Financial Service Providers (FSPs) to Partner with HEVA Fund at HEVA

Client Acquisition and Onboarding:

• Identify and onboard eligible young women in the CCIs, focusing on those living in vulnerable communities.
• Ensure that the onboarding process is inclusive, transparent, and adheres tHEVA Fund's ethical standards.

Financial Product Development and Delivery:

• Develop and deliver tailored financial products and services that meet the needs of the target demographic.
• Offer flexible product designs, repayment options, fund safeguard requirements, and grace periods.

Capacity Building and Financial Education:

• Provide financial education and capacity-building programs tenhance the financial literacy and management skills of the beneficiaries.
• Conduct workshops, training sessions, and one-on-one coaching tempower young women entrepreneurs.

Monitoring and Evaluation:

• Implement a robust monitoring and evaluation framework ttrack the performance and impact of the financial products and services delivered.
• Submit regular reports tHEVA Fund, including data on loan disbursements, repayment rates, social impact outcomes, and client feedback.

Risk Management and Compliance:

• Adhere tall regulatory requirements and maintain compliance with relevant authorities, including the Central Bank of Kenya.
• Implement risk management frameworks, including credit risk assessment, loan monitoring, and recovery procedures.
• Selection Criteria: FSPs will be evaluated based on the following criteria:

Reputation and Track Record:

• Demonstrated experience in providing financial services tMSMEs, particularly within the creative industries.
• Positive references and recommendations from industry stakeholders and clients.
• Strong track record of managing microloan programs, particularly in underserved communities.

Financial Stability and Capacity:

• Financial stability, including sound capitalization, liquidity, profitability, and risk management practices.
• Ability tmobilize and deploy financial resources effectively.
• Transparent fee structures, interest rates, and terms and conditions ffinancial products and services.

Product and Service Offerings:

• Range and diversity of financial products and services tailored tthe needs of CCIs.
• Flexibility in product design, repayment options, collateral requirements, and grace periods.
• Integration of digital channels, technology solutions, and innovative financing mechanisms.

Compliance and Risk Management:

• Compliance with regulatory requirements, licensing, and accreditation from relevant authorities.
• Robust risk management frameworks, including credit risk assessment, loan monitoring, default management, and recovery procedures.
• Adherence tethical standards, AML policies, customer data protection, and client confidentiality.
• Fraud management system and processes.

 Social Impact and Inclusivity:

• Commitment to promoting financial inclusion, gender equality, youth empowerment, and support for marginalized communities.
• Evidence of social impact initiatives, community engagement, capacity building, and financial education programs.
• Inclusivity in serving diverse client demographics, including young entrepreneurs, women-led businesses, refugees, and persons with disabilities.

Fair Practices:

• Implementation of a transparent and ethical recovery process that ensures clients are treated with dignity and respect.
• Clear communication with clients about repayment expectations and recovery procedures.
• Provision of support and guidance tclients facing financial difficulties, including the possibility of restructuring repayment terms.
• Use of recovery practices that prioritize the long-term sustainability and success of client businesses, rather than immediate repayment.

Deliverables

• Detailed business plan outlining the strategy, target market, sustainability, and growth projections.
• Audited financial statements for the past three to five years.
• Impact reports demonstrating past social impact achievements.
• Regular performance reports and client feedback surveys.