Partnering with Microfinance

One of the coolest things about Microfinance is that it's a much more sustainable way to help the needy. That's what first attracted me to the concept way back in college. I remember reading about Mohamed Yunnis and the Grameen Bank and how it all worked...and worked well.

I decided to put these success stories to the test and see if it might work in the DR. I've shared on this blog before how the site has gone well. We've had our bumps along the road but we're still cranking out new groups, and the existing groups are still paying back their loans.

Also, the site is sustainable. Our current monthly budget is $250 and we're making about $300/month in interest.

However, when we added Miriam on as a full time staff our budget changed. Now our total expenses our $1000/month when we include her salary. We have 3 choices:

1. We can raise interest rates, but in order to meet costs we would have to lend at 72% APR.

2. We could add groups, but we’d need 15, that would be 300 personal visits and 60 group meetings each month.

3. We can find financial partners to support the difference.

I'm in the process of building financial partnerships with individuals and churches that have come to the DR and worked with the MF Site, but we must share our need with a broader audience.

I know that many of our readers already support our work here, but if you're looking for a place for some end of the year giving, a one-time gift, or if you'd like to partner with our site on a monthly basis, here's what you need to do:

• Make an official donation (with tax-deductible receipt) by calling SI at: 559-627-8923.
• Another option is to use the Donate button on the right and donate online. I put this as an option because SI is stuck in the 90s and has no way to give online. So, while unofficial, this at least makes online giving an option, if tax-deductions don't matter to you.
  

My goal is to raise $5000 by the end of 2010. I'll keep you updated on our progress.