Tengiz has requested a loan from local financial institutions several times for a family business start-up, without success. His loan request was rejected every time, because of low income and the family’s poor living conditions.
Tengiz requested loan from Credo to start-up a family business. He has now been approved for a loan within the framework of the new joint initiative between Kiva and Credo. The start-up loan program envisages provision of business start-up and re-startup with credits with soft conditions to rural poor people who do not have access to credit products. These rural poor people are regarded as “high risk borrowers” because of their low income.
With his credit, Tengiz will open a café and he will purchase all the needed inventory and products. Tengiz is very experienced in this field, as he had this business seasonally on the seaside in the Anaklia district. He wants to start the café again, but this time in the capital city, as the income will be more stable.
Tengiz and his wife will work hard in the café and try to do their best to satisfy the client’s needs. The new business initiative, financed with the Kiva start-up loan, will give them an opportunity to earn more income and significantly improve the living conditions of the family.
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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Success!! The loan was 100% repaid