Fundraising Status:closed
Risk Rating:
What to know about this Lending Partner
Impact Category:
Health
Default Rate:
74.01%
Currency Exchange Loss Rate:
0%
Total Loans Raised:
$3,000
Loans at Risk Rate:
0%
Kiva Borrowers:
2
Delinquency Rate:
0%
Interests and Fees:
6% APR
Update 23 Apr 2017: Kiva and VisionSpring have agreed to end their partnership. This is due to the difficulties VisionSpring encountered in building up their local distribution partners which would be receiving the Kiva loans. VisionSpring has repaid to Kiva lenders what they were able to collect from borrowers and the remainder was defaulted. We thank VisionSpring for their years of collaboration and wish them success in their future endeavors.
Update 8 Dec 2017: Kiva has moved this Lending Partner to inactive status. This means VisionSpring is no longer fundraising loans on Kiva, though Kiva fully expects the partner to continue to send repayments owed to Kiva lenders for as long as the partner has an outstanding balance. The reasons a partner might become inactive include: taking time to develop a new type of loan, turnover on the partner’s management team, a shift in overall strategy or changes in funding sources. If and when this partner requests to fundraise again on Kiva, Kiva will first conduct any additional monitoring and due diligence tasks we believe necessary.
Partner description:
VisionSpring is a nonprofit organization currently selling low-cost and high-quality eyeglasses around the world to those in need. With a business model that combines high volume and low margins, they can provides customers with affordable and durable glasses.
Operating under the belief that "if you can't see you can't work or learn,” VisionSpring’s initial innovation was creating a micro-franchise model. The organization trained local individuals to educate their communities about vision loss, conduct eye screenings, sell affordable non-prescription eyeglasses and provide referrals to VisionSpring's optical shops for prescription glasses, travelling from village to village. In an effort to further scale their model, VisionSpring developed a partnership program that incorporates local organizations as local partners. These partners assume all costs of the program and manage its development while VisionSpring provides access to eyeglasses and technical support. This model leverages existing distribution channels available to partners, allowing for the programs to generate greater impact and reach more people.
VisionSpring has continued developing their business model and joined Kiva to build a mechanism to support less experienced local partners, providing them with the technical and marketing expertise to succeed as local distributors.Thanks to its experience with established local partners (such as BRAC), VisionSpring has developed best practices on sales, marketing and distribution that they will actively share and help implement with local partners, increasing their reach and allowing for more communities in need to access eye-wear and care.
A unique lending approach:
VisionSpring’s loans on Kiva will enable more local partners to begin providing eye care and products. The model requires partners to make an upfront payment of the eyeglasses shipment price, which has been a key obstacle for smaller partners and limited the growth of the partnership model. VisionSpring loans funded through Kiva will help small local distribution partners that might lack a track record in selling eyeglasses but have the potential and infrastructure to do so.