N. Prossy is a 37-year-old married mother of five who runs a general merchandise retail shop in Lugale-Mpigi. A rags to relative riches story is what she calls her journey through the tough terrain of business. She set forth 12 years ago operating a chapatti and pan cake sales business. She describes herself as persona grata, saying her good relationship skills have played in her favor as she runs her business. In a week, her business generates profits that total 70,000 UGX. With this loan, she wants to buy more bags of sugar, salt, bars of soap, bags of maize flour and plastics that she says she will resell to earn more profits.
This is a Group Loan
In a group loan, each member of the group receives an individual loan but is part of a larger group of individuals. The group is there to provide support to the members and to provide a system of peer pressure, but groups may or may not be formally bound by a group guarantee. In cases where there is a group guarantee, members of the group are responsible for paying back the loans of their fellow group members in the case of delinquency or default.
Kiva's Field Partners typically feature one borrower from a group. The loan description, sector, and other attributes for a group loan profile are determined by the featured borrower's loan. The other members of the group are not required to use their loans for the same purpose.