales.
“We believe electronic payment acceptance is the first step on the path to modern, digital commerce, we see Grow as an opportunity to help businesses access capital while simultaneously encouraging them to start moving away from cash,” he said.
Grow is ideal for businesses looking to replenish stock, refurbish their premises, or launch a new business line.