Here's a story about how members of the Changemakers community are promoting income generation in Brazil:
"You can see the invisible!”
This is what Tête Romeiro was told when did the unexpected and paid off a bank loan, long before it was due, for the building that she built for the women’s sewing cooperative she founded in the early 1980s.
And it’s true. She was able to see what others could not: the potential for a successful high fashion business in a Brazilian shantytown.
Read more about this solution, or discuss this topic below.
Abom sub-location's socio-economic analysis shows that, capital assets available to support livelihoods are weak and vulnerable.
Human capital reflects, low educational levels, high dropout in primary & secondary school especially girls, contributing to the low level of skills available in households. Human capital exploitation is, affected by limited access to basic services/facilities. The low provision of water and social infrastructure etc, depicts weak physical capital asset .
Maternal mortality is very high in India owing to several preventable & treatable conditions like hemorrhage, sepsis, hypertensive disorders, obstructed labor & unsafe abortions. Regular antenatal care(ANC), effective & timely referral and safe delivery can help reduce it to a considerable extent. Currently ANC is delivered in India via ASHA workers but this model suffers from issues due to low-salary, minimal resource and not being self-sustainable. Hence in India ANC coverage is still abysmally low(19.6%) more so in villages (14.7%).
Adonya offers handcrafted artisan jewelry and accessories which embody a cultural commitment to social and environmental justice for the global community.
Created on 11/12/2012 by Seiji Fujita
Community Bank – microcredit improving lives
Bank of Brazil– the largest supporter of microcredit in Brazil
Community Bank and Bank of Brazil – uniting micro with macro for the good of Brazil.
Community microcredit – developing underprivileged communities through local empowerment.
read more ↓↑ hide↑ hideTell us about yourself/your team.
I am Brazilian. I was born in Guarulhos, São Paulo and am 37 years old. I have a 14 year-old son, Henrique. I have been living in Criciúma, Santa Catarina (in the south of Brazil) for 17 years.
I studied law at UNESC. I have two MBAs: Business Management and Management of Sustainable Regional Development (hereby known as DRS).
I have worked at the Bank of Brazil since March 2000. I have three basic functions at my job: clerk (I attend to customers and aid those using our automated systems); DRS operator (I am responsible for supervising the Centenário agency’s DRS plan); and MPO agent (production-oriented microcredit).
I have been creative ever since childhood. I am peaceful, and even though I look serious, I’m good-natured. I used to be very shy, but not anymore. I like good conversations, politics, films, dating, getting to know interesting people, writing, and interacting.
What makes you an intrapreneur? What are the skills, capabilities, and personality traits that make you an intrapreneur?
I get bothered by the lack of change, and by the lack of opportunities for all.
I am quite creative and I like to help people, understand their problems, and offer suggestions. I like to collaborate, create, and co-create, to add and multiply ideas and projects.
I write well and am good at public speaking. I pay special attention to news, and also to history, the origins of facts. I am a quick thinker with a strategic and holistic vision, and I use logic and common good as my guides. I have diverse tastes and interests.
I am a discoverer of opportunities. I am persistent and dedicated to what I believe in. I am confident, proactive, and enterprising.
I believe that everyone is born with a talent, and that discovering what our talents are makes up an integral part of who we are.
Primary country where this project is creating social impact
Additional countries or regions
Industry
Finance, Insurance, Real Estate
read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Idea (you're poised to launch)
The Need: What social or environmental problem are you trying to solve?
Brazil has become the sixth-biggest economy in the world, but this doesn’t necessarily translate into wealth for the majority of the population, resulting in one of the worst distributions of income in the world.
In a report by the IMF, Brazil is shown to have a GNP per capita of US$12,789 per year, which, when converted using the current rate, would be around R$ 25,500 per year. Seeing as Brazil has the fifth largest population in the world, this per capita income is not the reality of the majority of Brazilians, who live on less than two minimum wages per month (R$1,244) per family—not per person.
More than 80% of the Brazilian population live in an urban center.
Looking at this data, we face the problems of poverty, lack of credit, and dearth of opportunity in Brazilian cities.
The Solution: What is your solution? Be specific!
The solution exists and can be implemented in any city where Bank of Brazil has an office. The Bank of Brazil and the Bank of Brazil Foundation have the necessary knowledge and the experience to implement the social technology for community banks in all of Brazil. There are already several successful examples that have been supported by the Bank of Brazil: Palmas Bank, Paju Bank, and Muiraquitã Bank.
This solution addresses the problems mentioned earlier, of poverty and lack of credit and opportunities, providing microcredit and social mobility, fostering the local solidarity economy, and empowering the community and the development of local talent. The creation of social currency gives value to the community bank, which, in turn, gives value to the community and its inhabitants, creating a sense of belonging and collaboration. The community bank provides real opportunities for economic, social, environmental, and cultural development to the underprivileged community.
The Solution: Why is this solution innovative for your company and industry?
It is innovative because no commercial bank, public or private, has ever heavily invested in community banks on a national level.
Imagine uniting the experience of financial professionals with talents spread throughout Brazil to create a value chain that begins in the most underserved communities. The positive internal and external repercussions will be significant, and the economic and social results would be greater still, facilitating the development of Brazil.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities.
Example: Muiraquitã Bank
Muiraqutã Bank was born out of a Community Project that combines digital culture, metarecycling, recycling of solid waste, and solidarity economy. It is transforming the reality of those who live in the greater Santarenzinho e Maracanã area (city of Santarém, Pará, in the north of Brazil) for the better. With a social currency that can be acquired through the collection of certain types of solid waste, youths from these peripheral neighborhoods are able to have access to goods and services, from workshops to metarecycled computers.
The social currency of Muiraquitã is a social technology that was developed by the Puraqué Collective in order to enable the operation of the Muiraquitã Bank.
The Muiraquitã Solidarity Consortium exists in order to popularize the use of portable computers among the poorest of the population of Santarém. Supported by the Muiraquitã Social Currency, the Consortium pays R$50, or 50 muiraquitãs, per month, and the balance is paid in goods after 20 months. Moreover, a laptop is raffled off every month.
Main activities:
- Digital inclusion
- Education about the environment and selective waste collection (reduction of trash in the streets)
- Encouragement of local culture (dance, music, theater, handicrafts)
- The Muiraquitã Social Currency
- Microcredit for consumption and production (development of local economy through the consumption of goods produced by the community)
- The Muiraquitã Consortium (acquisition of laptops for underserved communities)
- Promoting the creation of businesses by youths from the community (creation of opportunities)
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
Peers/Competitors
Palmas Bank, credit cooperatives, public and private commercial banks.
What makes a community bank different:
- Participatory management and service - local, personalized, and oriented, where whoever works there is a trained resident of the neighborhood. The residents/clients participate in the decisions of the bank.
- Restrictions – restrictive registrations (such as SERASA, SPC, CCF) will not be used
- Trust and agility – all of the operations are fast, since they are smaller and closer, everyone knows each other, everyone is a resident of the neighborhood.
- Generation of Income – the social currency generates jobs and income in the community.
Challenges from competitors: possible lobbying against community microcredit.
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
I have been working at Bank of Brazil for 12 years.
When I was doing my MBA in Management of Sustainable Regional Development, I learned about the story of Muhammad Yunus and the Banking for the Poor (Grameen Bank), and I was impressed with the simplicity of the process and with its results.
I researched the experience of the Palmas Bank and watched an inspiring video of João Joaquim de Melo Neto, the coordinator of the Palmas Bank.
I looked for more information, I read the book A World Without Poverty, and I participated in a workshop in São Paulo, which was run by the Grameen Creative Lab.
Through the DRS Plan in the agency where I work I became familiar with the waste pickers of the ACRICA (the Criciúma Association of Waste Pickers), their reality, their problems, and their goals. From this moment on I have battled for the inclusion of the creation of a community bank in my agency’s DRS Plan. It was difficult to get approval from the higher authorities, but we succeeded.
We are in the beginning phases of implementing the Plan of Action. My goal is to see this dream achieved.
What has been the impact of your solution to date?
With the implementation of the Community Bank, which sparked and strengthened several initiatives having to do with digital culture and citizenship, we achieved a significant decrease in the amount of garbage in the streets, with the awareness generated by discussions about recycling, metarecycling, and the environment. Around 10 tons of garbage have already been recycled.
With the exchange of currency for solid waste, the population not only takes care of its neighborhood by keeping it clean, but also benefits from the commercialization of Muiraquitã.
Through the circulation of currency, several activities related to digital culture have been made possible. There have been five lectures about selective waste collection in the neighborhoods where Muiraquitã is used, and ten “free knowledge” meetings that promoted workshops, debates, and roundtables about free software, hacking ethics, and innovative business in several cities in the Amazon. In the basic computing, digital inclusion, and metarecycling courses, more than 1,200 people participated.
What is your projected impact over the next 1 to 3 years?
In light of Muiraquitã Bank’s current impact, we project the following impacts over the next three years:
- Progressive decrease of waste in the streets
- Increase in community residents’ environmental consciousness
- Increase in digital inclusion
- Decrease in social inequality and poverty, with an increase in income
- Development of local culture
- Development of local production and consumption
- Sustainable social, environmental, and cultural development
- Empowerment of the community
- Development of new talents and creation of opportunities
All of these positive impacts can be replicated in underserved communities in every city in Brazil.
What barriers might hinder the success of your project? How do you plan to overcome them?
1. Lack of internal support.
Instilling an awareness of the economic and social benefits of the implementation of community banks is difficult and slow work, and it demands time, energy, and strategy. The board of the bank can be convinced of these benefits through direct contacts and by presenting studies and results.
Demonstrating the bank’s economic viability and environmental sustainability; being socially fair and culturally diverse.
2. Unfamiliarity of the community in question with the project.
The community chosen should be familiar with the project and should actively participate in its creation, organization, and management.
Lectures, seminars, debates, and training sessions with community leaders will be held, and will be open to the entire community.
read more↓↑ hide↑ hideWhat is the benefit or value you're creating for your business?
The community bank has a real chance to decrease poverty in underserved communities in the cities of Brazil, investing in local consumption and production, collaborating with the development of young people, and supporting new businesses.
Bank of Brazil could be the driving force behind the community banks, facilitating social economic development in every city in Brazil.
Millions of Brazilians could benefit, generating wealth for everyone and creating a synergy that would have micro- and macroeconomic implications.
How are you leveraging internal resources (funds, time, knowledge, etc.) to support this initiative?
According to the DRS strategy, every agency of the Bank of Brazil is to work with partners in a value chain in the cities in which they are located. It is possible to involve the managers and the DRS operator of every agency, supported by state-level DRS management and by the national DRS board in Brasilia, in order to focus on the community bank’s value chain. By using the experience and knowledge of the Social technology Bank of the Bank of Brazil Foundation and the DRS strategy, we will have the necessary tools to implement community banks. I was able to get the inclusion in my agency’s DRS plan of a study of the viability of creating a community bank in the community where we carry out the DRS of the Centenário agency.
Expand on your answer, explaining the long-term funding and support plan.
Each agency will be responsible for the implementation of a community bank, according to the DRS methodology:
Stage: Awareness and capacity building
Stage: Choice of community to be served
Stage: Training of the management team
Stage: DRS Diagnosis
Stage: DRS Business Plan
Stage: Analysis and Opinions
Stage: Implementation of the DRS PN
Stage: Monitoring the DRS PN
Tell us about your partnerships across your company and externally that are key to your project's success.
Palmas Bank and Palmas Institute
BNDES
Bank of Brazil
What internal support have you gotten for your project? What kind of push-back have you received?
Our experience in Haiti in humanitarian development projects, previous experience in other organizations, allied to discussions and reflections held with people who share the same interests, generated a workable idea and helped mature the underlying judgment.
