Business Model

The venture is founded in 2023 after winning the D-Prize awards, and bears a certificate of incorporation No: 168925743 with her headquarters situated in Musoma. Mara, Tanzania.

Kilimo Premier offers a bundled service model designed to meet the holistic needs of rural farmers:

Financial Model:

  • Capita acquisition:

Kilimo Premier Uses a hybrid financing structure to supports its operations. Funded through a mix of equity, loans and grants in investment.

  • Revenue streams:

Kilimo Premier generates revenue through interest from loan, Training service fees, commission on agri-inputs linkages or value chain services and mobile transactions.

Operational Model:  

  • Integrated Hybrid Agro-financing & Extension Model (HAEMA):

Kilimo Premier operates a hybrid value-driven model that combines access to finance, technical support and education to empower rural farming communities across Tanzania.

  • Agro-loans :

Customized loans for crop production, livestock, equipment, postharvest materials and agri-trade

  • Business loans:

Customized loans for agri-entrepreneurship activities or value chain

  • Climate –Smart Loans:

Customized for climate adaptive technologies including drought resistant seeds, drip irrigation and solar-powered solutions

  • Leveraging mobile money and fintech tools for disbursement and repayments of loan.

  • Financial literacy and Capacity Building:

Mandatory training pre-and post loan to responsible borrowing habits. Modules on budgeting, savings, record-keeping and investment planning involved

  • Extension & Advisory Services:

On-field technical supports through partnership with local agronomist, sustainable practices (Micro-dosing techniques) and linkage to input suppliers and market access.

Group-based financial Model

  • Solidarity groups guarantee loans, no collateral is required rather than farm fields
  • Members in solidarity groups of 5 members (Enterprise Groups –EG) guarantee each other
  • Members in large groups of 50 members i.e. 10 EGs members (Market Enterprises Committee- MEC) used as loan administrator.
  • MEC members meet at weekly basis for training, loan applications, verifications, approval and repayment.
  • Clients own process: high level of client participation, the MEC members are final approval of loan.

Community-Centric Delivery Model:

    • Local field officers and agents embedded in communities
    • All services held at client’s home village