How to get Boda boda Loans in Kenya

Boda Boda’s history can be dated long ago. When bicycles were used for transportation. In today’s world, motorcycles are used to do the Boda Boda business. Almost every city, town, and village in Kenya has a Boda Boda. So what is “boda boda”? The Boda Boda is essentially a mode of transportation. A bodaboda is known as a “senke” in Sheng. It is the most popular business that is easy to start as long as you are a skilled motorcycle rider. In Kenya, the business has grown and is now its own industry.

Boda Boda in helping other businesses

When we talk about Boda Boda, we are talking about the most reliable business in Kenya at the moment. Every unemployed or employed young person is now obsessed with owning a motorcycle. The industry has employed thousands of youth and families. Many industries now depend on the Boda Boda business. For example, I used to work at a flower shop in the CBD, and we had a rider who used to deliver orders. We have other established delivery companies that have invested in the Boda Boda business. For example, KFC, Domino’s, and Pizza In, to name but a few.

Investing in Boda Boda business

Also, we have local and international companies that use technology to leverage the Boda Boda business. For example, we have Uber, which introduced Uber Boda. Other companies include Taxify, Bolt, and many more. In the same business, the rider receives a certain percentage of the profits, while the owner receives a certain percentage of the profits. It is a win-win business. At the end of the day, everyone benefits, including the customer. Boda Boda saves time

Advantages of Boda Boda

There are many advantages to a Boda Boda. Let’s analyze some known advantages;

• Employment: If you are the owner of the motorcycle you get to employ many people in the process.
• Time Management: If you are employed, you get to help many people save time and avoid traffic. In Nairobi for example, a Boda is able to penetrate through traffic hence arriving early.
• Safety: Another advantage is that if you are in the delivery business, products arrive safely.

How to get Boda Boda loans

Unemployed youth can easily obtain a Boda Boda loan, which they can repay with their daily earnings. For example, you get a motorcycle on loan and pay through MPESA Ksh. 500 daily or the amount you agree with the lender until the loan is fully paid.

1. Credit Companies – Companies such as Watu are very beneficial when it comes to Boda Boda loans. You can pay as low as Ksh. 200/= daily. There are other companies include; Mogo, and Mwananchi Credits, just to name a few.
2. Banks – Popular Banks in Kenya offer Boda Boda loans. Banks such as KCB, Co-operative, and Equity Bank are well known for financing.
3. Saccos – Also Saccos in Kenya offer financing through their customized solutions to their members. Each Sacco has its own policies and regulations regarding loans. You can be able to get assistance once you visit a Sacco.
4. Shylocks – When you approach a shylock, they can be able to give you money to buy a motorcycle and organize how you will be able to repay the loans.
5. Friends and Family – You can approach one of your best family members and tell them to take a motorbike loan on your behalf and organize how you’ll be able to repay slowly.

There are so many available options and it all depends on the amount of money you have at hand. Everything works well when you are able to repay back on time.

Boda Boda Loan consequenses

There are many consequences when you are unable to pay your Boda Boda loan on time. For example, if you fail to pay due to unavoidable circumstances, this is what happens.

• They call you and communicate
• Your Boda Boda is tracked down and the tracker shows where you are.
• The companies come over and take their motorbike even if you had paid 50% or 90% percent of the agreed amount
• They can even sue you
• Or even have to face other severe consequences

So, make sure you read and understand all the contracts before you sign.

Popular Boda Boda/Motorbike in Kenya

The popularity of a Boda Boda or a motorbike depends on many factors. For example, in Nairobi, most youths prefer a Boxer or a Ranger. We also have other popular brands such as TVS, Bajaj, Dayun, Captain, Honda, and SkyGo.

Choosing the right motorbike for your business all depends on your personal preferences, and the region or locality you live in. Also the availability of spare parts in your locality. There are many factors to consider.