Effect of Loanable Funds and Director’s Skills on Financial Performance of Non Deposit Taking SACCOS in Mombasa County

Kenya’s financial sector includes banking Institutions, non-banking financial institutions and Savings Credit Co-operative Societies (SACCO’s). The purpose of this study was to find out the effects of loanable funds and board of directors, on the financial performance of SACCO’s with references to non-deposit taking Sacco’s in Mombasa County. Descriptive research design was used and the target population of the study comprised of one hundred and eighty-five (185) non-deposit taking Sacco’s in Mombasa County.  Stratified random sampling was used to select respondents for the study from the target population. Random samples were taken from each stratum to avoid biasness and to give every individual an equal opportunity to participate in the study. The data was analyzed using both qualitative and quantitative methods also Likert scale was used to further analyze quantitative data, SPSS and formulas were used. The coefficient of determination indicated a strong positive association between independent and dependent variable. Variance analysis (ANOVA) showed that loanable fund levels and board of directors’ skills influence the financial performance of non-deposit taking SACCOs. The study concluded that there was a positive and significant relationship between loanable fund and financial performance