Microloan Foundation
Microloan Foundation group
Where Microloan Foundation works
Martha used her microloan to start a small, second-hand clothing business
The Microloan Foundation (MF) enables some of the world’s poorest people to work their own way out of poverty by providing training and microloans to start small businesses. The reality for many of MF clients is that they have to survive on just $1 a day. This means they cannot afford even the basic necessities. They struggle to feed their family and can’t pay for basic healthcare or medicine if they fall ill. 70% of the world’s poor live in rural areas and that is why MF works specifically in these regions. MF identifies the areas that are in most need of the services so that MF can help those who are most likely to be financially disadvantaged.
The Microloan Foundation (MF) enables some of the world’s poorest people to work their own way out of poverty by providing training and microloans to start small businesses. The reality for many of MF clients is that they have to survive on just $1 a day. This means they cannot afford even the basic necessities. They struggle to feed their family and can’t pay for basic healthcare or medicine if they fall ill. 70% of the world’s poor live in rural areas and that is why MF works specifically in these regions. MF identifies the areas that are in most need of the services so that MF can help those who are most likely to be financially disadvantaged.
Using surveys and the PPI (poverty probability index) MF is able to target their services to women that are stuck living in a cycle of poverty. These women often live in rural areas with no access to formal employment, financial services or education. Illiteracy levels are high and make it even more difficult for these women to find work.
Using surveys and the PPI (poverty probability index) MF is able to target their services to women that are stuck living in a cycle of poverty. These women often live in rural areas with no access to formal employment, financial services or education. Illiteracy levels are high and make it even more difficult for these women to find work.
One the women are selected, they form groups and as a group they attend 8 training sessions to learn about business. The loan recipients are the ones who come up with their business ideas. Through the training, MF helps them put their business into action. These businesses help women and families to build independence and financial resilience. The money earned from these small to medium size businesses helps women to become self-sufficient for their daily needs. As a result, over time the money they earn helps to provide food security, better housing, access to healthcare, and an education for their children.
One the women are selected, they form groups and as a group they attend 8 training sessions to learn about business. The loan recipients are the ones who come up with their business ideas. Through the training, MF helps them put their business into action. These businesses help women and families to build independence and financial resilience. The money earned from these small to medium size businesses helps women to become self-sufficient for their daily needs. As a result, over time the money they earn helps to provide food security, better housing, access to healthcare, and an education for their children.
MF also focuses on informing the women they partner with on the benefits of saving and encourage them to make modest savings. This is to provide insurance against future crop failure, family illness and other unpredictable situations. Savings allow them the ability to withstand whatever life throws at them.
MF also focuses on informing the women they partner with on the benefits of saving and encourage them to make modest savings. This is to provide insurance against future crop failure, family illness and other unpredictable situations. Savings allow them the ability to withstand whatever life throws at them.
MF works exclusively with women because they believe that is the best way to transform the lives of families in sub-Saharan Africa. Since MF started their operations in 2002, they have supported over 150,000 women as they work to create opportunities for themselves and their families. Eventually, many of MF clients will create employment opportunities for others which helps kick start a positive economic cycle in their local communities.
MF works exclusively with women because they believe that is the best way to transform the lives of families in sub-Saharan Africa. Since MF started their operations in 2002, they have supported over 150,000 women as they work to create opportunities for themselves and their families. Eventually, many of MF clients will create employment opportunities for others which helps kick start a positive economic cycle in their local communities.
Loaning to women involves less risk for the charity, meaning, they are more likely than men to repay their loans. With loans repaid, MF can go on to help even more women. When a repayment is made, MF can reuse the money to give a loan to another woman, and the positive cycle continues.
Loaning to women involves less risk for the charity, meaning, they are more likely than men to repay their loans. With loans repaid, MF can go on to help even more women. When a repayment is made, MF can reuse the money to give a loan to another woman, and the positive cycle continues.