Zetu alleviates poverty and social problems by providing families living at the base of economic pyramid with sustainable and dignified means to earn a living by giving them profitable business models that also address social problems in their community thus empowering the poor to be the change agents in their own lives and communities.
Zetu uses a new innovative poverty alleviation tool called micro-franchising.
Our focus is on creating livelihoods and also ensuring environmental sustainability. We provide a variety of services to enable communities to expand their product line and develop new natural sustainable products. If we are able to utilize invasive species or other waste materials such as byproducts of a process the community currently has, we can also help them protect the environment. By creating a new product and standardizing the production process, we can work with the community to create jobs and increase income generation.
www.ohiosingleparentclassifieds.com was created to join single parents across the state of Ohio. Every single parent, regardless of race or financial status, is welcome to utilize the website. Single parents are able to advertise services wanted or are able to post an ad for services needed. www.ohiosingleparentclassifieds.com even offers single parents an opportunity to be a mentor or post an ad for a mentor. The website also offers single parents an opportunity to advertise single parent support groups as well as search for roommates or housing.
Atlanta United States
33° 44' 56.382" N, 84° 23' 16.7352" W
Accenture partners with American Indians and Aboriginal Canadians to provide low cost, high quality, onshore technology services to North American businesses. Randy Willis, an Accenture Executive and a Native American partnered with Confederated Tribes of the Umatilla Indian Reservation in Oregon to create Cayuse Technologies and with the Tsawwassen First Nation in British Columbia to create INDIGENA Solutions. Cayuse and INDIGENA work with Accenture to provide companies with services including software development, call center,and help desk.
FundWeaver is an online platform weaving communities, people and organizations together to collaboratively finance Inuit, Metis and First Nations project ideas.
Created on 10/3/2012 by Oscar Botello
Rêv is a company of global payment solutions with a innovative and easy way to use prepaid and mobile phone payment’s systems
Organization: Rev Mexico
Visit websitemore ↓↑ hide↑ hideOrganization Country
Mexico, DIF, Ciudad de Mexico
Country where this project is creating social impact
Mexico, OAX, Santiago Nuyoo
Is your organization a
For‐profit
How long has your organization been operating?
More than 5 years
Has the organization received awards or honors? Please tell us about them
- Clinton Global Initiative Partner
- Most innovative company in finance, Fast Company March 2011.
- Creator and lead partner, The Empowement Lab at Harvard University.
-Best in Class Prodcuts 2011, Paybefore.
- America's most promising social entreprenuer, Businesweek 2010.
- Co-chair, World Economic Forum Global Agenda Council on Financial Empowerment, World Economic Forum
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Scaling (the next step will be growing impact on a regional or even global scale)
How long have you been in operation?
Operating for less than a year
Which of the following best describes the barrier(s) your innovation addresses? Choose up to two
Access, Cost, Quality, Equity.
The Need: What problem are you trying to solve?
The main goal of MIFON is to end the lack of access to financial services for people living in rural areas in Mexico suffer. The pilot program is operating in Santiago Nuyooo, Oxaca and surroundings. This project has potential to operate in 30,000 similar communities only in Mexico and later be replicated at a global level.
The Solution: What is your solution? Be specific!
Achieve financial inclusion to Santiago Nuyoo’s inhabitants and surroundings communities, through access to basic financial services. With a deposit account connected to a mobile phone, they can make transactions without using cash or travelling to other communities. The available operations include: money transfer, balance inquiry and services payment through a simple mobile phone text message.
Different from other applications, our project is based on a global access approach, a bank account for the whole population.
This solution has different components: Telecom with Huawei made the infrastructure investment. Banorte cooperates with the banking and financial system. REV was responsible to join these social actors and to provide the technology and knowledge needed to achieve the result.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
Before Mi Fon, people living in Santiago Nuyoo that needed to travel to Tlaxiaco, the closest community, have to wait long hours to get a shared taxi. Since Mi Fon, they can pay this service in advance through a mobile phone and make a reservation for the transport.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
The primary competitor is the frequent use of cash nowadays. Different to other market’s actors, Mi Fon is a simple proposal that doesn’t need a Smartphone to install a data application. Mi Fon understands the needs and specific characteristics of Mexican population, looking for an appropriate solution.
The main challenge for Mi Fon is attracting beneficiaries, because it needs a paradigm change regarding money use and its related benefits.
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
There are currently many programs around the world, offering services based on mobile phones, looking to promote financial inclusion. Our experience tells us that these programs have to reach a critical mass and eventually open a bank account to succeed. Our innovation is to develop and manage alliances to reduce the spread, education and customer services’ costs. This way is the only one that allows to launch a product with costs affordable to excluded populations.
Please describe the goal of your initiative; outline what you are trying to achieve
Mi Fon’s primary goal is to achieve financial inclusion to the non-banking sector, through a tool that allows them to operate from a mobile phone.
Which barrier(s) to financial inclusion does your solution seek to address? (select all applicable)
Physical and other accessibility obstacles that prevent communities from reaching financial services, The lack of affordable financial products tailored to the needs of underserved and excluded communities,, Powerful incentives for financial service providers to move up-market.
If you selected 'other' above, please specify which other barriers to financial inclusion you solution seeks to address:
For which underserved or excluded communities will your solution create access to valuable, affordable, secure and comprehensive financial services?
Santiago Nuyoo, Oxaba on a first stage and similar communities of others states on consecutive stages. This project has the potential to operate everywhere in Mexico, impacting 30,000 communities.
Could your solution work in other geographies or regions? If so, where?
Yes, Mi Fon is designed to operate across Mexico and the rest of the world. Today it is on its development stage for national application.
If your solution is dramatically successful, how will things be different in 10 years?
Achieve access to financial and micro-financial services for excluded population. Become the change agent (M-PESA Latinoamerica) of financial inclusion, in Mexico and the rest of the world.
To a national level, we impact 30 millions Mexican people giving them access to financial services for the first time. In Latin America, we impact 100 millions more.
With alliances, Rev Worldwide has already impacted 12 more countries, such as Kosovo, Rumania, Vietnam and India.
What will have had to have changed to make this happen?
Beneficiaries should change their current paradigm in terms of money use and its related benefits.
Hence, we need:
1) Expand distribution points.
2) Continue working with allies, including retailers, municipal and federal governmental institutions, which will allow us to operate better with payment systems.
What has been the impact of your solution to date?
100% of adult population of Santiago NUyoo has Mi Fon’s financial services.
40% reduction of cash in the community.
Those numbers were reached in less than 180 days, after launching the program to the market.
We promoted new markets development and changed some business. One example: a roast chicken business seller has to travel several to different cities to receive his client payments. Now, he receives orders and payments via mobile phone and has more time to deliver his products in a more efficient way. He changed his business’ name to “Pollo-Movil”. Mi Fon not only gave him technologic access and banking services, but also allowed him to grow as a entrepreneur and become a change agent.
What is your projected impact over the next five years?
Replicate successfully Mi Fon’s program in at least 30,000 Mexican rural communities and then in five more countries in Latin America and Asia.
Continue working with partners such as Banorte, Telecom, Huawei and Mastercard, among others.
What barriers might hinder the success of your project? How do you plan to overcome them?
1. Reach a critical mass of sales points,
Through stores and government partners.
2. Changes in banking regulations.
Continuing the dialogue with authorities, CNBV and Banco de Mexico.
3. Education and spread’s cost
Alliances with banks, Mastercard, CGAO and other institutions.
4. Monopolist activities of mobile phones’ providers.
Operate under an open system, available for everyone.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
In every community where it operates, have 60% of adult population using Mi Fon services.
Task 2
Implementación de mejoras y actualizaciones a la solución a través de incorporar nuevos servicios
Now think bigger! Identify your 12-month impact milestone
Task 1
Difusión y capacitación en medios masivos.
Task 2
Expansión de las zonas de implementación de la solución a nivel nacional.
Task 3
Incorporación de elementos complementarios tales como aceptación de pagos electronicos en comercios de las comunidades.
read more↓↑ hide↑ hideTell us about your partnerships
Mi Fon’s Project has very important partners to it development such as: Telecom, responsible for Santiago Nuyoo’s communications through its allied Huawei, which provides the satellite required, the data base of the beneficiaries, the product’s distribution and encourages the use of Mi Fon. Other important partners are Banorte with it managing support and finally Mastercard, promoting financial inclusion of developing countries.
Are you currently targeting other specific populations, locations, or markets for your innovation? If so, where and why?
In short-term, we plan to replicate it in three communities close to Santiago Nuyoo, using the same system of the firs stage.
What type of operating environment and internal organizational factors make your innovation successful?
Rêv has a platform with capacity to operate financial programs and services, in both integral and modular way. This provides high flexibility and added value for its partners and its users. The Rêv’s platform also accelerates the application of programs and projects into the market, reducing development’s costs.
The Rêv’s technological platform has the advantage of being designed to fulfill all the operative and regulatory requests of Mexican financial system.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
Miracle Farm Fresh is a start-up business in progress, located in Malawi. Miracle Farm Fresh wants to close the gap that have existed due to misconception of this type of business by many Malawians.
Created on 10/1/2012 by planetfinancebrasil
A PlaNet Finance é uma organização sem fins lucrativos, cuja finalidade é aliviar a pobreza contribuindo ao desenvolvimento do setor de microfinanças.
Organization: PlaNet Finance Brasil
Visit websitemore ↓↑ hide↑ hideFacebook URL
http://www.facebook.com/#!/pages/PlaNet-Finance-Brasil/134668926597284
Organization Country
Brazil, RJ, Rio de Janeiro
Country where this project is creating social impact
Brazil, RJ, Rio de Janeiro
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
More than 5 years
Has the organization received awards or honors? Please tell us about them
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Idea (you're poised to launch)
How long have you been in operation?
Still in idea phase, but looking to launch soon
Which of the following best describes the barrier(s) your innovation addresses? Choose up to two
Access, Transparency, Equity.
The Need: What problem are you trying to solve?
Micro entrepreneurs have a great growth potential and play a central role in job creation, investment and innovation in Brazil. Therefore, they face numerous barriers to develop. With 10 years of experience, PlaNet Finance Brazil has identified three specific recurrent necessities and difficulties faced by these micro entrepreneurs. First, they do not have the capacity to calculate with precision their sales prices, which creates a permanent deficit situation. Secondly, they have difficulties in monitoring their cash flows. Consequently, they are unable to determine their sales goals, or the income from their sales.
The Solution: What is your solution? Be specific!
The solution is to develop a business management software that is easy to use and is available on the cellular phones of these micro entrepreneurs. This tool will have the following characteristics: an ergonomic platform, adapted to different levels of literacy; an educational installation system to encourage users, easily usable everywhere, regardless of Internet access. This software will allow micro entrepreneurs to register their expenditure and revenue, separate business from family budgets, calculate the sales price, determine the cash flow. It will provide sales reports, cash flow and customized sales goals. The project includes the creation of an innovative training methodology adapted for cell phone content, as well as data banks for online courses on financial education.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
Whereas most members of productive groups do not have a bank account, they all have mobile phones, and sometimes even, a computer. The main restriction these informal micro entrepreneurs face regarding access to financial services is the lack of registered information as proof of revenue. This new instrument may easily be transformed into a tool of financial inclusion because accounting management by phone or computer would considerably facilitate the financial transparency. The goal of the project is to allow the micro entrepreneurs to manage their cash flow and their production, as well as make adequate financial decisions about sales prices and goals. It constitutes the first step towards enabling these micro entrepreneurs access to financial services and offer a strong potential for scalability, as that which can be done within any micro business and other productive groups, at the local, regional and national levels.
