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Access to Finance: A Guide for Cooperatives Seeking Their First Loan

August 10, 2026 · admin
First-Loan Guide for Coops

Over the last 18 months we’ve walked eight Malawian cooperatives through their first formal loan applications. Five closed. Three didn’t. The pattern is remarkably consistent — here’s what actually gets checked.

**1. Audited membership register.** Lenders want a signed, dated register with contribution history for every member. Not a WhatsApp screenshot.

**2. Two seasons of aggregate off-take.** A signed offtake contract with a buyer (not just a letter of intent) covering the loan period. Anchor buyers are the single strongest signal.

**3. A collateral story that isn’t land.** Warehouse-receipt financing, group guarantees, and moveable-asset registration all work. “We’ll pledge the maize” doesn’t.

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