Looking for a solid Microfinance bank business plan for your new or existing enterprise?
Download this microfinance bank business plan, which you can download to present to NIRSAL, BOI, BOA, and other investors.
Writing a Microﬁnance Bank Business Plan
Microﬁnance banks are small banks that offer loans, savings, and insurance to entrepreneurs and small business owners who can’t access traditional sources of capital, like banks or investors. The main objective of microﬁnance banks is to provide people with money to invest in themselves or their business.
Microﬁnance banks are different from commercial banks. For instance, funding to commercial banks usually takes place through public offers (stock markets) in the form of equity, while Microﬁnance banks usually receive their funding from individuals/private equity holders in the form of debt. Also, most of the services commercial banks offer are bank door services, which means the customers need to go to the banks to access the services provided. But most of the services provided by Microﬁnance banks are doorstep services, which means the staff of the banks deliver their ﬁnancial services at the client’s doorstep.
A Sample Microﬁnance Bank Business Plan Template
- Industry Overview
Microﬁnance banks provide small loans to individuals and small businesses. This allows the microﬁnance bank business to attain a stage of being termed a recession-proof business. The stages of growth and development of a microﬁnance industry are classified into four segments, these are the pioneer stage, the breakout stage, the consolidation stage, and the maturity stage.
2. Executive Summary
Deckingham Microﬁnance Bank, LLC is a new microﬁnance bank in Ikeja, Lagos State, that will provide micro-lending and mortgage loan services to small businesses, real estate related matters.
We hope to bring better micro lending and mortgage loan services to residential and business customers in Lagos. Our plan at DMB LLC is to make our bank the customer’s home, where customers can be at ease whenever they come to access the services they want.
DMB LLC is created as an L.L.C. in order to avoid the taxation issues that usually surrounds corporations, realizing the beneﬁts of personal liability avoidance. We will be occupying a standard oﬃce facility in the business district of the city, giving us a suitable traﬃc to attract customers. We have also identiﬁed several milestones that will act as ambitious yet achievable goals for the business.
3. Our Products and Services
We at DMB LLC plan to offer unique services within the walls of the micro-lending and mortgage loan services. Our services will include:
a. Providing assistance loans to small businesses
b. Offer residential mortgages
c. Providing mortgage ﬁnancing online
d. Providing home equity loans online
e. Providing an online mortgage marketplace
f. Offer commercial and industrial mortgages
g. Providing home equity loans
h. Offer residential mortgages loans online
i. Providing other related loan cum mortgage consulting and advisory services.
4. Our Mission and Vision Statement
Our vision at Deckingham Microﬁnance Bank is to build a reliable partnership with individuals, small businesses, and corporate clients in Lagos State. Our mission at Deckingham Microﬁnance Bank is to provide reliable and trusted microloan services that will help individuals, small businesses, corporate organizations, and non-proﬁt organizations to attain their desired milestones. We plan to build a business that will become one of the leading microﬁnance banks in all of Lagos State.
5. SWOT Analysis
Our plan as a microﬁnance bank is to establish well– structured microloan services that will be of good help to our clients. So a SWOT Analysis was conducted and the results are below;
Our strength lies in the team. The quality, capacity, determination, and experience of our team is the core of our strength.
Our weakness will be further manipulated if it takes us long to break into the market and gain acceptance, as it is our main weakness now since we are new.
Huge opportunities lie in the industry, the teeming numbers of individuals who need startup loan for their businesses, and all other specifics in detail, the bank looks to capitalize on this to aid the nation and in turn profit.
DMB is well positioned and well prepared to offer microloan and mortgage loan services to see to the needs of this growing target audience.
Unfavorable government policies and tough competition near our base of operations will be a threat to the business definitely. An economic meltdown, although not likely, but might also pose a threat
Also, huge losses in due to sharp spikes in interest rates, accounting control fraud, or the collapse of hyper-inﬂated real estate bubbles. These can be checked by creating counter plans for each threat like employing the use of credit scoring software.
6. Our Target Market
Our ﬁrst aim at DMB LLC is to serve small to medium-sized businesses, from new ventures to other bigger businesses and individual clients. We plan to be decisive in all steps and approach our market one step at a time. Our target audience will cut across businesses of different sizes and individuals. Outlined below is the list of businesses and organizations that we have categorically designed our products and services for;
a. Small businesses
b. Individuals and interested homeowners
c. Real Estate companies and investors
d. Non-governmental organizations
e. House of worships and other religious organizations
f. Educational institutions
g. Corporate companies
How To Download The Microfinance Bank Business Plan Template
Above is a part of the Microfinance bank business plan template in Nigeria. If you want the complete business plan with the full financial plan, calculations, and more, follow the procedures to download it.
Pay the sum of N8000 (Eight thousand naira only) to the account detail below:
Name: Oyewole Abidemi (I am putting my name and not our company account so you know we are real people and you can trust us)
Thereafter, send us your email address through text message to +234 701 754 2853. The text must contain the title of the business plan you want and also your email address. Immediately after the confirmation of your payment, we will send the microfinance bank business plan template in Nigeria to your email address where you can easily download it.