As the family has only seasonal income, Zurab decided to start his own business and seek credit from local financial institutions, but his attempts were unsuccessful because of his poor standard of living. The Start-up program, that is a joint initiative between Kiva and Credo, enables rural poor and inexperienced people to get a loan for starting or re-starting businesses. His application was approved under the framework of this program in order to get a loan of $5,000. With the loan, he will purchase a tractor and will get orders to cultivate land. In the region, almost every family runs an agricultural business and they have to hire a tractor to cultivate the land. As such, Zurab will have clients and hopes that the business will be successful. With support of the Start-up program Zurab will get an opportunity to be involved in his own business and tackle financial difficulties.
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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