"Winnie - one of our microfinance recipients was able to expand her village shop."
Sometimes it is hard to imagine how a little financial boost can have such a huge impact. Microfinance is the term for small loans to business people who otherwise would not qualify for funding. In our village of Wongonyi, Kenya the local bank had few funds available for loaning out to those who wanted help to improve their businesses. So The Ronnie Fund started a Microfinance Program.
Through the generosity of a donor with an interest in Microfinance, we launched our program with six recipients. A year later we are pleased to report that the original six have repaid their loans and we recently provided another 12 participants with funding for their business projects which include a poultry business, grocery and cereal shops, goats, dairy farm, barber, tree nursery, carpentry, agricultural inputs, butcher shop, agrovet store, sewing and farming.
Ronnie meets with potential participants to determine their eligibility and assess their business plan. Once selected the participant signs documentation agreeing to a repayment plan. Ronnie also arranges for training in business skills so that we achieve a 100% success rate in repayment. This training also assures that our participants have the needed business knowledge to ensure a successful and expanding business.
For many of the people in our remote rural village, Microfinance has been just the impetus they have needed to move forward in their lives creating much needed income so they can support their families with food, clothing and school fees. We have found that our Microfinance Program is the perfect tool for helping to move people from poverty to prosperity. It truly is a testament to the fact that a small amount of money can have a tremendous impact in changing lives.
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