Kiva conducts regular, ongoing monitoring of all Field Partners, but only posts status updates here in response to relevant, major changes at the partner.

Status update — April 1, 2016

Kiva has moved this Field Partner to inactive status. This means VEDC is no longer fundraising loans on Kiva, though Kiva fully expects the partner to continue to send repayments owed to Kiva lenders for as long as the partner has an outstanding balance. The reasons a partner might become inactive include: taking time to develop a new type of loan, turnover on the partner’s management team, a shift in overall strategy or changes in funding sources. If and when this partner requests to fundraise again on Kiva, Kiva will first conduct any additional monitoring and due diligence tasks we believe necessary.

Status update — March 10, 2015

VEDC initially used Kiva capital for mission driven loans with a range of businesses, including start up ventures. However, VEDC has found that the inherit risk of start ups is too high for the organization, even with the increased borrower accountability created by the Kiva crowdfunding model.  VEDC is now focusing Kiva’s capital on its regular portfolio of businesses, while still being true to its mission of lending to low and moderate-income areas.

Partner Description:
Valley Economic Development Center (VEDC) is a non-profit community development financial institution in the City of Los Angeles. Today, the organization says it is the largest non-profit business development group in the Greater Los Angeles area, offering micro-loans up to $50,000, small business loans up to $700,000, consulting services, and training to small and medium-sized businesses throughout California.

Originally launched in 1976 to revitalize commercial districts in Van Nuys, California, VEDC has always held to the same objective: assisting small businesses and creating jobs. In addition to its strong focus on lending, it provides extensive training services in accounting, business survival, finance and more, as well as events and workshops.

Today, VEDC has an annual budget of $4 million, 40 employees and seven offices throughout the state. The organization reports that it disburses more than $35 million in small business loans every year. It also operates and facilitates several other impactful programs and projects, including: the SBA Women’s Business Center, the San Fernando Valley Financial Development Corporation, the Pacoima Development Federal Credit Union, and two Los Angeles Business Source Centers.

For its socially-minded efforts, VEDC has received a number of awards and honors, including the Economic Development Agency’s Economic Development Award, the U.S. Small Business Administration’s Minority Champion Award, and the U.S. Department of Housing and Urban Development’s Best Practices Award.


Repayment Performance on Kiva

    This Field Partner All Kiva Partners
  Start Date On Kiva Jun 25, 2012 Oct 12, 2005
Total Loans $691,350 $852,444,800
Amount of raised Inactive loans $0 $405,575
Number of raised Inactive loans 0 203
Amount of Paying Back Loans $228,450 $136,385,625
Number of Paying Back Loans 30 165,320
Amount of Ended Loans $462,900 $715,653,600
Number of Ended Loans 70 887,019
Delinquency Rate 2.25% 8.52%
Amount in Arrears $2,543 $7,482,630
Outstanding Portfolio $112,979 $87,856,974
Number of Loans Delinquent 4 23,971
Default Rate 34.97% 1.29%
Amount of Ended Loans Defaulted $161,864 $9,263,511
Amount of Ended Loans $462,900 $715,653,600
Number of Ended Loans Defaulted 33 24,046
Currency Exchange Loss Rate 0.00% 0.43%
Amount of Currency Exchange Loss $0 $3,656,456
Refund Rate 1.45% 0.64%
Amount of Refunded Loans $10,000 $5,429,350
Number of Refunded Loans 1 5,746

Loan Characteristics On Kiva

    This Field Partner All Kiva Partners
  Loans to Women Borrowers 58.54% 74.81%
Average Loan Size $6,494 $408
Average Individual Loan Size $6,823 $642
Average Group Loan Size $8,568 $1,813
Average number of borrowers per group 2 7.8
Average GDP per capita (PPP) in local country $54,800 $5,939
Average Loan Size / GDP per capita (PPP) 11.85% 6.87%
Average Time to Fund a Loan 8.6 days 6.89 days
Average Dollars Raised Per Day Per Loan $755.36 $59.19
  Average Loan Term 41.39 months 11.03 months

Journaling Performance on Kiva

    This Field Partner All Kiva Partners
  Total Journals 67 432,345
  Journaling Rate 78.05% 41.38%
  Average Number of Comments Per Journal 0.00 0.05
  Average Number of Recommendations Per Journal 0.00 1.30

Borrowing Cost Comparison (based on 2015 data)

    This Field Partner Median for MFI's in Country All Kiva Partners
  Average Cost to Borrower 10% PY N/A 27.69% PY
  Profitability (return on assets) 6.8% N/A -0.65%
  Average Loan Size (% of per capita income) 73.40% N/A 19.34%

Country Fast Facts

Field Partner Staff

Bob Dennen
Jo Di Nova-Daly
Lynn Fernandez
Larisa Kletsel