For micro-entrepreneurs and small businesses, the high upfront cost of productive assets like sewing machines, tractors, or computers is a major barrier to growth and productivity. Traditional microcredit models can be insufficient, as they require large lump-sum payments and significant collateral that many informal businesses simply do not have. Micro leasing offers a game-changing alternative, providing a flexible and accessible way for these entrepreneurs to gain access to the equipment they need without the burden of a large initial investment. This model allows them to pay for the use of the asset over time, with the equipment itself often serving as the primary collateral, making it a powerful tool for financial inclusion and asset ownership.

This course provides a comprehensive and practical guide to designing, implementing, and managing successful micro leasing programs. You will learn the strategic and operational differences between leasing and traditional lending, exploring how to structure lease agreements, assess the unique risks involved, and build a sustainable business model. By mastering the principles of micro leasing, you will be equipped to empower small businesses and individuals to invest in their livelihoods, increase their income-generating capacity, and graduate into a more formal and financially secure future.

Duration: 5 days

Target Audience:

• Microfinance institution (MFI) managers and executives
• Product managers and innovators in financial services
• Professionals in charge of field operations
• Risk management and credit analysts
• Social entrepreneurs and startup founders
• Development and financial inclusion practitioners
• Regulatory and policy advisors
• Consultants in small business development
• Professionals in asset finance

Objectives:

• Master the core concepts and models of micro leasing.
• Understand the key differences between a lease and a loan.
• Learn how to design a profitable and impactful micro leasing product.
• Grasp the complexities of risk assessment and management in leasing.
• Explore strategies for managing and repossessing assets.
• Understand the legal and regulatory frameworks for micro leasing.
• Grasp the role of technology in automating leasing operations.
• Analyze successful case studies of micro leasing programs.
• Learn how to build and manage a portfolio of leased assets.
• Develop a strategic plan for launching a micro leasing scheme.

Module 1: Foundations of Micro Leasing

• What is micro leasing and why is it important
• The key players in a leasing transaction
• The difference between a financial lease and an operating lease
• The benefits of leasing over purchasing equipment
• The role of micro leasing in poverty alleviation

Module 2: Product Design and Development

• Designing a micro leasing product that meets client needs
• The importance of a flexible payment schedule
• The role of a down payment and residual value
• Pricing a lease product for profitability and accessibility
• Bundling the lease with other financial services

Module 3: Risk Assessment and Mitigation

• The main risks in a micro leasing portfolio
• Assessing the client's ability to generate cash flow
• The importance of a well-defined credit policy
• The role of the asset itself as collateral
• Strategies for managing portfolio risk

Module 4: Operations and Asset Management

• The operational flow from client application to asset return
• The role of a dedicated asset management team
• Strategies for asset tracking and maintenance
• The process of repossession and remarketing the asset
• The importance of a robust management information system

Module 5: The Legal and Regulatory Environment

• Navigating the legal framework for micro leasing
• The importance of a clear and enforceable lease agreement
• Understanding the regulatory and tax implications
• The role of a specialized legal team
• Advocating for a supportive regulatory environment

Module 6: Technology and Automation

• Using technology to streamline the leasing process
• The role of mobile apps for field officers
• Automating payment collections and reminders
• Using data for real-time asset tracking
• The potential of fintech in micro leasing

Module 7: The Partnership Ecosystem

• The importance of partnerships with equipment suppliers
• Collaborating with maintenance and insurance providers
• The role of financial institutions and investors
• Building a network of trust and reliability
• Case studies of successful partnerships

Module 8: Client Training and Education

• Training clients on how to use and maintain the leased equipment
• The importance of financial literacy for clients
• Providing business development services
• Building a long-term relationship with the client
• The role of ongoing support and monitoring

Module 9: Social and Financial Impact

• Measuring the impact on client income and productivity
• The link between micro leasing and asset ownership
• The long-term effects on a client's credit history
• The role of micro leasing in economic empowerment
• The importance of impact measurement and reporting

Module 10: The Future of Micro Leasing

• The convergence of micro leasing and other financial products
• The role of a circular economy in micro leasing
• The potential of blockchain for asset tracking
• New trends and innovations in the sector
• The future of financial inclusion through asset finance

Training Approach

This course will be delivered by our skilled trainers who have vast knowledge and experience as expert professionals in the fields. The course is taught in English and through a mix of theory, practical activities, group discussion and case studies. Course manuals and additional training materials will be provided to the participants upon completion of the training.

Tailor-Made Course

This course can also be tailor-made to meet organization requirement. For further inquiries, please contact us on: Email: info@skillsforafrica.org, training@skillsforafrica.org Tel: +254 702 249 449

Training Venue

The training will be held at our Skills for Africa Training Institute Training Centre. We also offer training for a group at requested location all over the world. The course fee covers the course tuition, training materials, two break refreshments, and buffet lunch.

Visa application, travel expenses, airport transfers, dinners, accommodation, insurance, and other personal expenses are catered by the participant

Certification

Participants will be issued with Skills for Africa Training Institute certificate upon completion of this course.

Airport Pickup and Accommodation

Airport pickup and accommodation is arranged upon request. For booking contact our Training Coordinator through Email: info@skillsforafrica.org, training@skillsforafrica.org Tel: +254 702 249 449

Terms of Payment: Unless otherwise agreed between the two parties’ payment of the course fee should be done 7 working days before commencement of the training.