In the olden days, several traditional savings and lending practices were prevalent in many African communities, which have long been a lifeline for individuals and small businesses. 

Some call these saving practices Esusu, Ajo, or Adashe. It offers a platform for mutual support, enabling members to save collectively and access funds when needed. However, the inherent limitations of this analog system are increasingly apparent in today’s fast-paced digital world.

Challenges such as manual record-keeping, lack of transparency, limited access to funds, and susceptibility to fraud are becoming increasingly problematic. Moreover, esusu’s informal nature restricts its ability to scale and reach a wider audience. To address these challenges and unlock the full potential of this valuable financial tool, digitizing your traditional lending is essential in today’s digital world.

While these old means have been a cornerstone of financial support for many, their limitations are increasingly evident. 

Here’s why digitizing your lending business will be a game-changer:

• Transparency: Digital records provide clear visibility into contributions, disbursements, and balances, promoting trust among members.
• Accessibility to Funds: Members can access their funds and information anytime, anywhere, eliminating the need for physical meetings.
• Efficient Management: Automated processes streamline administrative tasks, saving time and reducing errors.
• Wider Audience: A digital platform can attract more participants, including those in remote areas.
• Financial Inclusion: Digitization can help bring more people into the formal financial system, promoting financial inclusion.
• Additional Financial Services: Beyond savings and lending, digital platforms like Tendar can offer other financial services like insurance, investments, and BNPLand credit scoring.
• Data-Driven Insights: Digital platforms generate valuable data for participants. They have access to information that can help them improve decision-making and risk management.

If your lending business evolves from a traditional savings club into a powerful financial tool that empowers individuals and communities, you position your business for more groundbreaking opportunities. 

Let Tendar help you tap into these opportunities for your business growth.