In the coastal city of Bosaso, Puntland, Somalia, Fadumo Ahmed Eise faced a significant challenge in growing her clothing store, Las’anod. For over 12 years, Fadumo has provided tailored goods and services. Still, despite her dedication, she struggled with limited capital, market constraints, and a lack of business resources, which hindered her dream of expansion.
Everything changed in March 2024 when she received a $3,000 Murabaha loan from KIMS Microfinance. This funding became the opportunity she had been waiting for, transforming her vision for growth from a distant dream into a tangible reality.
Before the loan, Fadumo encountered hurdles that stifled her business’s potential. Limited access to equipment and a male-dominated market resulted in missed opportunities to meet customer needs and expand her reach. With the loan, she was able to overcome these barriers.
Fadumo used the funds to enhance her inventory, invest in new technology such as financial management tools and CCTV systems, and expand her product offerings to include shoes, suits, and professional tailoring services. This not only attracted new customers but also streamlined operations, resulting in a 40% revenue increase.
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“Taking that loan from KIMS Microfinance was a turning point for my business. It allowed me to expand my inventory and increase my daily sales. The profits I generate from the business support my children and parents who rely solely on me,” Fadumo stated.
The growth of Fadumo’s business didn’t just benefit her; it had a positive impact on her community. She created two new jobs and supported local suppliers, contributing to the region’s economy. Additionally, as a woman entrepreneur, she became a beacon of empowerment, inspiring others and creating opportunities for professional tailors.
Her commitment to the community also extended to social initiatives, including market sanitation campaigns and public awareness drives, highlighting her role as a changemaker.
Fadumo isn’t stopping here. With plans to bring new clothing styles from Dubai and an upcoming $5,000 expansion loan in view, her journey of growth continues.
Her story underscores the transformative power of microfinance. Through financial inclusion and strategic support from KIMS Microfinance, Fadumo’s ambitions have turned into achievements, demonstrating that with the right backing, dreams can become a reality.
KIMS Microfinance