B. Florence is the leader of her lending group in Lugazi. She is a business lady with a drug shop that she has been running for a long time. She is a single mother of 5 children with 1 at the university while the others are in secondary and primary schools. Before the drug shop, Florence was a salary earner until she used her little savings plus the help of a loan to start up her own business. At the moment out of her 7 year old business, she makes 80,000/= as profits and this helps her in looking after her children plus paying their school fees. Florence has a dream of becoming a whole sale supplier of drugs in her locality and also build rental houses for her children. Her secret to success is having quality drugs that are not expired and she would need a loan to help add capital in business so that she can work on her customers on time.
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.