|Q.How does one obtain a CEDA loan?|
|A.To apply for a loan from CEDA you are required to complete CEDA loan application form and business plan form. You may prepare a separate business plan which should be submitted together with a completed loan application form. For your project to qualify for funding from CEDA it must be viable, sustainable and adding value to the economy. All these forms are available at all CEDA offices countrywide.|
|Q.What type of projects does CEDA finance?|
|A.CEDA finances viable and sustainable projects according to the sectors of Agri-business, Property and Manufacturing and Services. |
|Q.How long does it take for CEDA to give feedback on the loan application?|
|A.The turn-around time for CEDA to give feedback on the loan application is 14 days. This is on condition that the applicant has provided sufficient information to allow CEDA to make its decision. Therefore, the applicant has to provide as much information as possible to enable CEDA to evaluate the business plan within the set timeframe.|
|Q.What are the payment options that are available?|
|A.There are various options available. The borrower may be required to pay their loan monthly, quarterly, bi-annually or annually depending on the gestation period and the cash-flow of the project.
|Q.How soon will I be able to access the loan once it has been approved?|
|A.There are normally pre-disbursement conditions attached to the approval of the loan, once all these conditions have been fulfilled, the loan can start disbursing in accordance with the implementation schedule agreed with the borrower.
|Q.Where can I get CEDA application forms?
|A.CEDA application forms together with the business plan forms are available on the website and at all CEDA offices countrywide.|
|Q.Does CEDA finance existing businesses?|
|A.CEDA finances start-ups and expansion of existing businesses. Therefore, individuals or companies wishing to start a new business and those wishing to expand existing businesses can apply.|
|Q.Does CEDA finance boreholes, tractors and cattle posts (meraka)?
|A.CEDA finances all projects that prove to be viable and sustainable. All projects submitted for CEDA funding are subjected to a thorough evaluation to determine viability, sustainability and justification for funding including cattle posts. Boreholes and tractors alone are not projects, but may form components of a project, and if a complete project is found to be viable and sustainable, CEDA will fund it.|
|Q.Is it possible for me to get a loan from CEDA for a project and pay back the loan from my salary?|
|A.CEDA finances only viable and sustainable projects, so the project has to be able to repay the loan, as such the loan repayment has to be from the project and not from any other sources. That can only happen if the project has collapsed or is subsequently found to be failing to repay the loan.
|Q.How much time am I given before having to start paying back the loan?|
|A.There is a grace period on the repayment of the loan, which varies depending on the implementation of the project, gestation period of the project and the cash-flow of the project. However, as per CEDA's new set of guidelines, the grace period has been extended but should not exceed 48 months.|
|Q.Can I appeal if my application has not been approved?|
|A.Yes, the applicant can appeal to the Chief Executive Officer. Reasons are provided for every unsuccessful application and when one appeals, they must give reasons for not agreeing with the decision and any other information why their application should be re-considered.
|Q.Am I expected to repay the loan if I hit blank in borehole drilling?|
|A.Borrowers are expected to repay any amount spent in a project, whether the project has been successful or has not been successful including money spent in borehole drilling where one hits a blank.|
|Q.Does CEDA still finance ostrich projects?|
|A.The sector is currently experiencing some hiccups and
CEDA is trading with utmost caution.|
|Q.Can I get a loan if the other shareholder is not a citizen?|
|A.The CEDA mainline together with Young Farmers Fund and the Credit Guarantee Scheme are strictly for citizen entrepreneurs. However, the other CEDA subsidiary, the CEDA Venture Capital Fund, provides for a joint venture between citizens and non-citizens.
|Q.What is the eligibility for one to access Young Farmers Fund (YFF) product?|
|A.For one to be
eligible they should be in possession of a valid Omang, be aged between
18-40 and present a viable proposal for any primary agricultural project to the
nearest CEDA office.|
|Q.Does one have to register a company to access to YFF?|
|A.No. You can apply either as an individual or company.
The choice is yours.|
|Q.Where does one get application forms from?|
|A.The nearest CEDA office or you can download from the
|Q.Is there a list of CEDA YFF accredited consultants for preparing business plans?|
|A.No. We encourage the youth to prepare their own business plans and only seek assistance in such sections as the financials. There are institutions available to assist the youth such the Local Enterprise Authority(LEA) and the Business Place.
|Q.Land board requires some form of surety from a potential financier before allocating land. Does CEDA YFF provide that?|
|A.The applicant's age and proof that has one started
preparing a business plan are sufficient for land board to consider an
application for provisional allocation. The land board will give a response in
|Q.Can one be funded by YFF if married?|
|A.Yes, provided the applicant is within the required age
|Q.Can one be funded at the age of, for example: 40 years 9 months or does eligibility end immediately a person turns 40?|
|A.Eligibility only ceases once someone has turned 41.
|Q.What happens if one dies before loan term?|
|A.In the event of incapacitation, death or any other
reason beyond one's control that may render them unable to continue managing
the business, the person listed as the successor is excepted to take over the
running of the project if they are capable of doing such.|
|Q.What happens in case of natural disasters such as hail, drought, frost, etc?|
|A.A mentor is usually attached to assist in assessing
the damage. Where the produce was not insured, a contingency budget is usually
used to recover the loss. It is a requirement to make sure that insurance is
always in place.|
|Q.Does YFF demand collateral for loans?|
|A.YFF will take security of what is being bought for the
|Q.Does YFF fund livestock projects on communal grazing areas or does it only cater for fenced up areas?|
|A.YFF will accept, consider and fund any agricultural
project that is financially viable and sustainable.|