Arturo is a Peruvian artisan who specializes in leather handbags. He would like to invest in the purchase of larger amounts of leather for production.
Arturo has been selling through NOVICA since 2003. This is his story:
"I have specialized in tooled leather since 1995. My parents are in the clothing industry where I learned many of the techniques I apply to leather. I am the father of two children, and I get many design ideas from my wife, Veronica. I prefer creating desk accessories, handbags, briefcases, and luggage. We use hand tools, and I've formed a community of artisans who collaborate with me. Our designs are lovingly crafted by hand, and we feel a personal attachment to what we do.
Thank you in advance for your significant support with this microcredit. It will allow me to acquire a good stock of raw materials at a good price so that I may increase my stock of finished products and not lose sales."
Novica is an e-commerce website that allows artisans around the world to sell unique, high-quality goods directly to consumers. It also offers small loans to help artisans in the developing world start and grow their businesses. It’s possible to buy goods created by the artisans you help fund on the Novica website.
Repayments on Novica loans are tied to artisan revenue. This means that if an artisan has a good month, they will pay back more -- or less during slower months. To accommodate this, all repayments on this loan are due at the end of the loan term. Any repayments received before this deadline will be considered pre-payments, but will still be distributed to lenders as usual.
Because Novica is not a microfinance institution, Kiva’s risk rating system is not applicable. Kiva has conducted onsite due diligence, and Kiva’s Investment Committee approved the organization as a partner. Novica offers artisans loans at 0% interest.