"VUA is more than just a fintech company, it's a lifeline for underserved groups like fishermen, empowering them with financial tools to navigate the unpredictable waters of their livelihoods."
Company Description
VUA Solutions is a fintech company that seeks to provide affordable and responsible financial services to people working in the Blue Economy, who have previously been underserved by formal financial institutions.
The Solution
VUA Solutions has a clear mission: to transform the luxury fish market's value chain, all while prioritizing the financial well-being of underserved small-scale fishermen.
At the heart of their strategy is the VUA Solutions platform, purposefully designed to generate value for a diverse range of users. With this platform, they are committed to achieving the following objectives:
Sustainable Blue Economy:
VUA Solutions envisions a future where the Blue Economy ecosystem is not only environmentally sustainable but also economically robust. Their platform is a crucial component in this journey, reshaping the dynamics of the luxury fish market.
Financial Inclusivity:
Small-Scale Fishers (SSFs) often face exclusion from traditional financial institutions due to a lack of conventional prerequisites, such as solid financial records and collateral. VUA Solutions aims to bridge this gap, providing SSFs with access to financial services that can help them seize economic opportunities, access essential services, and build resilience during challenging times, especially during lean fishing seasons.
Climate Resilience:
In the face of climate vulnerabilities, the platform is designed to support SSFs in adapting to changing conditions. Their vision is to make the Blue Economy more resilient and better equipped to handle the challenges presented by a shifting climate.
For Small-Scale Fishers - (SSFs):
01.
The VUA Platform allows SSFs to receive instant payments via mobile money from middlemen or traders.
02.
It offers an automatic savings feature through a check-off system, enabling SSFs to save amounts above normal market rates.
03.
These savings can serve as a source of stipends during low fishing seasons or as collateral for loans from financial institutions (FIs).
04.
SSFs are encouraged to diversify into other enterprises, such as mangrove honey production, reducing their over-reliance on fishing.
05.
The platform promotes conservation fishing by onboarding sustainability-conscious off-takers.
For Financial Intermediaries - (FIs):
01.
The VUA Platform helps FIs mitigate credit risk by organizing SSFs into groups, ideally per boat, facilitating co-guaranteeing for loans. It also provides cushioning through SSFs' savings.
02.
It enables FIs to accurately assess SSFs' loan repayment ability based on payment and repayment history.
03.
The platform serves as a reliable source of data and record-keeping for FIs.
04.
FIs and co-investors can generate impact reports using data from the VUA Platform.
Vision to 2030
Their vision for 2030 is to ensure that the Blue Economy ecosystem is sustainable, financially inclusive, and supports adaptation to climate vulnerabilities. They intend to leverage Artificial Intelligence and Machine Learning trends to achieve this goal.
Impact
On People
Through savings and/or loans:
-
VUA Platform will help SSFs to capture complementary economic opportunities by diversifying risks of climate change e.g., livelihood diversification into mangrove honey.
-
VUA Platform will help SSFs build resilience in dealing with the damaging impacts of climate change e.g., replacement of damaged boats and gears
On Blue Ecosystems (Planet)
-
VUA Platform will help reduce the rate of declining marine catch because it plans to ONLY deal with value chain players such as middlemen and traders who use sustainable fishing methods that are designed to only catch big fish, such as the use of hooks.
Business Model:
They are currently securing concessions with partnering FIs and charging a commission on loans and savings as part of their revenue model.
Their Plan to Scale:
They are in the process of onboarding small-scale fishers (SSFs) who serve dealers in premium fish markets. Their technology is actively catalyzing the scaling process into different regions.
Vua Solutions Team
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