Loans for Private Companies in Botswana

lamna Botswana offers short-term, asset-based loans for private companies in Gaborone and elsewhere in Botswana.

The need for small business finance in Botswana

According to an IMF report, Botswana has been “one of the hardest hit countries in Sub-Saharan Africa”. The COVID-19 pandemic has extracted a toll across all sectors of the economy.

A widening fiscal deficit and shortfall in revenue are hampering government’s ability to provide targeted support to local businesses. Even commercial banks are buckling under an estimated BWP 7.3 billion in non-collateralised loans and advances. Most of these are business loans.

Only viable enterprises in traditional sectors, like mining, cattle and tourism, are able to raise capital from banks. This is usually on the back of rising cash flows, productivity gains and positive forecasting figures.

Short-term financing is the stopgap between survival and business closure, especially for smaller and newer firms in Botswana.

When it makes sense to get a loan for your company

Borrowing extra capital only makes sense when it provides extra value to the business. It can be used to fund the acquisition of equipment, purchase inventory, or cover operational costs in lieu of expected cash inflows from accounts receivable or when the business recovers from strict lockdown.

Using a short-term loan to invest in new talent or exploit a “can’t miss” business opportunity is good business practice if the return on investment outweighs the cost of servicing the debt.

Assets you can use to secure a company loan

Unfinanced assets, such as cars, boats, utility vehicles, luxury wristwatches and antiques, can be used to secure a short-term loan with lamna Botswana.

Provided the person applying for business financing is the registered owner of the asset, a loan is processed within 24 hours.

How to get a small business loan from lamna

Securing working capital from lamna Botswana involves submitting an online loan application form and having the asset appraised at our branch in Gaborone.

Once a loan agreement has been reached, and signed off by both parties, the asset is locked away for safe-keeping. The finance is transferred into the applicant’s business account.

A short-term business loan by lamna Botswana is a type of secured loan. As a result, we don’t require bank statements, business financials or personal or business credit reports supporting the application.

The asset is returned once the capital, plus the interest and fees charged on the loan, has been paid back within the agreed term.

Other small business loan options

In addition to our quick and discrete short-term asset-based loans, Batswana have access to a few other financing options.

Payday loans, invoice financing, merchant cash advances and lines of credit can help with a funding shortfall. However, a strong financial track record and proven business performance are usually among a slew of qualifying criteria.

How we can help private companies at lamna

At lamna Botswana, we offer fast, discreet asset-based loans for private companies in Gaborone, as well as for individuals. We provide loans against the value of a wide range of assets, from luxury watches and jewellery to vehicles or valuable works of art.

For more information about using an asset to secure a short-term loan, contact us on 71 388 088 or simply complete and submit our online application form.