Many Ukrainians have the vision, determination and desire to get ahead and provide for their families, but lack the knowledge, skills and funds to make it happen. That’s where we come into the picture. We offer “short-term, low-interest” loans at approximately eight to ten percent per annum as compared to 25 to 40% in the bank. We also offer the necessary training and follow-up for applicants to be successful.
The interest, which is sometimes paid back in-kind, is used to help sustain our ministry, while the principle is returned to the general fund to make it available to another person or family. In this way we are able to re-use the same funds many times.
We offer three types of loans
Small Business Loans
These loans may run from $100 to buy several new truck tires for a delivery business or up to $5,000 to carry a farmer over until he is able to bring in the harvest. Before we offer a loan, we teach people how to select a business idea, write a business plan, market their product or service and develop a feasible financial plan.
Social Enterprise Loans
In this program the recipient of the loan funds establishes a business, both for profit and the benefit of some social enterprise. This gender sensitive program provides an opportunity for men and women to take responsibility for their own lives while at the same time make a contribution to society.
A small percentage of our funds are also used for personal loans to help people improve their standard of living. This might include up-front money needed to buy a cow, build a bathroom or pay for medical expenses. In this case, the applicant is required to put up additional collateral to minimize the loss of funds and pays a higher rate of interest.