BBOXX Capital Ltd - Rwanda 1: 5% Bond
£250,000 | 122 | 0 |
£100 invested
Each £100 invested through BBOXX Capital Ltd will enable one Rwandan family to buy a four light solar home system on a flexible payment plan to meet their needs
2,500 families
Your investment will help BBOXX to provide clean energy to approximately 2,500 families in Rwanda
Since they started operations in 2010, BBOXX has provided approximately 675,000 people in the developing world with access to smart, affordable, clean energy solutions. The three co-founders of BBOXX met at Imperial College London while studying Electrical and Electronics Engineering. All three had travelled in the developing world and recognised the challenge posed to community and business development by an unreliable electrical supply. BBOXX have ambitious plans to deliver clean, reliable energy to 20 million people by 2020.
This project benefits from match funding from UK aid. UK aid has provided an up-front match of £62,500, meaning that for every £3 invested into this project by the crowd an additional £1 will be invested through match funding.
About BBOXX
Key product information
Investment target: £250,000
Minimum investment: £50
Maximum investment: No maximum
Maturity: 36 months
Expected interest rate: 5% per annum
Interest payment frequency: 6 monthly
Notional repayment: 6 monthly
Financial instrument: Unsecured interest bearing bond
Security: Unsecured
Key risks
This is a bond issued by a single company (rather than a savings product) and therefore it is recommended that you are careful with the amount you invest.
You must read the investment memorandum (provided below) where a full statement of risks is presented.
Documents
BBOXX in the media
The BBC's Business Live program recently featured an interview with the CEO of BBOXX, Mansoor Hamayun. BBOXX are one of the pioneering solar companies supported by the Energise Africa initiative, a joint venture between Lendahand and Ethex.
What the project investment will enable
BBOXX has provided Solar Home Systems to 135,000 households across the developing world since 2010. A BBOXX system enables households to access affordable, clean electricity and enjoy reliable lighting, phone charging, television and radio. Their pay-as-you-go payment plans allow for customers to match their income schedules to payments for their BBOXX system. This is crucial for many customers that have intermittent and uneven income streams (e.g. dependent on crop harvests) and allows customers to take control of their personal finances.
BBOXX's flagship Solar Home System, BBOXX Home, is Lighting Global Quality verified. Lighting Global Quality verification is granted only to products that meet the Lighting Global Quality Standards through undergoing successful testing under rigorous technical standards. BBOXX Home comes with a 50W solar panel and 17Ah battery, 4 LED lights (with a total output of 470 lumens), a TV, 2 USB ports, as well as 6 12v ports, which can be used for running other appliances. The system can also be pay-as-you-go enabled. Customers make repayments and then own the systems outright typically after 36 months (but can vary depending on their personal Hire Purchase Agreement). After the fixed term, customers pay a monthly Energy Service Fee in order to cover maintenance costs.
BBOXX has an ambitious plan to provide 20 million people with access to clean, affordable energy by 2020. BBOXX Capital Ltd aims to raise £250,000 of investment, enabling them to manufacture at least 2,500 BBOXX Home systems and deploy these across Rwanda from their distribution centre in Kigali.
BBOXX Capital Ltd
BBOXX Capital Ltd are looking to raise £250,000 from this bond issue as working capital to expand their operations across Rwanda. The money will be used for purchasing stock for deployment across their network of shops in Rwanda from a main distribution centre in Kigali. The number of people without access to electricity in Rwanda stands at 9.5 million. Your investment will allow BBOXX to make a SHS system available to a Rwandan family living off-grid that would otherwise be out of their financial reach.
BBOXX also invests heavily in 'Human Capital' in the markets in which they operate. Not only are they aiming to provide electricity to 20 million people by 2020, but they also provide employment opportunities. BBOXX Rwanda was recently recognised as a 'Great Place to Work', meaning they are now globally recognised as a business valued by their employees.
Social and environmental impact
Solar home systems, such as BBOXX Home, have been shown to have a significant impact on customers' lives and the environment. To date, BBOXX has sold more than 135,000 systems, with the potential to provide approximately 675,000 people with access to solar energy.
Social Impact
The installation of solar home systems to off grid families has significant impacts that can be divided into the following categories: lifestyle, flexibility, health and safety, and economic. A recent (December 2017) survey of BBOXX customers revealed:
89%
of customers are not connected to the grid
87%
of customers said that their BBOXX SHS was the first product they had bought on credit
66%
of customers were previously using kerosene as their main source of light before accessing BBOXX
39%
of previous kerosene users reported having fire-related accidents from using it
88%
of previous kerosene users reported health issues from using it
95%
of customers said that pay-as-you-go as a payment method suits them
Environmental impact
Using industry-recognised Global Off-Grid Lighting Association (GOGLA) impact metrics, BBOXX has calculated the environmental impact of installing 2,500 BBOXX Home systems as follows:
12,500
Number of people who will enjoy clean energy access
$199USD
Average new household saving on energy-related expenditure over solar product lifetime
0.39tonnes
Total greenhouse gas emissions offset per household over the lifetime of the product
Offer Documents
BBOXX Capital Ltd - Issue 1 - Offer Document (Log In to download)