Everyone in the family works on a small monthly salaries. Irakli is a distributor in a gas company. His wife is a teacher in a kindergarten, mother is a cleaner at the local beauty salon and brother is an artisan, working on renovations. Their total income is rarely enough to cover the monthly expenses and have proper food products to eat.
Irakli requested loan from Credo to start-up family business. Irakli has now been approved for a loan within the framework of the new joint initiative of Kiva and Credo. The start-up loan program envisages provision of business start-up and re-startup credits with soft conditions to rural poor people, who do not have access to credit products. These rural poor people are regarded as “high risk borrowers” because of their low income. With his credit Irakli will renovate the top floor in the house. He wants to start renting out their current living space seasonally on tourist. The family will move to live in the newly renovated garret and after renting their living space will be able to earn an additional income. Increased income will help them to cover all the monthly expenses and improve their living conditions.
More information about this loan
This loan is part of Credo's startup loan program targeting particularly vulnerable clients who live at the subsistence level and have been unable to obtain credit due to lack of income from an existing business. This program offers them a longer repayment term and an annual interest rate that is 5% lower than the standard interest rate. By funding this loan, you are supporting a program that gives borrowers a second chance to start and grow small businesses. This has the potential to alleviate the effects of poverty, significantly improving borrowers' incomes and their families' quality of life. Learn more about Credo's startup loan program on the Kiva Blog.
About LLC Micro Finance Organization CredoLLC Credo (Credo) is a microfinance organization in Georgia that provides sustainable credit services to alleviate poverty in rural areas, including business loans, agriculture loans, household loans, crop insurance and more. Kiva lenders’ funds are used to help the organization expand its outreach to even more entrepreneurs, farmers and households in remote areas.
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