Ashford W. Meikle, Staff Reporter
ALMOST three-quarter of the clientele of JN Small Business Loans Limited (JNSBL) are women, according to the general manager, Frank Whylie.
Speaking yesterday at the company's annual board luncheon at the Alhambra Inn on Tucker Avenue in Kingston, Mr. Whylie said that "Women comprise 73 per cent of our customer base compared to men ... who constitute 23 per cent."
According to Mr. Whylie, there are about 6,959 female customers, compared to the male portfolio of 2,558.
JN Small Business Loans Limited was started five years ago and, since its inception, has disbursed 65,858 loans totalling just over $2 billion. As a result, over 15,000 jobs have been generated.
GROWING PORTFOLIO
The company's loan portfolio has grown at a phenomenal rate.
In the first year of its operation, the company disbursed a little over 2,000 loans with a value of $38 million.
Five years later - at the end of October 2005 - the company had 9,517 loans on its books valued at $176 million.
Pointing to the importance and relevance of its operations, Mr. Whylie noted "JN Small Business Loans Limited delivers innovative and accessible credit in a timely and profitable manner to micro and small business which have limited access to loans from commercial banks."
The lending agency offers three different loan products targeted at specific individuals - BizStart, BizGrow and BizEvents.
The loans, which are essentially 'character loans,' have lending amounts from $5,000 to $300,000 with household appliances, tools and equipment (with serial number) taken as collateral.
Some two-thirds of the loan portfolio is weighted in the distribution trade.
St. Catherine has the most loan clients - 2,513 customers, or 26 per cent of the total. Kingston and St. Andrew has some 1,326 loan clients.
CHALLENGES
Mr. Whylie identified five challenges facing JNSBL. These are:
Natural disasters - specifically in light of the recent, active hurricane season. To deal with this the company, among other things, has rescheduled or written off loans where clients lost both home and business.
Social unrest and high crime rates - particularly in Spanish Town and Kingston. As a result, the programme's expansion in these areas has been limited.
Lack of collateral by borrowers - However, JNSBL works with clients by investigating their backgrounds as well as granting small loans in the first instance.
Maintaining a competent field of staff - There is continuous staff training and performance appraisal.
Client selection and retention - This is handled through aggressive monitoring of bad debts.
Looking at future plans, the general manager for JNSBL is looking at the establishment of a central bureau, as well new loan programmes for health and funeral expenses.
