What type of business do I need to be in to qualify for a KIE loan?
- It should be either be a manufacturing business or a service business.
- It should employ at least 5 people
- It should be running for at least 2 years to qualify as a working capital loan.
What minimum/maximum amount of loan can one apply for?
Lending Programmes
a) Small & Medium Scale Industries
Loan sizes range from Kshs. 500,000 to 14 million, equivalent to a maximum K.I.E LTD expenditure of 70% total investment payable over a period of 3 – 8 years
b) Micro Loans
Starting in 1982, KIE LTD has established a broad-based micro loans program that addresses the growth needs to the very small informal sector entrepreneurs, locally nicknamed Jua Kali because of their precarious open air operations. Presently, the loan-size obtainable under this scheme is minimum Kshs. 100,000/= and a maximum Kshs. 500,000/=
Is there grace period offered on KIE loans?
What is your interest rate?
Our current interest rate is 10% on reducing balance.
What are other requirements for applying for a loan?
- The applicant will be required to provide the following documents
- Photographs and sketch-map of business location
- Landed security to cover a minimum of 140% value of the loan requested.
- Valuation report from a registered land valuer. This will be verified by KIE officers.
- An original certificate of Official Search from land registry
- Two credible guarantors
- Current trading license
- Current bank statements
- Copy of PIN certificate of applicant and guarantors
- In addition to this, the following must also be observed
- The business must have a track record (i.e. been operational for at least 2 years.)
- The business must be properly appraised by KIE LTD.
- The loan must be utilized in financing an industrial enterprise as per KIE LTD policy .
- The loan must be for working capital or for purchase of machinery and equipment in which case a quotation should be provided
What type of security will I need to cover the loan?
All loans will attract sufficient collateral security whose value is at least 140% of loan amounts
What expenses will I incur during the loan application process?
- Application fee of 1,000
- Legal fee of 2% of loan size
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