BetterNow

BetterNow Finance Company (BFC) was a Zambian micro-finance institution established in 2012 by Noel Nkhoma, who served as its Chief Executive Officer. Mr. Nkhoma, a former Director of Corporate Banking and Marketing at Finance Bank, launched the company with his wife using an initial capital of K70,000. His extensive experience in the Zambian banking sector, including a 25-year tenure at Finance Bank where he rose from a bank clerk to an executive, informed the company's direction.

The company's primary mission was to provide structured and flexible financing to individuals and Small to Medium Enterprises (SMEs) that are typically underserved by the traditional banking sector. BFC focused on enhancing financial inclusiveness, with a particular emphasis on women-owned SMEs and minority groups. Its product portfolio included payroll loans for personal clients and a suite of services for businesses, such as order financing, invoice discounting, and working capital loans. The business model centered on direct lending to these segments, aiming to foster entrepreneurship and economic participation.

A significant milestone occurred in December 2014, when Kukula Capital, an investment group, acquired a 30% stake in BFC for K5.8 million, a move intended to fund national expansion. At its peak, the company was described as one of the fastest-growing microfinance institutions in Zambia, with plans to list on the Lusaka Securities Exchange. However, the company faced significant challenges, leading to a deteriorating financial condition. On July 21, 2023, the Bank of Zambia (BOZ) took possession of the company due to insolvency. Subsequently, on September 24, 2024, the BOZ officially cancelled BetterNow's operating license, confirming the company was insolvent with a deficit assessed at K25.5 million and effectively ceasing its operations.

Keywords: micro-finance, SME lending, Zambian financial services, order financing, invoice discounting, working capital, payroll loans, financial inclusion, Lusaka, Noel Nkhoma, Kukula Capital, non-bank financial institution, credit access, SME finance, personal loans, Bank of Zambia, lending for change, Zambian entrepreneurship, credit services, business financing