Lending to businesses around the world
by Andrew Smith on 12/08/08 at 2:07 pm
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Last year I wrote about Kiva, the organisation that provides interest-free loans to entrepreneurs around the world. You contribute $25 via PayPal, and once the loan is repaid by the entrepreneur you can get your money back, or lend it to someone else. All of your money goes directly to the entrepreneur – if you want to contribute to Kiva’s running costs you do that voluntarily.
Last year I loaned money to James Ndegwa, a resturant owner in Kenya. James used the money to expand his business by buying a deep-freeze for storage purposes, a chip warmer, and chairs and tables. Despite the turmoil in Kenya this year, James has diligently repaid the loan, and the field worker now reports:
We had the great opportunity to visit James’s business in Embakasi Division in Nairobi and are happy to report that his restaurant is doing very well. The speed with which James has rebuilt and even expanded the seating area of his restaurant is really remarkable. His restaurant now has a great sound system and several much-loved TV sets. Every day at lunch and dinner it is hard to find a seat as James and his staff serve many customers from the nearby industrial area. It seems James’s excellence in the restaurant business cannot be contained!
Today my $25 was returned to my account, and I get to pick another entrepreneur to lend to. I’m considering a seamstress in Guatemala or a used clothing shop in Tanzania. Why not give it a bash?
Andrew Smith is the pedantic systems guy behind Live Alchemy, a SA e-commerce company. Andrew writes for Ideate in an attempt to make the world a more efficient place. View more articles by Andrew Smith.
