Improving marketing and staff skills leading to more clients

The Sacco (Savings & Credit Cooperative) is currently only operating in Dien Quang. The Sacco started in 2009 with 32 members, and has grown to more than 1000 since. The Sacco operates under the cooperative and under the credit law. The sacco is a member of the national Credit Fund Union (Central Cooperative Bank in Hanoi). The Credit Fund Union gets its funds from the government, the sacco members and business men. The Sacco started with an capital base of 1 billion VND (40.000€) and this has increased to 30 billion VND (1.200.000€). 27 billion VND is mobilized from the members via savings, 20 billion is used for loans to the members and there is a reserve of 20 billion VND. The membership was VND 100.000 but increased recently to VND 300.000. The equity of the organisation is 1.5 billion VND. Only members can get a loan from the Sacco. The Sacco has 500 loan clients. Besides loans the sacco also collects savings from their members. The sacco it has the ambition to expand to 3 more communes and want to develop financial products that serve their members best in their need for liquidity. Furthermore the sacco has the ambition to reach 3000 members in 5 years and mobilize 100 billion VND capital of which 65 billion is used for its loan portfolio. On the basis of a succesful company assessment an action plan for 2016 has been developed.