E. Lubega is married with 6 kids. He cares for his other 3 kids and pays school fees for all his children except one who is not in school. His eldest child is in secondary school. E. has a retail shop, which he has been running for 2 years, as well as a farming business that produces coffee, which has been running for considerably longer. All his businesses are in a local trading center. He also has had a solar power business for 8 months for charging mobile phones since his neighborhood has no electricity. In a week he makes a profit of 5000 ugsh.
He says he has been successful in his business because he has no competition and he treats his customers well. Getting a loan has helped him because it has enabled him to pay for the capital requirements of his business. His business dream is to open another retail shop in a much bigger town.
He has requested a loan amount of 1,000,000 ugsh. His plan is to restock his retail shop. He also plans to buy a refrigerator so he can start selling cold drinks. This is his 6th loan from PEARL. (In the photo are 23 people of which 3 are staff from Pearl Microfinance).
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.