The proposed solution represents a complement for the financial education training that PlaNet Finance Brazil offers. The software will be tested with two groups of current beneficiaries of PlaNet Finance financial education courses before it is expanded to other productive groups.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
Our peers and competitors for our solution are businesses and organizations who play a role in the IT sector and who want to reach people at the base of the pyramid, as a new target population. The value added by PlaNet Finance is the knowledge and direct contact with micro entrepreneurs to test the software before a general implementation at the regional and national level. PlaNet Finance is already working with various productive groups in Brazil, providing them with training in financial education and business management, and because of this, is aware of their needs and of the living standards of these communities excluded by the banking sector.
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
The idea emerged during the training sessions in financial education and business management in some of the productive groups in Rio de Janeiro during the first trimester of 2012. The beneficiaries, especially the micro entrepreneurs of the artisanal sector, expressed a strong enthusiasm in these trainings and PlaNet Finance realized during the training that the beneficiaries were not well-equipped to be able to put their theoretical knowledge into practice in business management. The rate of mobile phone penetration is very high in Brazil, and PlaNet Finance thought it was a good channel to equip micro entrepreneurs with a business management tool, complementary to the financial education and business management training.
Please describe the goal of your initiative; outline what you are trying to achieve
Our goal is that the 800 people who compose the micro entrepreneur artisans network approve the application as a financial management tool. In addition, these artisans would be registered in the database of the banks with possibility of accessing its services, that their businesses grow and impact their local communities. The next step would be the expansion of this solution at national level, for the development of micro entrepreneurs and the elaboration by the banks of services adapted and accessible to this public.
Which barrier(s) to financial inclusion does your solution seek to address? (select all applicable)
Physical and other accessibility obstacles that prevent communities from reaching financial services.
If you selected 'other' above, please specify which other barriers to financial inclusion you solution seeks to address:
For which underserved or excluded communities will your solution create access to valuable, affordable, secure and comprehensive financial services?
The proposed solution aims the micro entrepreneurs of the Solidarity Economy Enterprises (SEE). Today, it is estimated there are 25 thousand SEE in Brazil (associations, cooperatives or informal self-managed production groups), that is, more than 1,5 million workers. Of these, 23% produce handicrafts and textiles, and constitute a significant alternative to unemployment. However, the solidarity economy sector, which we deal with, has numerous fragilities, such as: difficult in accessing financial services; difficulty in commercialization; lack of legal structure; low income generation; absence of production chain; lack of dissemination and incipient economic planning.
Could your solution work in other geographies or regions? If so, where?
The goal is to undertake and replicate the solution at the local, national and international levels after the pilot phase, which will last a year and will be necessary to test the solution with productive groups in the State of Rio de Janeiro (approximately 50 micro entrepreneurs), who have already received training in business management and financial education. Once the pilot phase has been concluded, the results of the test will be evaluated and adjustments will be made if considered necessary. In addition, studies will be conducted regarding the replication of the project in other communities and cities, especially in Rio de Janeiro, but also in the country, where there are concentrations of micro entrepreneurial communities. Furthermore, additional studies will be carried out for the replication of the solution in the 49 countries PlaNet Finance already undertakes projects.
If your solution is dramatically successful, how will things be different in 10 years?
The expected results in the next 10 years are:
• The beneficiaries have better management of their business: they have greater visibility of their revenue and expenditure, they have increased the revenue of their business and have started saving. The beneficiaries feel safer about their financial decisions and their business. It is hoped that the beneficiaries will leave the informal and artisanal management style of their businesses, and use the skills and tools they possess to become better included in the formal financial system.
• In addition, the solution may also evolve to a market, where micro entrepreneurs can exchange/ purchase the goods necessary for their activities, constituting a space for exchange. As a consequence, they would be more integrated in the market and will access greater business opportunities.
What will have had to have changed to make this happen?
The factors necessary for the consistent application of our solution are an elevated rate of mobile phone penetration, the constant use of cellular phones and the continuous growth of mobile operators in developing countries, where numerous micro entrepreneurs currently excluded from the formal banking sector can be found.
What has been the impact of your solution to date?
What is your projected impact over the next five years?
The expected impact for the next 1-5 years is to reach 1000 micro entrepreneurs in Brazil and offer them a suitable tool to monitor their business, manage their cash flow and production, as well as to make appropriate financial decisions regarding the price of sales and goals. PlaNet Finance, through this solution, aims to reduce poverty and the socioeconomic exclusion of micro entrepreneurs from needy communities in the State of Rio de Janeiro and other states in the country, as well as promote entrepreneurship to ensure sustainable socioeconomic development.
What barriers might hinder the success of your project? How do you plan to overcome them?
The main risks identified are: an improper use of the tool, on the one hand, and on the other, tool features inadequate to the daily needs of the micro entrepreneurs. In order to overcome these risks, PlaNet Finance will provide detailed study phase of the needs in a sample of 200 micro entrepreneurs, a 6 month pilot phase with 50 users accompanied with a training on the use of the tool. Training meetings and monitoring will happen regularly with 50 users (weekly, monthly): installation of the software on beneficiary mobile phones, training on use of tool, solution of problems found, suggestions for improvement collected, etc.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
The goal is to define the main characteristics of the software based on a needs assessment of the target population.
Task 1
Needs assessment and capacity evaluation in financial education and in IT of the productive groups.
Task 2
The development of specifications for business management solution based on the findings of the needs assessment
Task 3
The development of a solution for business management and the adjustment of the methodology for training in management and finan
Now think bigger! Identify your 12-month impact milestone
The impact goal is to test the software solution in the mobile phone of 50 micro entrepreneurs while monitoring its use.
Task 1
Installing the software in a test group of 50 micro entrepreneurs.
Task 2
Offer training for micro entrepreneurs on the functional needs of the software and its utilization.
Task 3
Evaluate the results of the test and analyze the replication of the project at a larger scale.
read more↓↑ hide↑ hideTell us about your partnerships
Partnerships are the guarantee of a well-thought out, durable and comprehensive project. With this mobile phone app project, we have created connections between various sectors: the network of micro entrepreneurs with which we already work, a innovation and technology business which will develop the app, a private bank willing to enrich its database with data on customers it does not reach, and a public agency in charge of supporting the micro entrepreneur program. The dialogue between the public, private and civilian sectors about their needs and demands will enrich the consistency and impact
Are you currently targeting other specific populations, locations, or markets for your innovation? If so, where and why?
In Brazil there are 6,5 million formal micro enterprises and in study conducted by Anatel, the national telecommunication company, there are 116 mobile phones for every 100 people in the country. The replication potential of this project is enormous. It will be made effective by the presence of PlaNet Finance Brazil in various regions of the country (in the States of Rio de Janeiro, Para, Rondonia), by the company´s communications and IT partner and by the distribution through the public institution that supports PlaNet Finance Brazil.
What type of operating environment and internal organizational factors make your innovation successful?
The PlaNet Finance Brazil is based on the principle of integration and participation of all parts involved throughout the project, to manage the advances and coordinate the activities. Three kinds of meetings are established:
- A meeting where the status of the project is discussed with the PlaNet Finance Brazil team: operation staff, the directors and the person at the PlaNet Finance headquarters in charge of the project´s quality control.
- A meeting with the field monitoring committee: PlaNet Finance Brazil, the representatives of the micro entrepreneurs and the IT business representatives.
- A meeting with the directive committee: PlaNet Finance Brazil, the bank representatives and those of the government institution that supports micro businesses, as well as the financier.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
The PlaNet Finance is an international solidarity organization whose mission is the fight against poverty through support to the microfinance sector. The team is composed of consultants with solid experience recognized both nationally and internationally in areas such as methodology development, training, mapping processes and portfolio auditing.
Created on 10/1/2012 by Victor Waller Sadalla
Visando sustentabilidade financeira, o primeiro banco júnior do mundo, o projeto BNI, faz gestão de redes de bancos inclusivos através de “cloud banking”
Organization: Banco de Negócios Inclusivos
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Banco de Negócios Inclusivos
Country where this project is creating social impact
Brazil, São Paulo, Carapicuíba, Curitiba, Barueri, Campinas
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
1‐5 years
Has the organization received awards or honors? Please tell us about them
Não, este é o primeiro prêmio que concorremos
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read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Growth (your pilot is up and running, and starting to expand)
How long have you been in operation?
Operating for 1‐5 years
Which of the following best describes the barrier(s) your innovation addresses? Choose up to two
Access, Quality.
The Need: What problem are you trying to solve?
Inclusive businesses &social enterprises are drivers for sustainable development of the country. That said, these businesses still face numerous difficulties to get financing. This can be explained in part by the traditional credit market of commercial banks, which in addition to being expensive also impose legal restrictions that inclusive enterprises cannot satisfy. The microcredit market, in turn-is comprised of public &community banks, as well as Public Interest Organizations (OSCIPs. These microcredit OSCIPs are still largely subsidized by the government &apart from their small portfolios-lack adequate capillarity & do not provide financial assistance to their customers.
Thus-the IBB seeks to develop a management model that is self-sufficient-inclusive&Supportive of theseEnterprises
The Solution: What is your solution? Be specific!
The solution found was the creation of a cloud management model through cloud banking. Two interlinked networks were created: junior banks, that operationalize the credit within universities, bringing academic management solutions to a practical dimension, providing financial assistance to clients while involving students. The second network is that of the community banks, located at the hearts of poor communities, which give the project greater capillarity, developing these localities through microcredit and social currency, while disempowering the formal credit community.
The management of these networks is done through the IBB OSCIP, integrating them through a free “social franchise” that distributes the technology and the infrastructure for training the inclusive banks, finds partners, performs more effective benchmarking and reduces costs.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
The IBB partners will access the network similarly to the way computers access an external memory through the Internet. In our case, a credit agent will operate the lines of credit, for example in a Junior Bank (currently there are only two banks in operation, the IBB-FGV and the IBB-UFPR), with the goal of managing the loans and advising the customers using a variety of instruments from a previously developed toolkit. Access to money by the cooperatives happens through this credit agent, with full autonomy for approval and use of credit, through an online platform, the website of the model. In other words, the entire management and control structure is located in an external center to the agent operator, reducing the costs and increasing the efficiency. In the same way, when interlinked networks are developed through this system of “solidary franchises”, the bank increases its capillarity, reaching a greater number of customers around Brazil and disseminating the sustainable and productive microcredit ideal.
The cloud model solution is more efficient because it helps to reduce costs: the community and junior banks that access our online platform and use our technology reduce their operation costs, as the IBB has fee exemptions at the bank where it has an account. Another cost reducing factor is that it is operated by students and volunteers, without a payroll that makes the credit more expensive. An additional advantage is the proximity with the university.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
Our competitors, in a certain way, are all microcredit operators. However, the market, in particular the market-oriented productive microcredit still has more demands that what is available. Having said that, our project does not have direct competitors for inclusive bank network management, and that is why this is a pioneer initiative.
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
The IBB was born from a practical realization: a cooperative partner with the ITCP-FGV received a request from a large business, however the payment would only be made 90 days after the delivery. While on the one hand commercial banks present legal restrictions and high cost for loans, community banks and OSCIPs have very reduced portfolios for this kind of demand. As such, we chose to provide the loan by the incubator. The cooperative was able to deliver the request, and presented an increase in revenue of 280%. From this result a new line of market-oriented productive credit was created. In addition, the first junior bank in the world was created, focusing on efficient operation and social technology development. This kind of problem is endemic to the Brazilian system, and the experience easily multipliable nationwide, through the universities, while the technology could be centralized in a platform that facilitated benchmarking and financial sustainability, as well as financial guid
Please describe the goal of your initiative; outline what you are trying to achieve
The goal of the project is to create a double network: one of junior banks and one of community banks that cover the national territory, supplying the demand for market-oriented productive credit and generating income in network.
With the consolidation of this banking system, in addition to regional development and income generation, it is hoped that microfinance will be a central element of university extension, empowering the base of the social productive pyramid, until very recently excluded from the traditional financial sphere.
