Wednesday, October 31, 2018

[Call for Proposal] WSS Loan Product Profitability Analysis

Terms of Reference:
WSS Loan Product Profitability Analysis

1)   Purpose: aims to engage a third party consultant to conduct a financial profitability analysis of microfinance partner’s water and sanitation loan products.. The consultant will collect data to understand financial sustainability of WASH product and conduct a set of interviews with senior managers to gather qualitative information on utilization of WaterCredit.

2)’s Background:
About has been at the forefront of developing and delivering solutions to the water crisis for more than two decades. Founded by Gary White and Matt Damon, challenges the traditional approach by pioneering innovative, community-driven, and market-based solutions to ensure all people have access to safe water and sanitation; giving women hope, children health, and communities a future. has positively transformed the lives of more than three million individuals in Asia, Africa, Latin America, and the Caribbean by providing access to safe water and improved sanitation.’s headquarters is in Kansas City, Missouri, USA.

WaterCredit Initiative
WaterCredit empowers those living in poverty to gain access to affordable financing to meet their own water and sanitation needs.. This comprehensive initiative puts microfinance tools to work in the water and sanitation sector.  In Indonesia, works closely with 13 microfinance partners that offer water and sanitation financing to their clients.   

     Scope of Work:
     The consultant will perform the following services:

1)  Identify and collect data needed to assess WaterCredit profitability of MFI’s WSS loan product and MFI’s motivation for implementing WaterCredit.  This will involve 1) working with to review and develop data indicators, product costing tools, and a semi-structure interview tool that will be used during the assessment and 2) visiting the MFI offices to conduct in-person interviews and MFI data.

2)  On the basis of meetings, interviews, and data collection as outlined above, Consultant shall analyse the findings with an eye towards the objectives of these TOR. 

3)  The consultant will discuss with which method would be the most useful for assessing the profitability, whether activity based costing or prorating costs.

4)  Produce a final assessment report.  Prior to completing the final assessment, will review and provide feedback on draft report.

The consultant will be responsible for the following:
a.      The Profitability assessment report, which will include:
§  Summary of the WaterCredit program, including sustainability vision
§  Loan product terms and delivery methods
§  Financial analysis of the past 3 years of WaterCredit program
§  Profitability analysis and recommendations; analysis will include a profitability scenario that assumes 2019 operations without grant support from for comparison
§  Final report will provide a clear analysis of the complete costs and revenue related to the WSS loan products

b.      Primary data collected during the assessment that supports the assessment, including:
§  Interviews in summary form;
§  WASH portfolio, costing and revenue data (excel spreadsheet); assumptions used in the analysis
§  Additional data collected and used in assessment analysis.

c.      The reports will be presented in the form of:
§  Excel sheet for the profitability calculation
§  Full narrative report, including a 2 page of summary results, in a word document

Request for Proposals wishes to hire a Consultant to work with to conduct profitability analysis as described in the scope of work above. The proposal should include a technical and financial proposal (see sample budget template below) as well as a project timeline, with the first stage of the work to be completed by December 7, 2018.  Please refer to Timeframe section for additional information. Applicants may be firms or groups of individuals with a designated team lead.

Applicants must exhibit the following qualifications:
1.      Proposed staffing plan includes at least one native or fluent English speaker.
2.      Demonstrated experience and familiarity with WASH and/or microfinance sector.
3.      Demonstrated experience with conducting profitability analysis.

A proposed budget shall be included with the Consultant’s submission, and the final budget approval shall be fixed and not subject to negotiation.  A sample budget template is provided below.  The Consultant shall provide budget information either in this format, or in a manner that includes similar details.  All taxes should be included in the budget.  The Consultant shall be responsible for payment of all taxes. All amounts shall be presented in IDR.  Budget notes are encouraged.  Please note the microfinance partner is located in Grobogan district, Central Java Province.

Planned Activity Dates
Estimated Person-days
Personnel Expenses
Unit Cost

Activities - Total

Other Engagement Expenses
No. of Trips (travel)
No. of Persons (travel)
Unit Cost




Per diem



Type of Tax
Tax %

Total – Other Expenses

Grand Total

We anticipate that this assignment will take approximately four- five weeks to complete.

Submission of Proposals
Complete proposals should be emailed to and cc-ed to Renata Fauzia, WaterCredit Program Manager, at Deadline for submitting proposals is November 5, 2018. Proposals will be reviewed on a rolling basis.

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