Micro, Micro Loans
Global lender Kiva believes that all people in the world should be able to create opportunity for themselves and others. Its micro-lending platform provides an avenue for persons living within every corner of the world to obtain funding up to a maximum amount of $10,000. One of the great features is that the business owner must first solicit funds from his or her private network so that close contacts will have a stake in the loan and increase the accountability of the owner. All funds raised are in the form of a loan that must be repaid.
Kiva’s website states that it crowdfunds an average of $2.5 million in loans each week, and that 81% of its borrowers are female. Founded in 2005, Kiva operates as a 501(c )3 U.S. nonprofit. Kiva’s website addresses the types of loan structures and applicant might qualify for and the process by which an application is received. For young entrepreneurs who need only a small of amount of seed money to jumpstart a viable business, the Kiva model might be the right option for learning how to fish.