Which barrier(s) to financial inclusion does your solution seek to address? (select all applicable)
Physical and other accessibility obstacles that prevent communities from reaching financial services, The lack of affordable financial products tailored to the needs of underserved and excluded communities,, Powerful incentives for financial service providers to move up-market, Other (Please describe below).
If you selected 'other' above, please specify which other barriers to financial inclusion you solution seeks to address:
The gap between the technologies produced in universities and their application / Benchmarking between inclusive banks
For which underserved or excluded communities will your solution create access to valuable, affordable, secure and comprehensive financial services?
The IBB seeks to provide disadvantaged communities, such as favelas or remote communities, who have or demand community banks. The project also seeks to be in public universities in all regions of Brazil, thus increasing the approach with communities served by the model. Therefore, the project hopes to expand, and within 3 years, be in 15 public universities, and impacted 1200 inclusive businesses.
Could your solution work in other geographies or regions? If so, where?
The solution, in order to be efficient, should add a large number of communities and universities to the network, spreading across regions in the country. Similarly, the operationalization of market-oriented productive microcredit in universities is an easy application model in other countries in Latin America, especially considering the labor is carried out by students interested in income generation and the cost of operation is relatively low.
If your solution is dramatically successful, how will things be different in 10 years?
If the solution is very successful, we hope the IBB will become a credit cooperative, which will integrate and supply community banks around the country, capturing savings and managing inclusive banking accounts of NGOs and inclusive businesses, offering low interest rates and bureaucracy. In case of success, we hope the project will multiply through Latin American universities, forming an international network of junior banks.
What will have had to have changed to make this happen?
What has been the impact of your solution to date?
Within a one year and two month period we have provided services to over 30 cooperatives, created 3 partnerships with NGOs, lent R$56 thousand, set up two junior banks, expanded the portfolio of two community banks and helped set up a community bank.
What is your projected impact over the next five years?
Over the next three years we have projected establishing 15 junior banks in Brazil, which translates to supporting 750 groups and the capacity to lend approximately R$1,125 million a year.
What barriers might hinder the success of your project? How do you plan to overcome them?
The main risk our project faces, especially due to its reliance on the support and commitment of unpaid undergraduate youth for asset management and credit grant analysis, is the possibility of lack of commitment and criteria by our members. This may contribute to an increase in default rates beyond sustainability in certain franchises, culminating in the unfeasibility of these in the medium term and even for the network as a whole. We attempt to mitigate this risk by centralizing the credit operation and creating mechanisms that encourage continuous communication between the network and the franchises, in addition to planning on having trained and paid staff that guarantee the professional management of each franchise.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Increase the portfolio to R$300 thousand, consolidate the online platform and bring 5 junior banks and 5 community banks to the
Task 1
Create a governance and communication structure between the franchises.
Task 2
Create credit analysis instruments adapted to the reality o four customers.
Task 3
Guarantee the necessary funding for the expansion of the network.
Now think bigger! Identify your 12-month impact milestone
Expand the portfolio to R$1 million, establish partnerships with 5 businesses and consolidate a network of 15 junior banks and 3
Task 1
Undertake fundraising plans.
Task 2
Keep the default rate below 2%
Task 3
Make the IBB known at the national level through partnerships with large businesses.
read more↓↑ hide↑ hideTell us about your partnerships
Establishing partnerships is essential for both the operation and funding of the project: the business model is based on the capillarity achieved through partnerships with universities and the establishment of junior banks, with community banks and NGOs that strive for income generation in poor communities. In addition, the structuring and expansion of the portfolio has happened through the consolidation of partnerships with businesses and foundations interested in implementing their social corporate responsibility through our project.
Are you currently targeting other specific populations, locations, or markets for your innovation? If so, where and why?
The IBB is in expansion to new universities and communities. Our goal is to develop a network of junior banks that encompasses all public universities in the country, reaching over 100 localities in all states. In the same way, we aim to establish partnerships and create community banks in the areas where there are junior banks.
What type of operating environment and internal organizational factors make your innovation successful?
One of the main characteristics of the project is focus on autonomy, both of those involved as well as of the banks. The IBB does not have an internal hierarchy, by valuing democracy, the decision loci are the assemblies and department meetings, decisions are deliberated upon and consensuses are reached. This environment aims to stimulate innovation and transparent communication between all those involved.
In the same way, the network structure allows the junior and community banks to have autonomy to adjust their credit analyses, the forms of collection and the stipulation of fees charged in a way that better suits the communities and the social environment, being IBB´s responsibility to establish the operational parameters and stimulate positive results.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
Created on 10/1/2012 by Rurtecho
Solidarity Micro-finance Fond for women deprived of liberty
Organization: Asociación Mujeres en Acción (ama)
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Asociación Mujeres en Acción (ama)
Country where this project is creating social impact
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
More than 5 years
Has the organization received awards or honors? Please tell us about them
- Diploma de Reconocimiento del Centro de Promoción de la Mujer “Micaela Bastidas”, por contribuir a la promoción de los derechos de la mujer y de las personas con discapacidad.
- Diploma de Honor del Club Soroptimista Internacional - Filial Trujillo, por contribuir a la promoción de la mujer y a la equidad de género en la Provincia de Trujillo.
- Reconocimiento de la Municipalidad Provincial de Trujillo, por la labor realizada en forma consecutiva a favor del bienestar de la población femenina y de otros grupos poblacionales de las diversas provincias del Departamento La Libertad, a través del establecimiento de relaciones sociales equitativas, mejoramiento de las condiciones de vida y fomento de la micro y pequeña empresa.
- Reconocimiento con Medalla de Oro y felicitación del Gobierno Regional La Libertad, por el aporte al desarrollo socio-económico de las mujeres de la Región La Libertad.
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read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Growth (your pilot is up and running, and starting to expand)
How long have you been in operation?
Operating for 1‐5 years
Which of the following best describes the barrier(s) your innovation addresses? Choose up to two
Access, Equity.
The Need: What problem are you trying to solve?
The problem of basic needs satisfaction has always existed in jails. A way that women in prison have to deal with it is to generate incomes through productive work. This activity has a very important role in human development for their re-socialization.
However, to get employment for people in prison and better human conditions, requires institutions’ solidarity as AMAS’s, due to their limited access to working capital and being excluded from the financial system.
The Solution: What is your solution? Be specific!
Facilitate credit access to women deprived of their liberty, in order to promote and defend their human rights, particularly the right to work, which can dignify them and contribute to their re-socialization.
Develop productive activities will also allow them to pay their basic needs and give economic support to the families out of prison.
In addition, working promotion of women in prison shows their longing to progress, despite the adverse reality they live. Their longing for better living conditions and a real opportunity for the future out a prison shows that a productive activity can be done. It is also a good example for other prisoners.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
At the beginning of the program, Rocio B.G. who works as a knitter, has a working capital of S/. 140.00 (US$ 53.9), but she hasn’t earned enough to maintain her mother and children, her personal expenses and pay for her lawyer. That’s why she had to ask for loans with, some times, 30% of monthly interests. That alternative was the only one for other prisoners too.
Rocio was one of the first beneficiaries to a credit for S/. 300.00 (US$ 115.38). Then, she received three more credits for S/. 500.00 (US$ 192.31), S/. 1000.00 (US$ 384.62), and finally S/. 1500.00 (US$ 576.92). The loan she currently manages is for S/. 2000.00 (US$ 769.23). All of them were punctually paid, with low interests to cover minimum operating expenses.
Due to the high quality of her product, she expanded her market, even exporting some of them and asking for partners help to finish the orders.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
As far as we know, there are no similar experiences in this country.
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
Before starting this initiative, AMA has offered educational programs, integrating activities and healthy recreation for women in Trujillo’s Penitentiary Institution. Through these activities, we were able to identify the productive potential some women had and also their needs and the barriers they met.
Looking for a solution to this problem, we created an alliance with the Direction and the Working Area of the Penitentiary and also with the Pastoral Department of Trujillo’s Archbishopric, in order to support the program operation.
Please describe the goal of your initiative; outline what you are trying to achieve
Encourage social inclusion through productive work of women in prison, who access to credits for developing their business and improving their quality of life.
Which barrier(s) to financial inclusion does your solution seek to address? (select all applicable)
Physical and other accessibility obstacles that prevent communities from reaching financial services, The lack of affordable financial products tailored to the needs of underserved and excluded communities,.
If you selected 'other' above, please specify which other barriers to financial inclusion you solution seeks to address:
For which underserved or excluded communities will your solution create access to valuable, affordable, secure and comprehensive financial services?
We know that work is necessary and dignifies people. This happens also in prison and it is even more significant for people in jail, because it gives them the opportunity to be prepared for a productively inclusion in society.
Designed by taking into account their financial needs, this initiative offers them affordable credits, along with training courses of personal development and corporate management.
Could your solution work in other geographies or regions? If so, where?
We consider that this experience can be successfully replicated, benefiting more women in other national and foreign prisons.
We expect to expand the program to men in other Penitentiary Centers Trujillo’s city, where there are also economic initiatives to generate income, but overcrowd and poor conditions make it more difficult to perform.
If your solution is dramatically successful, how will things be different in 10 years?
In ten years we expect to:
- Increase the opportunities to develop productive and/or corporate skills of the beneficiaries of this program and other institutional initiatives.
- Make people in prison think and use their time correctly, diminishing the risk of improper behaviors, bad for their social re-adaptation and re-inclusion.
- Encourage their business sustainability to guarantee their economic autonomy and family’s support, during their time in prison and after they recover their freedom.
- Promote “productive working culture” as prisoners’ daily practice creating strategic alliances with other institutions, raising awareness of their social marginalized situation.
What will have had to have changed to make this happen?
- More economic resources to increase the number of beneficiaries
- Strengthen the alliances with institutions supporting the program and include others, interested in prison population’s re-socialization.
- Develop technical-productive training and management programs, in order to improve the workforce, business development and sustained growth of current business.
- Promote human development of prisoners with programs that improve their self-esteem, social relationships, values and social coexistence rules.
- Society awareness rise by trading networks of prisoners’ products and services.
What has been the impact of your solution to date?
- 47 affordable credits given to people excluded from the financial system and society.
- 17 benefited women, managing small business despite adverse conditions.
- Due to dignified productive activities, we have strengthened prisoners’ self-esteem and confidence, helping them to preserve the activity they will be able to perform when they get out of prison.
- Better living conditions and social image of women in prisons, improving their family support and access to legal consulting.
What is your projected impact over the next five years?
- Expand the program to men penitentiary centers.
- Develop managing training and technical-productive programs.
- Achieve long-term sustainability and productivity of current business.
What barriers might hinder the success of your project? How do you plan to overcome them?
- Limited economic resources to assist men asking to be included in the program.
- Limited supplies needed for business. No appropriate places for operating. No access to technology that would improve production.
- Loss originated by market rules.
- Deterioration of beneficiaries’ mental and physical health, hindering their work and income generation.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Achieve 25% more given credits and 5 more new beneficiaries of the program.
Task 1
Visitar negocios de las beneficiarias para evaluar necesidades de financiamiento.
Task 2
Identificar clientes potenciales para acceder a los beneficios del programa.
Task 3
Realizar seguimiento del destino de los créditos otorgados.
Now think bigger! Identify your 12-month impact milestone
Achieve 50% more given credits and 10 more new beneficiaries of the program.
Task 1
Asesorar la gestión de los negocios para asegurar su crecimiento y sostenibilidad.
Task 2
Difundir las experiencias exitosas en toda la población penal y en la comunidad.
Task 3
Promover los beneficios de pago puntual para mantener vigencia en el acceso a créditos.
read more↓↑ hide↑ hideTell us about your partnerships
- Trujillo’s Penitentiary Institution for Women, institution under the authority of National Penitentiary Institution (INPE) and the Ministry of Justice. It is responsible for promoting the integral development of people in jail, in order to support their re-socialization and society inclusion.
