What is Ajo and How Does it Work?
What you need to know about Ajo
Conversations around Ajo and how it works have been growing on social media over the past few months. But what exactly is it?
What is Ajo?
Ajo is a Yoruba word that literally means rotational contribution or cooperative saving. In other parts of Nigeria, it is also known as Esusu or Adashe.
How Does Ajo Work?
Ajo is a rotating savings system, where a group of people agree to contribute a fixed amount of money regularly (daily, weekly, or monthly). At the end of each cycle, the pooled contribution is given to one member of the group. This continues in rotation until every member has received their lump sum.
Let’s break it down with a simple example:
Tobi, Jane, Kassie, Nonye, and Frank come together and agree to contribute ₦10,000 each every month. That makes ₦50,000 at the end of every month. Tobi chooses to collect first, while Jane and the others take turns consecutively. This way, everyone gets ₦50,000 at a time that suits their needs.
What Are the Benefits of Ajo?
The benefits of Ajo lie in its ability to provide quick access to funds when you need them most, without loans or high interest rates. For instance, imagine you earn ₦500,000 monthly and your laptop spoils. You need a new one next month, but don’t want to dip into savings or take a loan. By joining or creating a private thrift group, you can receive your lump sum right when you need it without having to remit your whole salary at once or make money mistakes
That’s exactly what CircleFunds make possible, allowing you to either create your own private thrift group or join an existing one, making rotational saving more accessible and convenient.
It’s literally the smartest way to save and achieve your goals faster.
Ready to Start Your Own Ajo?
Start your Ajo journey on CircleFunds to enjoy the power of rotational saving. It’s simple, reliable, and tailored to your needs.
Get started on circlefunds.io
