Maia works as a nurse, looks after a child, and has a small monthly income. Her father and brother work as artisans, locally. Together, they make hardly enough for food for the family. According to Credo estimations, the family belongs to the subsistence poor category.
Recently, Maia requested a loan from Credo to start up a family business. Maia has now been approved for a loan, within the framework of the new joint initiative of Kiva and Credo. The Start-up Loan program envisages provision of business start-up and restart-up credits, with soft conditions, to rural poor people, who do not have access to credit products. They are regarded as “high risk borrowers” because of their low income.
With this credit, Maia will rent a commercial space and open a clothing shop. She will purchase clothing at wholesale prices and resell them in her shop. The new business initiative will significantly increase the monthly income of the family. With the increased income, they will be able to improve their living conditions.
More information about this loan
This loan is part of Credo's startup loan program targeting particularly vulnerable clients who live at the subsistence level and have been unable to obtain credit due to lack of income from an existing business. This program offers them a longer repayment term and an annual interest rate that is 5% lower than the standard interest rate. By funding this loan, you are supporting a program that gives borrowers a second chance to start and grow small businesses. This has the potential to alleviate the effects of poverty, significantly improving borrowers' incomes and their families' quality of life. Learn more about Credo's startup loan program on the Kiva Blog.
About LLC Micro Finance Organization CredoLLC Credo (Credo) is a microfinance organization in Georgia that provides sustainable credit services to alleviate poverty in rural areas, including business loans, agriculture loans, household loans, crop insurance and more. Kiva lenders’ funds are used to help the organization expand its outreach to even more entrepreneurs, farmers and households in remote areas.
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