- Pastoral Department of Trujillo’s Archbishopric, promoting solidarity to people in prison, productive work to income generation and spiritual strengthening to tolerate life in jail.
Are you currently targeting other specific populations, locations, or markets for your innovation? If so, where and why?
For more than 10 years, AMA is developing a micro-finance program for micro-entrepreneurs, focusing in women with commercial services activities in rural and sub urban areas. This program has seven agencies located in Trujillo, Huamachuco, Otuzco, Santiago de Chuco, Virú, Paiján and Pacasmayo, La Libertad- Perú and facilitates the access to formal credit of excluded women.
What type of operating environment and internal organizational factors make your innovation successful?
We have technical resources that allow us to operate and control the innovative pilot.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
We need more investment to operate this Social Responsibility program, emphasizing people in prison. We also need to develop a marketing campaign to widespread the program’s benefits.
Created on 10/1/2012 by ADELVA
The investment fund: a successful experience supporting micro-enterprises in Valverde, Republica Dominicana.
Organization: Agencia de Desarrollo Económico Local de Valverde (ADELVA)
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Agencia de Desarrollo Económico Local de Valverde (ADELVA)
Organization Country
Dominican Republic, VA, Mao
Country where this project is creating social impact
Dominican Republic, VA, Mao
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
More than 5 years
Has the organization received awards or honors? Please tell us about them
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Established (past the previous stages and has demonstrated success)
How long have you been in operation?
Operating for more than 5 years
Which of the following best describes the barrier(s) your innovation addresses? Choose up to two
Access, Equity.
The Need: What problem are you trying to solve?
More than 51% of Valverde’s population lives below poverty line. In that context, micro-enterprises are a valuable tool for income generation. However, small producers find strong barriers to access to formal financial system, mostly for the lack of credit history and property title. This makes them ask for informal loans, with unsustainable interest rates.
The Solution: What is your solution? Be specific!
ADELVA’s strategy is to support micro-enterprises owners to access to formal credit mechanisms. Through a Guarantee Fund created in 2001 with PNUD’s support and the allied Banco Popular, ADELVA has given loans to 203 small entrepreneurs in Valverde province in order to strengthen their productive units and give them full access to formal banking system. However, ADELVA hasn’t had the resources to offer property titles to producers to promote their business.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
Ramon Jimenez, a small rancher, needed genetic improvement to increase his productivity and also capital to buy some milk to make cheese. He couldn’t get a credit because he has neither property nor title credit history. He received a Banco Pupular funding for US$ 1,350 at a market rate, through Guarantee Fund of ADELVA. He showed a correct payment behavior, so he received a US$ 13,000 direct loan from the Banco Popular.
This story has been reiterated for more than 180 (89% of direct beneficiaries), men and women entrepreneurs (trade, services, industry and agriculture) that today are current clients of formal banking. They also receive other banking products, such as credit cards. ADELVA supported micro entrepreneurs by training and technical assistance programs, which help to develop an entrepreneur’s culture for a sustainable productive unit.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
There are 5 institutions in Valverde that give micro-credits for entrepreneurs without credit history at a 35% annual rate. ADELVA makes a difference by facilitating access to 24% annual rates loans and being supported by a bank committed to turn them in credit consumers. ADELVA also makes a difference offering technical assistance in managing and accounting. The Guarantee Fund encouraged the association between entrepreneurs to include them in the city’s value chain.
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
In October 2001, with the support of PNUD and Cooperación Italiana, we created a Guarantee Fund in the Banco Popular (US$ 290,000) to strengthen ADELVA in Valverde and build other ADELVA in Dabajón. Our goal was to stimulate local development, mostly through micro-credit activities. The agencies work independently, integrating partners of the public, private and social sector, joined by the Red ADECOM. ADELVA’s mission is to promote competitiveness in the province, based on a human development approach. Through its micro-credit program, ADELVA is the most successful experience developed to date.
Please describe the goal of your initiative; outline what you are trying to achieve
The Investment Fund improves credit capacity and productive potential of micro-entrepreneurs. ADELSA seeks not only to improve their productive processes but also contribute in strengthening the social capital of the area and the participation of the local financial sector in productive units. In addition, ADELSA will offer property tittle services for an easier productive funding.
Which barrier(s) to financial inclusion does your solution seek to address? (select all applicable)
The lack of affordable financial products tailored to the needs of underserved and excluded communities,, Powerful incentives for financial service providers to move up-market.
If you selected 'other' above, please specify which other barriers to financial inclusion you solution seeks to address:
For which underserved or excluded communities will your solution create access to valuable, affordable, secure and comprehensive financial services?
The loans, given by the Investment Fund, have benefited 203 micro producers (see point 7). With the support requested, we seek to directly benefit 1,050 entrepreneurs in ten years, who have been excluded from the formal financial system. To be more specific, the direct beneficiaries are: 250 micro- agricultural producers with 1 to 7 hectares (property title services) and 800 micro-entrepreneurs with total annual sales of US$ 27,000 and 1 to 8 employees (credit and technical assistance). On the other hand, the activities planned will indirectly benefit Valverde population, through inclusion processes and social cohesion.
Could your solution work in other geographies or regions? If so, where?
Most micro-entrepreneurs and small agricultural producers of Latin America and the Caribe, have huge difficulties to fulfill the formal banking’s requirements. In this sense, an Investment Fund, managed by ADEL and with an allied bank, becomes an alternative to improve the access to funding in ALC. Some ADEL agencies of Republica Dominicana are executing this alternative in their own provinces.
If your solution is dramatically successful, how will things be different in 10 years?
In the past ten years, ADELVA has widened its services coverage and offers, adding property titles to obtain funding. The planned results for the next 10 years are the followings: 1) 800 entrepreneurs turn into banking services consumers, 2) 250 people obtain their property title, 3) ADELVA achieve supporting resources from public, private and international cooperation to increase the Investment Fund. The main idea is to have much more beneficiaries and integrate the funds of companies identified as part of the local value chain.
What will have had to have changed to make this happen?
Adelva creates the Technical Unit of Property Tittle equipped with a topographic station (with highly precision GPS, distance control system, a theodolite and a micro computer) addressed to reduce services costs. The Agency makes agreements with official workers to fasten property title’s process. The Agency also expands its training and technical services to assist beneficiaries, improving their entrepreneur culture and productive technics. ADELVA contributes to introduce activities of the 5th action line of the third specific goal, part of the National Strategy of Development.
What has been the impact of your solution to date?
Since Fund creation, we have received more ?????than credit requests with a total amount of US$ 420,382. ADELVA achieved in positively responded to 203 requests. 41% of the approved credits benefited women. The total amount of given loans are US$ 296,020, with the following distribution: 72.43% Services (142 loans), 10.64% Industry (25 loans) and 16.93% Agriculture (36 credits). This population was able to access formal banking services and sustained more than 170 enterprises, guaranteeing income and jobs for more than 760 families.
What is your projected impact over the next five years?
In 5 years ADELVA will achieve the following outcomes:
1) Strengthen the micro-credit mechanism for micro-enterprises and small agriculture producers of Valverde.
2) A services office to assist micro-entrepreneurs and small agriculture producers in property services, located in Valverde (125 beneficiaries).
3) Over the first year we’ll be operating the strategy to increase the Guarantee Fund up to 300%.
What barriers might hinder the success of your project? How do you plan to overcome them?
Outcome 1) strong storms and hurricanes might hurt the supported productive units. In that case, it will offer a grace period, according to the partial or total damages.
Outcome 2) if property title’s demand is superior to offers, we will make agreements with other companies offering the same service.
Outcome 3) if there is rate instability between dollar and peso, we will transfer part of the fund to a certificate in dollars.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
1) Micro- credit – 12 assisted entrepreneurs. 2) Property title operation – 12 producers starts this operation. 3) Investment Fu
Task 1
Divulgación del fondo, evaluar solicitudes, colocar préstamos, darle seguimiento y acompañar con asesoría a los emprendedores.
Task 2
Contratar un Equipo Técnico, adquirir estación topográfica, divulgar el nuevo servicio y enlace con la Oficina de Catastro.
Task 3
Colocar el 64% del eventual premio Changemakers en el existente Fondo de Inversión.
Now think bigger! Identify your 12-month impact milestone
1) Micro- credit – 25 assisted entrepreneurs. 2) Property title operation – 25 producers starts this operation. 3) Investment Fu
Task 1
Divulgación del fondo, evaluar solicitudes, colocar préstamos, darle seguimiento y acompañar con asesoría a los emprendedores
Task 2
Divulgar el servicio y consolidar la relación entre ADELVA y la Oficina de Catastro para agilizar el proceso de titulación
Task 3
Apalancar el fondo aproximadamente en 26,316.00 US$ con recursos gestionados por ADELVA.
read more↓↑ hide↑ hideTell us about your partnerships
As we mentioned before, ADELVA is an institution that incorporates 38 associates of the public, private and social sector (Universities, GNOs, business unions, value chains, etc.). It is a social actor’s catalyst that contributes to create territorial development strategies in Valverde. ADELVA receives technical assistance from PNUD, is part of the managing network ADELCOM, along with national governmental institutions, ILS LEDA and ReMALDH.
Are you currently targeting other specific populations, locations, or markets for your innovation? If so, where and why?
See point 7 of Social Impact for current targeting population.
See point 8 of Social Impact for targeting population for the next 5 years.
What type of operating environment and internal organizational factors make your innovation successful?
Since 2001, ADELVA has operated as a “local Micro-finance company”, learning how to manage a micro-credit fund. This experience is part of a wider strategy for local development of Valverde, through internal potential identification of the territory. Having members of the productive sector in our Board of Directors, it helps to supply and demand services mentioned in outcomes 1 and 2, by reducing transaction’s costs significantly.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
We’ll use Changemakers Prize for:
Contribution to outcome 1-3 US$ 64,000 (investment)
Contribution to outcome 2 US$ 16,000 (human resources)
Contribution to outcome 2 US$ 20,000 (investment)
For more information about needed resources used, see point 12 of Social Impact.
For Partnerships / Networks: ADELVA has their own supportive associates (see point 4 od Sustainability)
The PRIZE: emPOWERING PEOPLE AND PLACES. A comprehensive, multifaceted strategy to improve high vacancy and joblessness through community ownership and enterprise.
Surrey Canada
49° 6' 21.2292" N, 122° 49' 40.6416" W
SurreyONE is a community based game that generates spending from consumers and businesses alike, within the Surrey communities. This innovative idea provides members of the city of Surrey the opportunity to benefit from entrepreneurial training that will allow for better chances of success for those interested in pursuing a future in business as an entrepreneur or business professional.
Created on 09/12/2012 by FiveTalents
We improve access to financial services for marginalized communities through a community-led approach. This helps build stronger and more empowered communities
Organization: Five Talents International
Visit websitemore ↓↑ hide↑ hideOrganization Name
Five Talents International
Organization Country
United States, VA, Vienna, Fairfax County
Country where this project is creating social impact
Burundi, XX, Bujumbura, Muyinga, Gitega, Makamba, Matana, and Buye
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
More than 5 years
Has the organization received awards or honors? Please tell us about them
Five Talents won an online voting/social media contest in 2012 that awarded us $10,000, from the Giving of Life Foundation. We have also been recognized in the Catalogue of Philanthropy and received certification from ECFA and Guidestar.
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read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Established (past the previous stages and has demonstrated success)
How long have you been in operation?
Operating for 1‐5 years
Which of the following best describes the barrier(s) your innovation addresses? Choose up to two
Cost.
The Need: What problem are you trying to solve?
Many communities in rural Burundi live in extreme poverty and lack access to financial services. About 89% of Burundi’s population live in rural areas, and the United Nations Human Development Index ranks it at 185 out of 187 countries, making it one of the poorest in the world. With a lack of access to formal banking institutions and low literacy and education rates, this largely excluded population is in need of community-led training and savings programs to create sustainable, long term solutions to poverty in the country.
