More than 800 residents of Banana in Kiambu County will benefit from the Kiambu Biashara Fund.
Karuri Ward Member of County Assembly (MCA) Martin Njoroge said the fund, an initiative of the government of Kiambu County, seeks to assist residents from vulnerable groups to become self-reliant.
The targeted individuals seeking capital from the fund are asked to start viable businesses that can help improve their livelihoods.
He said several residents have applied for loans from the fund since its launch last year.
He clarified that only registered ventures would be considered for funding.
He said those engaged in alcohol manufacturing and distribution, retail and bars, money lending or mobile money transfer services, businesses with adverse effects on the environment and real estate need not apply.
The MCA further said new concepts and business ideas were eligible for funding as well as existing groups.
Start-up concepts or ideas will be funded to the tune of Sh100, 000 while existing businesses will get a maximum of Sh500, 000 though there are exceptions depending on the job description.
He said the fund will offer capital advance expected to be repaid within 36 months and quasi-equity which is a category of debt that has some traits of equity such as flexible repayment options and being unsecured.
Meanwhile, Njoroge clarified that the fund was different from the national government’s Uwezo Fund.