FREQUENTLY ASKED QUESTIONS ( FAQ)
Who is the owner of this Credit Union?
The owners are the members who subscribe for shares under the banner of SHESA.
What is the legal personality of the Credit Union?
It is a category one micro finance institution per the regulation in force.
01/02/CEMAC/UMAC/COBAC of 2002 . Art 5 therein makes it a co operative institution.
3 Why was NFC Bank chosen as the collection account for subscriptions?
NFC Bank is a national bank which has just gone through a restructuring process and doing well. In line with promoting national endeavors just like our Credit Union the choice fell on NFC Bank. However the Credit Union once operational will open accounts with other banks as operational exigencies require.
4 . Who can own shares ?
By law a co operative is opened by a group of persons who have something in common and have come together to pool resources to form a Credit Union. In this case SHESANS and its derivatives; their families ( SHESANETTES, SHESANITTES).
Who manages the Credit Union? SHESA or a Management team?
SHESA is only sponsoring the project. Once the Constituent General Assembly meets and chooses the Management Structure; The Board and in turn the Management Team SHESA fades into oblivion. Accountable management now takes over under the Business Law Rules ( OHADA).
What are the conditions for opening or for having a franchise?
See documentation below. Articles of Association. (Hyper link)
Are shares open only to SHESANS of the national territory?
No. SHESANS anywhere can be part provided they subscribe. Given the wide geographical spread power of attorney can be issued and members by proxy participate in the venture.
What guarantees are there to secure the deposits?
Guarantees are at two levels. Internal mechanisms and institutional safeguards.
Internal mechanism. Team approach. Committees usually oversee loans which have been the greatest pitfall of others before us. Strong and stringent procedures will be put in place.
Institutional safeguards. Voting will be by one man one vote not one share one vote to limit the risk, a situation whereby big shareholders hijack the union and dictate business. Secondly the Credit union will be affiliated to a supervisory institution like Camcull or Ntarikon which provides; (1) technical supervision and training to ensure compliance and (2) provides a cushion to absorb any unforeseen shock in the market – a kind of insurance. (3) The new bill on defaulters of loans. The new bill now makes voluntary defaulters of loans liable to prison terms unlike before where recoveries were a painful exercise.
Where can someone deposit his subscription?
NFC Bank account name : SHESA CREDIT UNION IN CREATION. Account N°1002500051387010663057.
10. Question : What is the importance and urgency of convening the Constituent General
It is very important to convene the constituent assembly as soon as possible. There seemed to
have been a misunderstanding which requires that the share capital be paid up before the constituent assembly is convened. This is not correct; it is actually the other way round. The constituent assembly does the following things:
- Adopt the statutes
- Launch the share subscriptions, collect and formally close the operation so as to obtain the statutory capital which is now enshrined in the statutes and thus permits the beginning of work on the business plan
- Set the date limit for the payment of at least one-quarter of the total shares subscribed
- Elect the members of the Board of Directors and commission them into office. From this point onwards the activities leading up to the accreditation of the credit union are considered launched.
Meantime, it is important for Mishés to gear up for the constituent assembly by making their subscription /intentions known and or pay up directly into our NFC Bank account, carefully conserving the pay in slip for presentation during the Constituent Assembly