The Solution: What is your solution? Be specific!
We are working with locally-led literacy circles and graduating them into community savings and credit groups. We are doing this in a way that builds upon the strengths of the existing literacy groups and enhances them with financial literacy and business training.
The groups who have learned to read and write work together to decide on the policies and procedures of the group and save and lend together. The groups also learn business skills in the process.
With 92% of rural households owning land and practicing farming, this solution provides a great business opportunity for communities.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
A Burundian woman learns to read and write in a local group. After 12 months, she learns to understand numbers through our financial literacy scheme. Then she starts to save with her group. Her confidence grows. Before long she can borrow money from the group for her agricultural work. The business training helps her to see her plot of farmland as a business, not just a means of subsistence. Her life has been transformed. She trusts the group and appreciates the local facilitators who have guided the group through the process.
These local facilitators were trained by our team. The facilitators learned how to establish a savings and credit group and how to teach basic business skills, passing this knowledge on to the group members.
Over time, the groups become self-sustaining and their businesses flourish. Their talents are clear, no longer buried, but multiplied. This in turn strengthens and transforms group members’ families and wider communities.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
There are other non-government organizations carrying out microfinance projects in Burundi, but few reach out into the rural areas and many do not provide training before loans are given out. Some provide a safe place for program members to keep their money.
Five Talents sees training as an integral part of the program, both in business skills and savings group formation. We are unique because we work with recently accredited literate and numerate men and women to give them business skills training along with opportunities to save and borrow with group accountability.
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
Five Talents partners with the Mothers’ Union, an organization that has been training trainers and facilitators to enable over 30,000 people to become literate in Burundi over the last 12 years. An external program evaluation was conducted in 2008 and found that program beneficiaries expressed the desire for further training and capacity-building in the areas of business skills and savings group formation. The Mothers’ Union was familiar with Five Talents’ expertise in this area and contacted Five Talents in order to develop a proposal for funding to provide recently accredited literate and numerate persons business skills and savings group formation training through the Literacy and Financial Education Program.
Please describe the goal of your initiative; outline what you are trying to achieve
The goal is to alleviate poverty and address gender inequality by building the capacity of women in Burundi in the following areas: budgeting, saving and borrowing- resulting in improved skills for good resource management; the opportunity to establish community owned and managed saving and lending organizations; and basic business skills training- to improve the performance of income generating activities.
Which barrier(s) to financial inclusion does your solution seek to address? (select all applicable)
Physical and other accessibility obstacles that prevent communities from reaching financial services, The lack of affordable financial products tailored to the needs of underserved and excluded communities,, Other (Please describe below).
If you selected 'other' above, please specify which other barriers to financial inclusion you solution seeks to address:
No need for guarantees, security of loans, external finance/capital, branch infrastructure; savings and loan capital generated i
For which underserved or excluded communities will your solution create access to valuable, affordable, secure and comprehensive financial services?
About 74% of program members are women, while 26% are men. The majority of program members are recently accredited literate and numerate persons who were identified by a baseline survey and a community-led process as being the most vulnerable in their communities due to their social circumstances. They were also the poorest, and faced challenging circumstances. The program works in six areas within the country. In the majority of these contexts, there are no formal banking or financial institutions for money to be loaned or saved. Target clients include group members who were illiterate until recently and people who have land and know how to farm.
Could your solution work in other geographies or regions? If so, where?
Yes, in rural, post conflict areas. We currently have a similar program in South Sudan which provides literacy, numeracy, business skills, and savings group formation for community members. This program is so successful, in part, because there is an established structure of trainers and facilitators to carry out this work in countries like Burundi and South Sudan, due to our partnership with the Mothers’ Union Literacy and Development Program (MULDP). Both Five Talents and the Mothers’ Union partner with the Anglican Communion worldwide to carry out their programs and this program in particular has been supported and endorsed by the Anglican Church of Burundi.
If your solution is dramatically successful, how will things be different in 10 years?
These savings and credit groups will spread throughout the six areas where we are currently working and touch communities which have not received the business skills and savings group formation training. There are about 30,000 people who have been accredited literate and numerate who are waiting to receive business skills and savings group training. Savings and credit groups will spread through imitation without need for Five Talents. The savings and loan portfolios will grow as the groups grow. Businesses will prosper through access to affordable loans that are reinvested in the community. Communities will flourish. Economic development will be clearly evident and democracy will be encouraged within the groups and practiced in the groups and in their communities.
What will have had to have changed to make this happen?
We will need additional funding to pay for the training of community facilitators who would, in turn, form savings and credit groups in their own communities. Additional funding would also serve to cover the ongoing operating costs of running the program as well as Monitoring and Evaluation expenses.
What has been the impact of your solution to date?
To date, the program has 378 groups who have graduated into savings and credit groups and who have received financial literacy and business skills training. There are currently 8,459 members of the program with over 40,000 indirect beneficiaries. Now, group members, the majority being women, are able to carry out income-generating activities, including small businesses for their families in particular, and for the community at large. Because group members decide upon the policies and procedures of the groups themselves, democracy is modelled within the group. This encourages peace and attracts new members to the program.
What is your projected impact over the next five years?
We expect to have graduated 440 savings and credit groups by the end of 2012 when the funding finishes. This will have directly impacted close to 9,000 people. Indirectly, over 40,000 more people will benefit, as on average each client has five dependents. The qualitative impact is probably more significant because of the empowerment that comes with being able to read, save, borrow, run a business and provide for the family. This is particularly transformational for women, who are given knowledge and skills to face the daily challenges of rebuilding lives, communities, and civic bodies in a post-conflict environment.
What barriers might hinder the success of your project? How do you plan to overcome them?
The success of the project could be hindered by political instability and insecurity as well as by ethnic tensions in target communities. Lack of funding will prevent the business skills and savings group training to be cascaded down through a network of community facilitators.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
By February 2013, the project plans to be reaching 8,800 people in 440 savings groups.
Task 1
Community facilitators will need to organize groups of community members to join savings groups.
Task 2
Once a group is formed, community facilitators will need to train group members in business skills and savings group formation.
Task 3
Community facilitators will mentor these groups to ensure that knowledge from training is practiced within the group and that me
Now think bigger! Identify your 12-month impact milestone
By September 2013, the project plans to reach approximately 10,000 people in nearly 500 savings groups.
Task 1
Train an additional 110 MULDP facilitators
Task 2
These MULDP facilitators will then start savings groups in underserved communities.
Task 3
Train group members in business skills and savings group formation.
read more↓↑ hide↑ hideTell us about your partnerships
The Mothers’ Union is a global, grassroots network, of 4 million (mainly) women. Motivated by a Christian faith, they are concerned with the wellbeing of life in their communities. In Burundi they have trained over 30,000 participants to become literate. Once the members have become literate, they continue to meet in their groups, and focus on the development needs in their communities. We also partner with the Anglican Church of Burundi.
Are you currently targeting other specific populations, locations, or markets for your innovation? If so, where and why?
We currently have a program in Sudan and South Sudan, which is targeting mostly women. This program uses a similar model to the Burundi program with a goal of building the capacity of local people in literacy, numeracy, business skills and savings group formation with an emphasis on women's rights and civic responsibility in this post-conflict environment. Because of the strong local Mother's Union network, lessons learned from Burundi and the need for this kind of financial and business skills training in Sudan and South Sudan, we are able to implement this program with the Mother's Union.
What type of operating environment and internal organizational factors make your innovation successful?
Five Talents' work is successful because we emphasize building the capacity of local people and partner with community-led organizations and the local church. Local people are best positioned to meet the needs of their community and Five Talents is structured to support them.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
We need additional funding if this program is going to continue to impact more communities and people in Burundi. We also need to ensure that our story is told via marketing pieces and through social media.
Dompet Dhuafa, non profit institution from Indonesia
Created on 09/12/2012 by salomonraydan
OFL mecanismo de Inversión y Crédito, autogestionado y autofinanciado, facilita el acceso a servicios financieros de una manera, sencilla, segura y rentable
Organization: FUNDEFIR
Visit websitemore ↓↑ hide↑ hideCountry where this project is creating social impact
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
More than 5 years
Has the organization received awards or honors? Please tell us about them
Premio a la excelencia, Venezuela competitiva. Finalistas World Development Award, Finalista “ASHOKA” Globalizer 2010
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Scaling (the next step will be growing impact on a regional or even global scale)
How long have you been in operation?
Operating for more than 5 years
Which of the following best describes the barrier(s) your innovation addresses? Choose up to two
Access, Cost, Transparency, Quality, Equity.
The Need: What problem are you trying to solve?
La velocidad de cobertura de los servicios financieros ha sido especialmente lenta. Después de 40 años Las micro finanzas tradicionales han alcanzado menos del 2.5% de la población necesitada y aún existen 2.5 billones de personas sin acceso a servicios bancarios formales. A esta velocidad de crecimiento harían falta más de mil (1.000) años para cubrir la demanda. Estas cifras demuestran que la estrategia de formalización financiera ha sido lenta, costosa e ineficiente. Hace falta un cambio de estrategia que simplifique, abarate y acelere la inclusión financiera. Nuestra propuesta busca esencialmente dar una respuesta a este problema.
The Solution: What is your solution? Be specific!
Mientras menos del 40% de la población usa servicios financieros formales, cerca del 90% usa mecanismos informales. Muchos de esos mecanismos informales están mal diseñados y son de alto riesgo para sus usuarios. Si en vez de tomar el tradicional camino de la formalización, rediseñamos y mejoramos esos mecanismos informales, para otorgarles eficiencia, transparencia y sobre todo seguridad, podremos acelerar sustancialmente con instrumentos sencillos y económicos el acceso a servicios financieros de calidad.
Nuestra solución son grupos locales, auto gestionado y propiedad de sus usuarios, quienes pueden utilizar una metodología segura, para captar fondos entre ellos mismos, con la cual son capaces de cubrir un alto porcentaje de las necesidades de ahorro, crédito e inversión de la población, sin acudir a complejos modelos formales
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
Un grupo de personas se reúne en una comunidad. Discute y establece normas financieras y operativas y luego cada persona compra acciones en base a sus posibilidades. Se reúne un primer capital e inmediatamente se otorgan créditos a quien necesite, se cobran los intereses y al final se hacen los cierres contables.
Días más tarde se reúnen nuevamente. Algunas personas nuevas y otros ya miembros, compran más acciones. Estos montos junto con las cuotas que pagan algunos de los que ya recibieron crédito, permite tener nuevamente capital y otorgar nuevos créditos. Este proceso se repite constantemente, pero como para obtener mayor monto de crédito, debo comprar más acciones, el capital va aumentando progresivamente, lo que permite otorgar más y más créditos. Los intereses pagados constituyen las ganancias, las cuales son repartidas en proporción a las acciones adquiridas. De esta manera el dinero del grupo en vez tomar el costoso camino hacia el sistema formal, se aprovecha para satisfacer de forma rentable, económica y segura, tanto las necesidades de crédito y ahorro, como las de inversión de la comunidad.
Hemos desarrollado un especial sistema operativo y contable, que disminuye drásticamente los riesgos y hace el modelo muy seguro.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
• Nuestros elementos diferenciadores son:
• Utilizamos la inversión y no el ahorro como instrumento de captación.
• Sistema de distribución de riesgo que hace el modelo muy seguro.
• Es un complemento perfecto para la bancarización, pues atiende necesidades muy difíciles de ser satisfechas por los servicios formales
• El modelo operativo y el sistema contable disminuyen riesgos y hacen el modelo muy transparente para sus usuarios.
• Todo está basado en la autogestión, por lo tanto los costos operativos son muy inferiores a otros modelos.
