Raul is an artisan in Lima who specializes in traditional Peruvian weaves such as tapestries and shoulder bags. He would like to invest in the purchase of larger amounts of wool to keep production costs low and to develop new designs.
Raul has been selling through NOVICA since 2000. This is his story:
"After secondary school, I dedicated my energy to painting. My father taught me to weave in the San Pedro de las Cajas style. I love to paint and I love to weave. They are both a form of expression, and often, after I explore a theme in my weaves, I will repeat them on the canvas. When I joined Novica, I lived in a rented house with just one loom, my wife, and our newborn baby. Today, I have three looms and have invited other weavers to help weave my designs. Best of all, I can provide for my son the way I dreamed of doing so when he was born."
"Thank you very much for this microcredit. It seems like whenever we're facing hard times, you're right there for us. I will always be thankful for this."
Novica is an e-commerce website that allows artisans around the world to sell unique, high-quality goods directly to consumers. It also offers small loans to help artisans in the developing world start and grow their businesses. It’s possible to buy goods created by the artisans you help fund on the Novica website.
Repayments on Novica loans are tied to artisan revenue. This means that if an artisan has a good month, they will pay back more -- or less during slower months. To accommodate this, all repayments on this loan are due at the end of the loan term. Any repayments received before this deadline will be considered pre-payments, but will still be distributed to lenders as usual.
Because Novica is not a microfinance institution, Kiva’s risk rating system is not applicable. Kiva has conducted onsite due diligence, and Kiva’s Investment Committee approved the organization as a partner. Novica offers artisans loans at 0% interest.