As California’s largest not-for-profit microlender, Opportunity Fund offers a unique blend of microfinance products, business advising, financial education, and community investments to help low-income families work toward economic stability. Since 1995, Opportunity Fund has provided $19.5 million in capital to more than 1,700 entrepreneurs, and offered thousands of hours of financial education to over 3,600 low-income Californians. Three-quarters of our clients are minorities, and 60% are women.

Microlending in the U.S.

For many U.S. workers, a job is not enough to provide economic self-sufficiency. For some, wage employment isn’t even a realistic option because of language barriers or family circumstances. Many of these enterprising individuals start small businesses to generate income and support their families – home daycare centers, hair salons, janitorial services, small retail stores, and more. These entrepreneurs often need small amounts of capital to start or expand their businesses, but can’t qualify for a bank loan. Opportunity Fund looks beyond the numbers on our clients' credit reports and loan applications; we see their potential as successful entrepreneurs and supply the financing and advising they need to get there. Find out more about how Opportunity Fund helps small business owners.

Our Results

As part of Opportunity Fund’s commitment to measurement and accountability, we track a variety of community impact metrics through data analysis and client surveys.

--90% historical repayment rate
--90% business survival rate
--95% of surveyed clients reported an increased ability to manage their business
--Borrowers’ income rise by 30%, on average.
--Each loan keeps or creates 2.4  jobs
--Every $1 invested spurs nearly $2 in additional annual economic revenue through new spending, new tax revenue, and new wages for workers

Our Products and Services

We support low-income entrepreneurs by meeting their small capital needs. We lend to small business owners so they can support their families and create jobs for their neighbors.

--Median loan size: $7,000
--Interest Rates: 8% -12% fixed + loan fees
--Typical businesses: auto mechanics; hair salons; dry cleaners.

Get Involved with Microfinance in California

--Meet more of Opportunity Fund’s clients through stories and videos
--Keep in touch with Opportunity Fund: sign up for our newsletter or follow us on Facebook or Twitter
--Join Opportunity Funders, a membership group of people who want to engage with microfinance in the San Francisco Bay Area though events and strategic volunteer opportunities.

Need a Small Business Loan?

Find out if Opportunity Fund can help you grow your business! Visit our website for more information on our Small Business Loans program.

What Else Does Opportunity Fund Do?

Opportunity Fund provides more than microloans. We are the nation’s largest microsavings provider, helping over 3,600 families save for education, small business, home ownership, citizenship, retirement, and emergencies. We are also a community real estate lender, providing loans for affordable housing and community facilities throughout California. Learn more about our other programs at www.opportunityfund.org.

 

September 11, 2011

As part of an ongoing effort to fully migrate risk ratings to our new and enhanced risk rating system, Kiva has conducted a re-assessment of the level of risk posed by this institution.

During this re-assessment, our analysts were able to gather updated operational and financial information about the institution, as well as speak with key members of the staff.  

Kiva's new risk rating system, which now includes half stars, has enabled us to display Opportunity Fund's risk rating with a higher level of granularity. As a result, Opportunity Fund's risk rating will now be displayed as 3.5 stars instead of 3 stars. 

We have prepared a blog post with more information on Kiva's new and enhanced risk rating system, along with a chart showing the relative magnitude of the overall changes for Kiva's portfolio.  To view that, please go here: http://www.kiva.org/updates/kiva/2011/09/07/kiva-risk-ratings-now-with-half-stars.html.

Opportunity Fund has been informed of the change in the display of their rating on Kiva's website.


Repayment Performance on Kiva

    This Field Partner All Kiva Partners
  Start Date On Kiva Jun 10, 2009 Oct 12, 2005
Total Loans $538,625 $590,587,600
Amount of raised Inactive loans $0 $709,800
Number of raised Inactive loans 0 573
Amount of Paying Back Loans $0 $123,092,325
Number of Paying Back Loans 0 131,077
Amount of Ended Loans $538,625 $466,785,475
Number of Ended Loans 96 593,552
Delinquency Rate 0.00% 4.23%
Amount in Arrears $0 $3,465,940
Outstanding Portfolio $0 $81,929,648
Number of loanDelinquent 0 16,779
Default Rate 0.36% 1.15%
Amount of Ended Loans Defaulted $1,926 $5,349,645
Amount of Ended Loans $538,625 $466,785,475
Number of Ended Loans Defaulted 1 16,827
Currency Exchange Loss Rate 0.00% 0.09%
Amount of Currency Exchange Loss $0 $536,808
Refund Rate 0.37% 0.77%
Amount of Refunded Loans $2,000 $4,537,625
Number of Refunded Loans 1 5,064

Loan Characteristics On Kiva

    This Field Partner All Kiva Partners
  Loans to Women Borrowers 59.79% 74.17%
Average Loan Size $5,573 $418
Average Individual Loan Size $5,573 $655
Average Group Loan Size $0 $1,828
Average number of borrowers per group 0 8
Average GDP per capita (PPP) in local country $47,000 $3,430
Average Loan Size / GDP per capita (PPP) 11.86% 12.19%
Average Time to Fund a Loan 5.48 days 5.59 days
Average Dollars Raised Per Day Per Loan $1,016.49 $74.76
  Average Loan Term 26.53 months 10.35 months

Journaling Performance on Kiva

    This Field Partner All Kiva Partners
  Total Journals 63 295,819
  Journaling Rate 54.17% 42.38%
  Average Number of Comments Per Journal 1.06 0.08
  Average Number of Recommendations Per Journal 1.32 1.87

Borrowing Cost Comparison (based on 2011 data)

    This Field Partner Median for MFI's in Country All Kiva Partners
  Average Cost to Borrower 3% PY N/A 33.46% PY
  Profitability (return on assets) -7.5% N/A -1.39%
  Average Loan Size (% of per capita income) 67.60% N/A 41.11%

Country Fast Facts

Field Partner Staff

Ana Asensio
Candice Balmaceda
Tessie Boado
Anthony Chang
Liz Givens
Regie Ledesma
Laura MacArthur
Caitlin McShane
Libby Morris
Suvada Mujanovic
Lieu Nguyen