• Incorporamos a la propia metodología educación financiera sin necesidad de actividades extras
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
Un cooperante nos aprobó un proyecto que contemplaba un fondo de crédito que debía ser prestado a las OFL que habíamos ayudado a crear. Hasta ese momento esas OFL habían dado créditos usando solo su propio dinero, pero por necesidad obtener recursos operativos para nuestra ONG, acepte fondos para otorgar créditos a la comunidad. Eso significaba pedirles que prestaran dinero de nuestra fundación y no solo los suyos. El primer grupo que acepto los fondos nuestros vino a mi oficina y me regresó el dinero, argumentando que ellos preferían prestar su propio dinero porque así todos los intereses que pagarían serian para ellos y no para nuestra fundación.
Claramente entendí que el auto financiamiento era posible y bueno para la gente.
Please describe the goal of your initiative; outline what you are trying to achieve
Nuestra solución son grupos locales, auto gestionado y propiedad de sus usuarios, quienes pueden utilizar una metodología segura, para captar fondos entre ellos mismos, con la cual son capaces de cubrir un alto porcentaje de las necesidades de ahorro, crédito e inversión de la población, sin acudir a complejos modelos formales.
Which barrier(s) to financial inclusion does your solution seek to address? (select all applicable)
Physical and other accessibility obstacles that prevent communities from reaching financial services, The lack of affordable financial products tailored to the needs of underserved and excluded communities,, Powerful incentives for financial service providers to move up-market.
If you selected 'other' above, please specify which other barriers to financial inclusion you solution seeks to address:
For which underserved or excluded communities will your solution create access to valuable, affordable, secure and comprehensive financial services?
Nuestro modelo es accesible a cualquier grupo que desee conformarse como Organización Financiera Local, sin límite de ubicación geográfica, educativa o estrato social.
Could your solution work in other geographies or regions? If so, where?
Como emprendedor social mi trabajo es desarrollar modelos, más que ejecutar proyectos, por lo tanto hemos hecho un esfuerzo de probar el modelo en distintas comunidades en el Mundo. Hasta ahora hemos probado en más de 350 comunidades de 12 países de 4 continentes (América, África, Asia y Europa). Hemos replicado entre comunidades rurales, urbanas y semi-rurales. Hemos hecho grupos entre obreros, campesinos, pescadores, estudiantes, gremios, ONGs, etc. Y con niveles educativos muy diversos. Hemos trabajado con comunidades de alta pobreza y de ingreso bajos y medios.
If your solution is dramatically successful, how will things be different in 10 years?
En 10 años habrá un sistema financiero más eficiente, diverso, democrático y propiedad de la gente. Miles de organizaciones locales financiarían las actividades personales o empresariales de sus miembros, con dinero que aportan y gestionan ellos mismos, en una manera diferente de hacer banca, más cercana a los usuarios y que responde exactamente a la necesidad de la comunidad. De esta manera, poblaciones actualmente excluidas del sector financiero formal, contarían con un mecanismo que les daría acceso a servicios financieros de calidad, educativos, rentables y seguros
La banca y las IMF podrán concentrar sus esfuerzos donde son verdaderamente eficientes y rentables. Los estados deberán concentrar sus esfuerzos en supervisar a la banca formal, mientras que solo facilitarán instrumentos legales para que los grupos se auto-regulen.
What will have had to have changed to make this happen?
• En primer lugar tendría que aceptarse que en las comunidades existen suficientes recursos económicos y humanos, para gestionar servicios financieros propios, seguros y de calidad.
• Cambiar el viejo paradigma que considera todo mecanismos financiero informal como perverso e ilegal
• La Banca tradicional debería iniciar un proceso de apertura y apoyo a estas iniciativas, lo cual además le permitiría contar con aliados locales que facilitarían el acceso a nuevos clientes, en los niveles de montos y localización rentables para ellos.
• Los gobiernos deberán desarrollar el marco legal para la supervisión de estos grupos, para darle mayor seguridad y confiabilidad al sistema.
• Mayor consciencia de que la auto regulación financiera es posible si todos son propietarios.
What has been the impact of your solution to date?
Hemos probado el modelo en más de 350 grupos, en 12 países de 4 continentes. Con estos ensayos hemos llegado a más de 20 mil miembros directos y cerca de 100 mil indirectos. Hemos logrado movilizar en inversión local más de 50 millones de dólares entre sectores de alta pobreza, utilizando únicamente dinero aportado por la misma comunidad. Esos 50 millones de dólares han permitido desarrollar actividad económica por cerca de 400 millones de dólares adicionales y se han generado ganancias superiores a 15 millones de dólares que en vez de ir a agentes externos, han ido a las manos de los mismos miembros de la comunidad. El promedio actual de duración de nuestros grupos es superior a los 8 años
What is your projected impact over the next five years?
El modelo de Organizaciones Financieras Locales OFL se habrá expandido a todos los países de América Latina y comenzara a ser una alternativa financiera valida y reconocida como resultado de dos estrategias para la globalización, claramente definidas:
• Alianzas con Socios Locales en cada uno de estos países, que promuevan el desarrollo de un Programa de Creación de Organizaciones Financieras Locales a nivel Nacional
• Desarrollo de una plataforma tecnológica, que facilite la creación, gestión y seguimiento de las Organizaciones Financieras Locales, para todas aquellas personas con acceso a Internet o telefonía celular, que deseen conformar su grupo de autofinanciamiento.
What barriers might hinder the success of your project? How do you plan to overcome them?
Falta de confianza en el modelo. Esto se ve reflejado en la creencia de que se estaría apoyando un sistema inseguro que podría estafar o generar pérdidas de capital a los usuarios. Para ello hemos desarrollado un sistema de funcionamiento, supervisión y revisión, que garantiza la seguridad de los fondos. Este sistema cuenta con procedimientos sencillos pero eficientes de control, un sistema de registro de operaciones, que facilita la rendición de cuentas, así como indicadores financieros y de gestión que brindan transparencia al sistema.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Consolidación de la Plataforma Virtual para Creación, Gestión y Seguimiento de las Organizaciones Financieras Locales.
Task 1
Desarrollar la plataforma tecnológica para la gestión y expansión del modelo.
Task 2
Desarrollar un plan de mercadeo del modelo
Task 3
Gestionar las primeras alianzas estratégicas a nivel de países latinoamericanos.
Now think bigger! Identify your 12-month impact milestone
• Lanzamiento de la Plataforma Do it yourself Banking en América Latina
Task 1
Aliados Internacionales para el desarrollo del Programa Do It Yourself Banking en cada país de América Latina identificado
Task 2
Promoción del uso de la metodología, de acuerdo al Plan de Mercadeo establecido
Task 3
Alianza con al menos una institución financiera formal que contribuya a darle reconocimiento al modelo
read more↓↑ hide↑ hideTell us about your partnerships
Hemos hecho Alianzas con otras Organizaciones de Desarrollo y fellows de Ashoka, con la finalidad transferirles el modelo y desarrollar un programa de Organizaciones Financieras Locales como complemento de su acción.
Necesitamos alianza con Empresas consultoras para el desarrollo de un plan de negocios para la expansión del modelo y con la banca Comercial para la identificación de potenciales clientes de microcrédito entre los asociados de las Organizaciones Financieras Locales existentes
Are you currently targeting other specific populations, locations, or markets for your innovation? If so, where and why?
Estamos trabajando en programas de tamaño medio en venezuela, colombia, españa y senegal. Tenemos ensayos de la metodologia en chile, republica dominicana, Portugal, haity, indonesia y hemos probado con anterioridad en bolivia y brasil. Estamos trabajando en comunidades muy diversas, campesinos, imigrantes, zonas urbanas, rurales, grupos de estudiantes, gremios profesionales in lusive un grupo con los fellows de Ashoka en venezuela.
What type of operating environment and internal organizational factors make your innovation successful?
Una organizacion muy pequeña, dinamica y tecnologica, orientada y centrada en el tema de la expansion metodologica. Un altisimo proceso de sistematizacion de la metodologia que nos permite haber recogido los errores y exitos de los muchos ensayos que hemos realizado en mas de 350 comunidades y tener productos metodologicos practicamente para cada realidad y comunidad.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
Estamos especialmente interesados en apoyos legales, de marketing y medios de comunicación.
Ofrecemos cooperación gratuita a otros Emprendedores Sociales con transferencia de nuestra metodología para ampliar y profundizar las acciones que realizan en las comunidades
opening a small business a Bakery and locally grown vegetables. Ideas are to: to flated the back yard 30' X 60' area and put down about 4-6 inches of concrete; local value added fibre to build 30to 60 planters boxes (5' X 3') (Potatoes, Carrots, Beets, Sweet Peas, Turnips, cabbage, tomatoes) with a 5 year plan of expanding the growing areas and to include more vegetables as the business grows.
Local Bakery: Home baked breads, buns, pies, cakes, cookies, muffins, pepperoni cheese sticks, with the plan to increase a varity of home baked goods.
Dried fruits as snacks presents that very healthy alternative – as it has no preservatives, its natural healthy fruits that still contain all their necessary nutrients and has no adverse health effects to the human body.
This type of business presents a good investment opportunity to investors because of the population of Nigeria and the attractiveness of the industry.
Created on 09/11/2012 by cesolutions
MicroConsignment creates an opportunity for first-time women entrepreneurs to gain access to financing so that they can create access to life-changing products.
Organization: Community Enterprise Solutions
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Community Enterprise Solutions
Organization Country
United States, NY, New York, New York County
Country where this project is creating social impact
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
More than 5 years
Has the organization received awards or honors? Please tell us about them
Greg Van Kirk is an Ashoka-Lemelson Fellow and a member of Ashoka Globalizer, Clinton Global Initiative and the Siemens-Siftung Community Impact Development Group. In 2012 Greg Van Kirk was named Social Entrepreneur of the Year Latin America by the Schwab Foundation.
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read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Scaling (the next step will be growing impact on a regional or even global scale)
How long have you been in operation?
Operating for more than 5 years
Which of the following best describes the barrier(s) your innovation addresses? Choose up to two
Access, Equity.
The Need: What problem are you trying to solve?
The vast majority of families throughout the developing world have virtually no access to technologies that can save them money/increase their productivity such as improved cookstoves, reading glasses, solar lamps and more. Very few organizations/businesses know how to sell these technologies and are doing it. These markets are totally underserved. Families are effectively forced to waste money and time that could be saved or invested. Why does this problem persist? In large part, because a financing mechanism that can empower entrepreneurs to serve these disenfranchised families profitably has yet to be promulgated.
The Solution: What is your solution? Be specific!
The MicroConsignment Model is essentially a product loan/revenue-sharing model that finances women to start enterprises for the first time selling these much-needed solutions in isolated communities. It helps women in developing countries, usually homemakers with extremely limited employment opportunities, to start entirely new businesses with new and innovative products. Using a combination of a consignment-based model and extensive training and support, the MCM finances women to start businesses for the very first time that otherwise would not be able to and earn up to $1.50 per hour on average, an income which they are then able to save or invest in their families. The products and solutions that they offer create opportunities for purchasers to save money that they in turn can reinvest in their own businesses, school for their children and more.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
The MCM converts uncertainty into opportunity. Through the MCM, primarily rural women are identified, trained, supported and equipped with a basket of life-changing solutions such as improved cookstoves, reading glasses, water purification buckets, solar lamps and more. The model utilizes a consignment financing mechanism that empowers women entrepreneurs to overcome high levels of uncertainty from both a professional and market demand perspective. These entrepreneurs hold village campaigns at which they provide free services and sell urgently needed solutions at affordable prices. The villager gains access to solutions that create investment capital by removing inefficiencies and/or increasing productivity and the entrepreneur invests their time and “sweat equity” in a venture in which they can earn a profit from their first sale without taking on a debt burden. Risk is allocated appropriately. A rotating capital mechanism is which empowers a local social enterprise to gain profitability. In addition, the MCM incorporates a social impact points program in which the implementing organization provides a match on entrepreneur earnings for high impact products. This match is deposited into a savings account opened in the entrepreneur’s name. This account integrates the entrepreneur into the formal banking system, often for the first time in her life. Ideally, this is the beginning of a process that includes increased access to other financial services such as credit. To date, our MCM has created $3.5 million in direct net economic impact.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
Microfranchising is a commonly cited entrepreneur-based model used to create new businesses, but, while very appropriate for use with consumables with a known market, it doesn’t allow individuals to start new businesses in uncertain environments without the risk of a loan. In a credit model like microfranchising, the entrepreneur buys products on credit, sells them and uses revenue to pay back the loan. When she can’t sell, she is left with both inventory and debt. The MCM works in reverse. The entrepreneur is provided with products at no cost, sells them, pays the supporting organization, and pockets her profits—only after completing a sale. If she doesn’t sell, the repercussions are different from those of microfranchising: she can sell another day without the burden of a debt payment.
