Get funded: Borrow on Fundkiss in 4 steps
23 Nov 2020
As the pioneering SME lending marketplace in Mauritius, Fundkiss finances projects from MUR 50,000 to MUR 3 m and ranging from 3 months to 5 years.
As a borrower, your most pressing question would be: How is a project selected and presented on our platform?
We invite you to explore the 4 major steps that we go through to select a project before launching it on the platform:
1) General eligibility criteria
The first step is for an eligible borrower to register his project online. Once you register, a member of the Fundkiss team will contact you.
So, what constitutes an eligible borrower? Our financing solution is open to entities with the following characteristics:
– Incorporated in Mauritius and duly registered with the authorities;
– At least 3 years of operation for a sole trader (operating under their own BRN);
– At least 2 years for an SME or corporate entity;
After registration, our team will contact you within 24 hours to understand your funding requirements and give you a list of documents we will need to carry out the credit analysis.
2) The credit analysis
For each potential borrower, the banking and financial information is then reviewed by our credit team. The overall goal is to ensure that the borrower has sufficient capacity to repay the loan amount.
Accordingly, the analysis focuses on the following:
– Repayment capacity: We look at the financials to ensure that the business is viable and demonstrates sufficient repayment capacity;
– Turnover and profitability: We assess the financial solvency of the venture through an analysis of financial statements and bank statements;
– Sustainability of the company: We look for the number of years in business as indicated above in the eligibility section, as well as the quality and capacity of the management team to deliver on the projected financials.
During this stage, following the first discussion with the borrower, a follow-up call or meeting may again be organised with the entrepreneur to ensure that the analyst fully understands the project and the situation of the enterprise and thoroughly validates the various aspects of the credit analysis.
As the desired outcome of the credit analysis, the analyst draws up a credit paper for the evaluation of the Head of Credit Risk at Fundkiss.
3) Review by our Head of Credit Risk
The Head of Credit Risk at Fundkiss reviews the credit paper in detail and adds his expert comments before it is sent to our Credit Committee, which is the last step before the project is put online.
It may be noted that the credit paper includes the crucial credit scoring (A, B or C) that determines the interest rate, which in turn ranges from 10% to 15%.
Finally, it is worth noting that we have defined clear thresholds for facility amounts, term, and interest rates for each product offering based on the nature of the entity (sole trader or SME or large corporate) as well as our internal credit risk management guidelines.
4) The Fundkiss Credit Committee
The Fundkiss Credit Committee is made up of 5 members with in-depth experience in the credit, banking and finance domains. The committee members review the credit paper pertaining to the project and decide in favour or against submitting this project to the Fundkiss lender community.
In order to ensure that only creditworthy endeavours go through, a majority of our members must provide a positive recommendation. Hence, a project cannot be published on our platform if it is not approved by a majority of members of the Credit Committee.
If the facility is approved by the Fundkiss Credit Committee, a proposal for a loan contract is drawn up which includes the definitive and detailed components of the loan, such as its interest rate, duration and the approved amount that can be listed on the platform.
You lie at the heart of Fundkiss
Finally, as the borrower, you are again contacted to advise you of the approval together with the terms of the contract, and to check whether you are still interested in going ahead with the loan.
Once the loan agreement has been signed, your project is put online on our platform so that lenders can finance it. In order for them to invest in a transparent manner, they must have information about your company, including a description of your activity, its history, the project to be financed, and certain financial data. We take care of the layout of this information and you validate it before it is uploaded.
Above all, we value your time! This entire process takes on an average, 2 weeks, with the shortest processing time being a week to the longest being a month, depending on how soon we are provided with your KYC documents and the detailed financial information we need to carry out the credit assessment. Ultimately, we want the process to be simple, fast and transparent, so rest assured that no unnecessary paperwork will be requested.
So, what are you waiting for? Go ahead, apply, and, if all goes well, get funded!