José has been selling round flat biscuits since 2003. He sold his shirt for $2.50 to start his business. He used that money to buy several kilos of wheat flour, some sugar, baking powder and some charcoal to start making round flat biscuits. From 2003 to 2006, José’s business was prosperous and he used the profits generated to increase his working capital $41. From 2006 to 2008, he diversified his business by adding doughnuts and packaging materials. He joined one of Hope’s groups called “Obéissance,” meaning “Obedience,” in October 2008. The loans received from Hope have strengthened his business. He is planning with the next loan to diversify his business and increase profit by adding purified water. Currently, his working capital is about $200. José’s business makes about $6 of profit per day. He is ambitious and dreams someday to open a small store. José is 43 years old, married, and has five children between the ages 2 and 10. Three of them are pupils. He also takes care of his younger brother who is still a student. José likes his business because it has stabilized him financially. His community bank group consists of 41 members.
About HOPE DRC
HOPE International has been providing small business loans and savings services to thousands of entrepreneurs in DRC since 2004. HOPE DRC targets small business owners who can use loans to increase their inventories or invest in assets that have the potential to increase their incomes. Funds from Kiva lenders play a major role in expanding access to affordable, flexible capital for micro-entrepreneurs, 80% of whom are women.
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.