Read on Twitter
Understanding the LAPO business model and financing structure.
It may be a model worthwhile for other ventures.
cc: @asemota
It may be a model worthwhile for other ventures.
cc: @asemota
1. Background https://twitter.com/asemota/status/1313029610398011396
2. LAPO isn't tech freak but largely driven by a community model https://twitter.com/asemota/status/1313039558943047681
3. How LAPO operates: keeping cost to the minimum possible https://twitter.com/asemota/status/1313043418868789248
4. They have real customers who make business use of the money and not for ”owanbe” (party) https://twitter.com/pluckyprecious/status/1313041600675799044
5. Customers feel extremely obligated to service their loans https://twitter.com/jossyonyiyechi/status/1313043233384038402
6. They know the culture and designed a system alongside that https://twitter.com/seyioguntoye/status/1313044854767837189
7. Speculating that they might one day become a bank https://twitter.com/festusnig/status/1313043736247631872
Adding to the speculation, they now have a MFB license https://twitter.com/oj_peters/status/1313048562981392384
8. They are already doing vertical integration with an advance into healthcare https://twitter.com/iiyawe/status/1313047040260214786
9. LAPO raised a bond that was oversubscribed by N200m https://twitter.com/asemota/status/1313047516259196929
10. Can they be better if they adopt more technology? https://twitter.com/daminister14/status/1313053452185014273
11. Their market may not understand technology but they can educate the market if the numbers are fine https://twitter.com/asemota/status/1313054336449236992
12. But can the low tech be a question of market requirements? https://twitter.com/daminister14/status/1313062400044785665
13. LAPO may need to look beyond the current customer segment when thinking about tech adoption https://twitter.com/asemota/status/1313063527767212033
14. There's been a tech attempt https://twitter.com/therealjimoh/status/1313065813008580608
15. LAPO business is intriguing to all as people keep thinking on their behalf.
Here Victor Asemota provided them with an alternative financing structure https://twitter.com/asemota/status/1313071063157346304
Here Victor Asemota provided them with an alternative financing structure https://twitter.com/asemota/status/1313071063157346304
16. Insider View - they have good numbers as well https://twitter.com/_toluwalase_/status/1313070413258330113
17. LAPO chose debt financing over equity. They might have the best decision https://twitter.com/realkelvin07/status/1313071931961339905
**might have MADE the best decision
18. It is not the first time we talk about LAPO on Twitter. Here's for more depth
cc: @asemota https://twitter.com/asemota/status/1217357231982891008
cc: @asemota https://twitter.com/asemota/status/1217357231982891008
19. Concerned about their aggressive credit recovery model. But they are bigger than that. https://twitter.com/davidalade__/status/1220641388158750720
20. @Uzoma_Sparkle who leads a similar business in Nigeria has a concern about there agent to loan ratio though. Basically, what labour cost is required to scale the especially since they are labour intensive and ”anti-tech” https://twitter.com/uzoma_sparkle/status/1217477963018657792
21. Their loan recovery process is also quite uncharacteristic https://twitter.com/theoghogho/status/1217422536851456002
Still on debt recovery https://twitter.com/iatalkspace/status/1217378087387770880
22. Concern about tech must be understood though. It's more front end driven https://twitter.com/asemota/status/1217380902428389378
23. I've seen someone doing similar and doing it great as well in Ile-Ife https://twitter.com/DavidAlade__/status/1220646162904035328
24. Since 2018, @asemota has chosen to take a bet on LAPO and they've only gotten better since then. https://twitter.com/asemota/status/949232039651356672
Still on 2018 bet by Big Chief https://twitter.com/asemota/status/994189246469554177
25. We are back from 2018. LAPO runs on Flexcube, core banking application. https://twitter.com/richard_usen/status/1313133557989212161
26. LAPO might understand the market more than we know. Going the Agent Model has always been lauded as a proven way to conduct business in this part of the world. https://twitter.com/0nn04/status/1313203001310367744
27. The MD is not so far much removed from the experience as he occasionally still finds time to join the recovery agent. https://twitter.com/akeemlo/status/1313427532860002305?s=19
28. A bit of history for the uninitiated.
LAPO is older than a lot of our contemporary banks that are usually referred to as "New Generation Banks"
LAPO started in the late 1980s in response to SAP under IBB.
LAPO is older than a lot of our contemporary banks that are usually referred to as "New Generation Banks"
LAPO started in the late 1980s in response to SAP under IBB.
It started as a Pro Poor Non government organization.
It was not until 2010 that they got a MFB licence.
In 2015, IFC injected 2 billion naira in the company. Equivalent of $5 million.
It was not until 2010 that they got a MFB licence.
In 2015, IFC injected 2 billion naira in the company. Equivalent of $5 million.
In 2010, LAPO MFB obtained approval from the Central Bank of Nigeria (CBN) to operate a regulated microfinance bank and was licensed as a national microfinance bank in 2012 to undertake microfinance banking activities in Nigeria.
More than 90% of their client are women.
Part of LAPO’s goals is to include a larger proportion of women into their financial scope; this is because women form a greater percentage of the financially excluded, and this is why 92% of the client base is women.
Part of LAPO’s goals is to include a larger proportion of women into their financial scope; this is because women form a greater percentage of the financially excluded, and this is why 92% of the client base is women.
The full meaning of LAPO is Lift Above Poverty Organization.
