Finances are a crucial part of any entrepreneurial journey. It is, therefore, necessary that as an entrepreneur you build a rapport with a trusted financial institution. When I talk of financial institutions, I am talking about Banks, chamas, Saccos, and investment clubs.
As an entrepreneur, ensure that you register with one of these in your locality. This should be after careful evaluation of how they operate and whether their vision is in line with your goals and ambitions. You may be asking yourself why there is a need to have a relationship with a financial institution. These are some of the advantages of this:
1. Access to Funding
Having a good rapport with financial institutions helps you get access to finances much more easily compared to if you are not known in any. Some financial institutions such as Saccos and chamas offer loans to members that have a saving history with them.
Financial institutions more often than not, bring together like-minded individuals. Being associated with one can help you network with people that can help you take your business to the next level. It’s not rare to hear entrepreneurs saying that they met via a Chama, Sacco or bank that they both transacted with.
Nowadays, SMEs have been identified as the key tool for driving economic growth. In line with this, many financial institutions are coming up with tools that are aimed at nurturing SMEs. These tools include seminars, training and other support materials that can help you as an entrepreneur to grow.
One thing you need to keep in mind as an entrepreneur, the size of your business doesn’t matter, build up that relationship early enough.
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