Strengths: Strong customer relationship Highly client focussed- doesnt charge clients for days defaulted, strong competitive

position-low interest rates compared to competitors,growth in business Weaknesses: Limited capital base-limited money to lend out since at times the principle is r etained by clients for a period of 4 months .need to have a constant set of cash flow Lack of strict formal process of document checking while disbursing loan Lack of proper accounting standards an and financial recored keeping. high rate of defaulters hence increase in arrears rate high operational costs in terms of airtime, transport to appraise clients,costs in recovery Company is not a registered entity Opportunities: Ugand is an underbanked area with lot of money lending bsinesses in unorganised sector lending at very high rates.Company can expand in multiple areas as per th e demand forecast and present loan taking pattern and offer services at competi tive and cheaper rates.

Threats: Mony lending business in Uganda is a cluttered market with other money leanders in the sector,village saccos,micro finance institustions such as the banks Degrowth in money lending business owing to operational malpractices and unreaso nably high interest rates PEST Analysis Political: Money lending business is constrained by the provisions of the Money Lending Act of 1952. This act requires moneylenders to obtain a certificat e from the Magistrate who has jurisdiction over their area and a licence from their loc al authority annually. Interest is regulated by the Act and cannot exceed 24% annually. The a ct requires written contracts between the lender and the borrower, and obliges the money lender to keep proper records of accounts Political debate was dominated by the discovery of oil and a number of high-lev el corruption cases implicating senior government officials. A case affecting th e government s northern Uganda programme led several donors to suspend development a ssistance to the government. Economical: Uganda completes two decades of rapid economic expansion, with GDP growing at a n average annual rate of 7.1% from 1992 to 2011. Uganda s economy stabilised in 2012 but growth of 4.4% is lowest for more than a d

ecade. Tightened fiscal and monetary policy helped bring fiscal balances under control . While laying the foundations for recovery and growth, stabilisation came at th e cost of a slowdown in gross domestic product (GDP) growth to 3.2% by June 2012 . A gradual recovery is expected, with real GDP growth projected to reach 4.4% in 2012, then picking up to 4.9% in 2013 and 5.5% in 201 4. The policy changes are especially aimed at dampening inflation and boosting prod uction and export earnings. The discovery of gas and oil is a unique opportunity to boost and restructure th e economy. Sociological: growth of the use of Social Media in Uganda. This is evident by the increase in internet usage in Uganda as well. According to internetworldstats.com up to 30. 06.2012, Uganda had 4,376,672 internet users. That makes it the third in East Africa after Kenya and Tanzania respectively. Technological: