CowLeaseAfrica
CowLeaseAfrica (CLA)'s main activities are the supply of breeding cows and dairy cattle to
OutGrowerNet smallholder farmers. CowLeaseAfrica (CLA) will provide livestock insurance services in
conjunction with an insurance services and with an insurance company with the objective of
providing protection mechanism to the farmers and cattle rearers against any eventual loss of their
animals due to death.

Advantages of leasing:
1. Gain access to high quality pedigree dairy cows that could otherwise be unaffordable;
2. Commit scarce capital resources that would be used to purchase dairy cows to other uses such as
purchasing machinery;
3. No need for credit to finance the purchase of dairy cows;
4. Avoiding the financial losses that could occur if the market price of dairy cows falls;
5. Share production risks;
6. Match lease payments to the cash flow pattern of the farm;
7. Cow lease payments are deducted as an ordinary expense, rather than depreciating the cost of
purchased cows.