Aracelys is a thirty-year old mother of two children who is fighting tooth and nail to make a living and improve her family’s living conditions. Her husband lives outsiD. the country and sends her money occasionally. Aracelys is an experienced businesswoman. She used to run a cafeteria in the past, but she had to leave that activity for a while as it was hard to have access to capital in order to keep operating the cafeteria. She says it was like fighting a losing battle.
Now, the entrepreneur wants to start over, but seriously. Together with four other women, she’ll take a loan which she’ll invest in the purchase of a variety of materials in order to operate the cafeteria. Aracelys had already rented a small locale where the café will be operated. She hopes that this new beginning will help her support her children's educations and to change her family’s life.
The others members of the group are:
Gloria L. S., a women’s clothing retailer;
Juliana A., to buy clothing in bulk to retail;
Santa D. L. C., for a small café;
Regina T. F., to sell materials for a beauty parlor.
Photo: from left to right: Aracelys, Gloria, Juliana, Santa y Regina.
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.