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er each day with a view to making it a continuous process which helps the co-operators to integrate each new educational concept with what they already know.

2.2.5 Long-term Investments

These can be in the form of shares, treasury bills, Bonds, Unit trusts, Land and Buildings, etc. Money is therefore diverted from the core business of savings and lending to members. Feasibility studies should be carried out before any long term investment is undertaken. The CCD should approve the proposed investments.

According to Weston & Brigham (1982), demand forces relate to the investment opportunities open to the firm, as measured by the stream of revenues that will result from an investment decision. Uncertainty enters the decision because it is impossible to know exactly either the cost of capitals or the stream of revenues that will be derived from a project.

According to Pandey(2005) an efficient allocation of capital is the most important finance function in the modern times. It involves decisions to commit the firm's funds to the long term assets. Investment decisions are of considerable importance to the firm since they tend to determine its value by influencing its growth, profitability and risks. The long term assets are those that affect the firm's operations beyond the one year period. The firm's investment decisions would generally include, expansion, acquisitions, modernization and replacement of the long term assets. Investment decisions require special attention because of the following reasons: they influence the firm's growth in the long run, they affect the risks of the firm, they involve commitment of large amount of funds, they are irreversible, or reversible at substantial loss and they are among the most difficult decisions to make.

According to Muchemi(2005), non profitable investments should be discouraged because, despite the enormous amount of resources input in such projects, returns are almost nil,, hence reducing the capital base where interest is drawn from.

According to Mwaura(2005), the annual delegates meetings and the ministry of cooperatives are to blame for investment activities undertaken by SACCOS because they are the ones who are suppose to approve the same investment.

Cooperative Management Committees are notorious for diverting members' funds into investments of dubious value. The law hence needs to be amended to strengthen the minister's regulatory hand. It should clearly prohibit investments that are not related to the core objective of the society. (KUSCCO 2003)

2.2.6 Nature of business/ check off system

SACCO societies usually operate through a common bond. This means that members must be working under the same employer. It is possible with a definite arrangement for, say, an irrevocable banker's order, that people who have no common bond may be allowed to form one.

According to Ouma (1990) Savings and Credit Cooperatives are sometimes referred to as SACCO societies. These enable members to have facilities through which they are able to make regular savings from their sal本论文由英语论文网提供整理，提供论文代写，英语论文代写，代写论文，代写英语论文，代写留学生论文，代写英文论文，留学生论文代写相关核心关键词搜索。