If you believed half of what you read in the emails that have been circulating about Equity Bank you would be expecting the bank to collapse at any time.
Based on the information I have managed to gather this is NOT true.
There are two main things that can cause a bank to go down. Firstly not being able to generate enough revenue and secondly non-performing loans in its' books. Equity suffers none of these two. Interestingly, according to confidential information that I was able to see, almost all the loans the bank gives are very small amounts to individuals and small business people. Meaning that even if some of them were to go bad, it would hardly leave a dent.
But the thing that shocked even me, was the revenue generation happening at the bank. WOW!! Let me simplify it so that everybody can understand.
Equity bank now has 1.4 million account holders. Any seasoned entrepreneur will tell you that when you have critical mass in numbers like these you can hardly go wrong.
Every time those 1.4 millions folks breathe, Equity makes money.