M. Zulaika is on the shady side of 30 – to be exact, he is 32 years old. At this young age he already has five children. After much thought, he rationalized that taking care of his children would require doing some kind of business. With firm conviction and with a small amount of savings from his milk-selling business, he began a retail business in Butiki-Jinja. His business generates profits of 250,000 UGX per week. With these kind of profits, Zulaika has made a satisfactory rate of progress in his business. As an alternative source of profit he still operates his milk-selling business. With this loan, he wants to purchase more general merchandise retail items such as soap, salt, plastics and sugar.
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.