Sales, Savings & Loan Program

Ummah Community Magazine is a youth economic empowerment program supporting local youth to generate income through commission payable on magazine sales. Through the magazine sales program and commission payable local youth will be able to save part of their commission to a common pool from which members may be able to borrow youth friendly interest free loans to support their personal and business development plans.

Commission Payable on Magazine Sales

Youth members of the magazine economic empowerment program will be required to actively market and sell the magazines to fulfill monthly set targets. A generous commission at the rate of KES 50 shall be payable for each magazine sold through this program. 

Regular Monthly Savings

For each magazine sold KES 20 shall be deducted as savings from commission earned.

Each Member shall be required to save a monthly minimum of KES 900

In cases where a member fails to sell enough magazines to meet minimum monthly savings an equivalent monthly savings top up amount shall be deducted further from commission earned.

Where a member fails to sell even a single magazine in a given month then they shall be required to make their own effort to pay the stipulated monthly minimum savings of KES 900.

Delayed monthly contributions to the group’s savings kit shall attract a 10% penalty for each delayed month until the third month.

Failure by a member to offset monthly outstanding savings after the third month shall lead to automatic suspension of the member’s participation in the savings program as well as a magazine sales program.

Suspended members shall be given a period of three months to raise total outstanding savings upon which their participation shall be restored.

Where a member fails to have their status restored they shall have their total savings reimbursed and their membership status terminated altogether.

Access to Interest Free Loans from Internal Lending Facility

• Each member shall be required to save for at least six months before they can qualify for the credit facility.
• A member will be required to apply for a loan using the Ummah official application form after paying a non-refundable loan application fee.
• A member shall be allowed to borrow from accumulated savings up to four times the total amount of their personal savings.
• Loan applicant must be guaranteed by three other program active members.
• Each borrower shall be required to repay the exact amount borrowed but will be required to sell additional magazines up to 10% value of the borrowed amount earning neither commission nor savings.
• All additional magazines must be paid within the time frame given to the borrower to complete their loan repayment.
• Failure by the borrower to repay an instalment will lead to automatic recovery of the same from their personal savings.
• Where necessary delayed or defaulted savings shall be recovered from the guarantors’ savings.

Monthly Project Review Meetings

A member shall be required to attend regular quarterly project review meetings. The meetings shall be convened by the Chief Editor.

Participation in other related activities

A member shall be required to participate in any other activity related to the Ummah Magazine & Youth Economic Empowerment Project as may be required from time to time.