Cooperative Bank has partnered with Simba Corp for asset financing, enabling customers to purchase commercial vehicles at affordable rates and also access working capital.
The partnership thus allows customers to acquire Fuso trucks from Simba Corporation. where Co-op bank will fund up to 95% of the value of the truck. Additionally, the bank will also top it up with a KSh500,000 working capital.
The deal will also see customers a two-month repayment holiday on the loan which is repayable over a period of up to 5 years.
In the long run, the deal seeks to enable businesses to remain afloat, cushioning them from the negative economic impacts of the global COVID-19 pandemic.
In February this year, Family Bank also partnered with Simba Corp, a deal that saw customers receive up to 100% financing when purchasing vehicles. The vehicles included Fuso trucks, Mitsubishi, and Mahindra products. Business owners in the agribusiness sector and the education and religious institutions were able to access 100% financing with a five-year repayment period. In contrast, other business enterprises obtained 95% financing, repayable in a period of up to 60 months.
Other customers, including PSVs, accessed up to 80% financing repayable in a period of up to 48 months.
In 2018, the then NIC Bank also partnered with the corporation, enabling SMEs and individual customers to benefit from up to 95% financing from NIC Bank. Under the partnership, customers enjoyed flexible repayment periods of up to 60 months for commercial vehicles, and 72 months for saloon vehicles. They also received free vehicle tracking, and free comprehensive insurance cover during the first year of ownership.
Simba Corporation is an integrated business group headquartered in Nairobi, Kenya, with controlling interests in such diversified fields as motor sales and service, hospitality, investment and financial services.