I will use the loan to buy tools

Entrepreneur

About Me

I am an entrepreneur based in Kenya. I am married with two children. I live in Kisumu city and my offices are located along oginga Odinga Street at Swan Centre-G007.
I have a Bachelor’s Degree in Computer Science and Statistics-JKUAT (Kenya) , and a dual Masters in Information systems with bias in Distributed Systems and Networks and a PGP program on Business Administration from Aegis School of Business and Telecommunication-India..
I started doing business as a young man, during my high school days to date. I paid my way through high school to the university by engaging in business.
Even after my graduation, three months into my first employment, I had started a timber business and had a woodwork workshop while working at ICIPE-Mbita; this came down during my stay in India while undertaking my master’s program.
Since settling in Kisumu, I have since established myself as a contractor. Majorly, I do power-lines (construction of distribution and transmission power-lines).
The reason for starting my own business is the need for Independence and again to exploit the potential in me as a creator of opportunities for others as an employer and a mentor.
What I do, power-line construction, has opportunities and room for rapid growth. The returns are in the range of 80-120% with a-turn-around circle of between 3-4 months. It needs steady capital, as jobs are being allocated upon completion of the previous allocations.
It is also capital intensive, majority of it going into transporting the materials to site.
So far with the earnings, I have bought my own tools and equipment. I therefore no longer hire tools,except for a few for my technicians to undertake projects, which have reduced my budget by around 20%.
In the future I will be looking for debt or equity capital to enable us undertakes BIG projects. There is also a window for growth and also to diversify into other related construction services.
When I complete one project, another is given...The need for immediate money to transport materials, and pay some advance to technicians as we wait for the payments has made me join Zidisha. I would also want to re-equip my tools collection.
This will enable me to complete the circle without having to wait for payments to take new jobs.
When I grow with Zidisha, I will able to complete the circle with ease, and continue in doing business even as I wait for payments.
All loans will be repaid with the proceeds from the previously invoiced jobs when payments come; in the end I want to grow in the ladder at Zidisha, and God willing, being able to get a strong partners for BIG businesses in the same field, of which opportunities are there. I would also want to become a lender when my books have fully grown and self sufficiency is attained.

My Business

My company is a national provider of construction-related services. I stated this business with personal savings. Bridging the gap between the new jobs and waiting for invoices to be paid, requires a lending hand to help in bridging this circle.
Also, out technicians sometimes can wait, but where I hire few key tools, must be met in cash.
The proceeds from the previous jobs will be used to pay the loans.
Currently we have been pre-qualified by The National Power distributors – Kenya for the construction of both distribution and transmission power lines (66KVa, 33KVa, 11KVa, 415V, 240V).
The frequency for getting new jobs is now so high; with the government directive that all primary schools be lighted for the free laptop project to take off. Also, by targeting all public institutions to be lighted by 2015.
There is stiff competition from the old contractors, they have equipments and connections, but for now , it is about strength of a contractor in terms of resources. Any contractor, who completes a project, automatically gets a new project.
Standard cost is for the office space and 5 permanent employees, which comes to USD 1500. Our technicians and casuals are daily rate. Technicians earn USD 15/day and casuals USD 6/day. The number taken depends on the magnitude of work and resources available.
We are termed as transport and labor contractors. Both the clients provide materials and design of the works. We only provide transport and labor.
Normally, the total cost incurred in labor and transport amounts to between-40-50% of the contract value, depending again on the quantity of works to be done.
We also deliver integrated services covering the life cycle of infrastructure projects in roads/bridges, buildings and have been certified by the National Construction Authority Kenya.

Loan Proposal

If you go through my profile, am in the service industry. Having been pre-qualified to connect primary schools with electricity for the current's government (Kenya government flagship project) free laptop project, I have been hiring tools to implement the few projects which have been allocated to us.
The Loan will enable me to buy key components we hire for use in the construction of power-lines.
So far, I have 3 sets of climbers complete with belts, but still hire a key component for drilling holes which technicians use while dressing poles, the AUGER BIT.
We hire AUGER BITS at kshs 500 per day...meaning, if we are in the field averagely for 20 days in a month,we would save close to kshs 10,000.
By getting this loan, I would be advantaged to complete my projects in time and bid for the next and also to save.
In the future, when I grow my profile, I would also want to be able to get enough loan to sponsor many projects simultaneously to grow my profit books and mentor others too.
This service industry is unique in that, it builds me and my employees too, thereby impacting many families directly by helping them to raise revenue as my workers.

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