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
While working in rural Guatemala in 2003, I (Greg Van Kirk) was looking for a sustainable means to deliver improved cookstoves to villagers. I recognized there was a vacuum between donation and credit-based solutions. This was the genesis of the development of the MicroConsignment Model. Over the next few years I saw that this new model could work for myriad solutions beyond cookstoves by creating business opportunities for local entrepreneurs. Based on proven success and continuous recognition we concluded that we had developed a solution that could potentially improve the lives of millions of people. I love what I do and am passionate about my work, but most importantly I feel a moral obligation to increase our impact. The MicroConsignment Model serves a universal need. As the originators it is our obligation to create awareness, teach, train and support on the broadest scale possible.
Please describe the goal of your initiative; outline what you are trying to achieve
Our goal is to expand the global implementation of the MCM, increasing access to financing for women entrepreneurs to start new businesses creating access to products and solutions with an economic benefit. We believe that expansion of the model will lead to the global financial inclusion of entrepreneurs and purchasers of these products. Over the next 3 years, we project that through the MCM, entrepreneurs throughout the developing world will sell more than 100,000 products, creating a net economic impact of at least $2.5 million for more than 250,000 people living in underprivileged communities. They will do this while generating approximately $280,000 in net earnings for themselves and local leadership.
Which barrier(s) to financial inclusion does your solution seek to address? (select all applicable)
The lack of affordable financial products tailored to the needs of underserved and excluded communities,, Other (Please describe below).
If you selected 'other' above, please specify which other barriers to financial inclusion you solution seeks to address:
The lack of financial products that allow entrepreneurs to start up businesses in new and/or uncertain markets
For which underserved or excluded communities will your solution create access to valuable, affordable, secure and comprehensive financial services?
The model primarily serves two groups of beneficiaries: first-time women entrepreneurs and village families. Women entrepreneurs are typically between the ages of 18 and 55 with limited education, little business experience and few (if any) income generation opportunities. The MCM allows them to generate income and open a savings account usually for the first time, putting them on the path to full financial inclusion. They are able to start businesses that they would never be able to using only microcredit. Village families save money and increase productivity by purchasing previously unavailable solutions to local needs. The village families generally live in communities with populations of between 500 and 5,000 inhabitants. These communities lack access to even the most basic products and services. The MCM creates economic opportunity for the first time for women entrepreneurs and economic security for the first time for village families.
Could your solution work in other geographies or regions? If so, where?
After beginning in Guatemala in 2004, the MCM has now been replicated in Ecuador, Nicaragua, South Africa, the Dominican Republic and Haiti. Successful feasibility studies have been conducted in Peru, Mexico and Egypt. The MCM can be replicated in any region where there are individuals interested in starting new businesses and isolated villages that lack access to basic products such as reading glasses, water filters, solar solutions and more. Our plan is to establish incubators in different regions throughout the world to create appropriate modifications and scaled impact.
If your solution is dramatically successful, how will things be different in 10 years?
If the MCM continues to be successful, in ten years the global landscape for starting new and uncertain businesses will be dramatically different. Individuals with an interest in entrepreneurship but without a business background or education will have access to financing in order to be able to “test drive” an entrepreneurial opportunity and generate an income with taking on the risk associated with a loan. These entrepreneurs will have access to savings accounts and over time, other financial services. And through their businesses, they will create access to products and services that provide a high economic return from a savings/cost avoidance/productivity increase perspective for isolated villagers throughout the world. These villagers will have the economic security that comes with being able to save more and spend less.
What will have had to have changed to make this happen?
In order for the global landscape of entrepreneurship in new and uncertain markets at the base of the pyramid to have changed dramatically, the MCM will have had to have been implemented in regions across the world. Organizations working to support villagers throughout Latin America, Africa, Asia and the Middle East will have had to adopt the MCM as a successful part of their activities. For there to be a true shift in the opportunities available to new entrepreneurs, the MCM cannot expand only under the name of CE Solutions. We must work to make the model as replicable as possible so that NGOs working on a range of other initiatives can add the MCM to their array of initiatives. We will have had to have spent a good deal of time over the next ten years focusing on creating an intelligent and efficient mechanism for the continuing global expansion of the MCM, which is precisely what we plan to do.
What has been the impact of your solution to date?
The MicroConsignment Model (MCM) is currently operating in six countries (Guatemala, Ecuador, Nicaragua, South Africa, the Dominica Republic and Haiti). We are working with partners in Egypt, Peru and Mexico to increase global use of the model. Our entrepreneurs have conducted over 3,500 village campaigns offering a mix of 15 base-of-the-pyramid product solutions and earning over $150,000 while doing so. More than 95,000 products have been purchased generating over $3.5 million in net economic impact to more than 175,000 direct beneficiaries.
The MicroConsignment Model has impacted the lives of tens of thousands of rural villagers in developing countries. Entrepreneurs gain not only a source of income, but also a path towards financial inclusion through access to savings accounts for the first time. Community problems are addressed by these entrepreneurs, limiting the need for continuous relief work, keeping communities healthier and creating economic security.
What is your projected impact over the next five years?
Over the next five years, we project that through the MCM, entrepreneurs throughout the developing world will sell more than 200,000 products, creating a net economic impact of at least $5 million for more than 500,000 people living in underprivileged communities. They will do this while generating approximately $540,000 in net earnings for themselves and local leadership and making regular deposits to new and previously unattainable savings accounts. We also intend to increase the impact of the MCM by increasing our capacity to train and provide assistance to organizations interested in implementing the model.
What barriers might hinder the success of your project? How do you plan to overcome them?
The MCM has been successful for over eight years. We have created profound impact in the most marginalized communities. The challenge now is determining how to effectively and efficiently expand our impact on a global level.
We have identified three primary challenges. We need financial resources. To overcome this obstacle, 80 percent of our financial resources needs are addressed through sales, income in the field, and our innovative Social Entrepreneur Corps internship program. We need strategic partners in new countries. We can reach out and create partnerships through our Ashoka network. And we need to capture and spread knowledge of and about the MCM. We have launched the Center for MicroConsignment at Miami University to foster this dissemination.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Successful launch of pilot program in the Middle East with two local partners
Task 1
Finalize feasibility study with Together Foundation and Association for the Development and Enhancement of Women in Up. Egypt
Task 2
Send senior staffmember to conduct trainings and arrange administration and logistics
Task 3
Import eyeglasses, solar lamps and water purifiers
Now think bigger! Identify your 12-month impact milestone
Successful launch of an enhanced knowledge sharing platform and global replication fund
Task 2
Secure mutually beneficial arrangements with impact investors
Task 3
Disseminate knowledge throughout Ashoka, CGI and Schwab Foundation networks regarding the opportunities
read more↓↑ hide↑ hideTell us about your partnerships
Village leadership is the gateway to the community. Entrepreneurs work with them to assess needs and promote campaigns. Grassroots organizations help us identify entrepreneurs and support activities and growth. We partner with technology/product providers such as VisionSpring, Barefoot Power and Catapult Design to identify new opportunities, modify technologies and support each other. We have partnerships with universities throughout the US. We have created the Center for MicroConsignment at Miami University as a strategic partner. We work very closely with Ashoka and Lemelson.
Are you currently targeting other specific populations, locations, or markets for your innovation? If so, where and why?
We are currently focused on Latin America and Africa as we feel that given our experience in these two regions we are currently most capable of expanding the model successfully in these areas. Having extensive experience with the various cultures in Latin America and Africa makes us most confident in our ability to adapt the model to other countries within these regions. We are specifically targeting Peru, Mexico and Egypt as we have strategic partners in these three countries that are interested in working with us to replicate the MCM as part of their activities.
What type of operating environment and internal organizational factors make your innovation successful?
CE Solutions operates in a collaborative and conversational environment. We are constantly discussing new iterations of the model and testing new ideas to see what works and what doesn’t. We have both a top-down and a bottom-up approach: some of our best ideas for new products, programs and processes have come from entrepreneurs out in the field. It is important that everyone on our team feels that their opinions and ideas are valued – the nature of our work means that oftentimes our field consultants are the ones most in touch with what would work best on the ground. Our savings account match program began only after discussing the idea with the entire team and getting everyone’s input. The MCM is successful because it leverages the ideas, values and perspectives of every stakeholder.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
Created on 09/11/2012 by Asante Mama
Asante Mama is dedicated to improving the health and wealth of east African women, their families, and their communities.
Organization: Asante Mama
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Is your organization a
Hybrid
How long has your organization been operating?
1‐5 years
Has the organization received awards or honors? Please tell us about them
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read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Growth (your pilot is up and running, and starting to expand)
How long have you been in operation?
Operating for 1‐5 years
Which of the following best describes the barrier(s) your innovation addresses? Choose up to two
Cost, Quality.
The Need: What problem are you trying to solve?
Women are the cornerstone of society. Yet in sub-Saharan Africa many women remain challenged to meet the basic needs of their families. The result is a cycle of poverty that keeps women and their families stuck in the Survival Trap. This Survival Trap is rooted in the tendency to focus on short-term crises at the expense of developing long-term strategies for prosperity. Focusing on helping women escape this trap will have tremendous ripple effects.
The Solution: What is your solution? Be specific!
Asante Mama is an indigenous social enterprise that provides women's groups throughout east Africa with multidimensional solutions focused on building their capacity for Health and Wealth (Whealth). Solutions include access to innovative technologies, financial tools and planning, and entrepreneurship education. Our approach is both emotional and functional, with the ultimate goal of appreciating mothers, while also empowering them with essential tools for prosperity.
By leveraging the existing infrastructure of women's groups throughout Kenya and Uganda, Asante Mama is able to connect with thousands of women to unleash WHealth solutions. We work with women's groups to manage their finances and create collective savings plans with which they can contribute towards products and tools for one another, launch micro-enterprises, and leverage as a collective credit and insurance policy.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
On a daily basis, we meet with women's groups to train them on financial management, such as expense tracking, budgeting, and how to collectively save. We then offer groups products that reduce expenses or improve quality of life, such as solar lamps, energy efficient cook stoves, water filtration systems, and micro-savings. We use our digital platform to examine product penetration among groups, extrapolate savings, and then layer on financial tools as groups are ready to receive them. In this manner, there is a constant monitoring and evaluation process that occurs and groups are carefully cultivated in their financial development.
As an example, once we've sold 10 solar lamps that save 1,500KES/month to a group of 10, the group is approximately 15,000KES wealthier the following month. We then go back to the group and layer micro-savings products, so that groups have a way to manage their money. The next step is to examine their monthly savings and help the group make capital investments to grow their wealth. For our enterprising groups, we plan to leverage our digital platform to open market access globally. We extend products to groups on credit and are the only organization we know of that does that. Because we work with groups to collectively save, the group savings is collateral against a defaulter.
We also connect groups with insurance providers, micro-lenders, and other economic development stakeholders. We act as a guarantor for women groups in our network.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
Asante Mama exists in a marketplace of collaborators, not competitors. We believe that creating shared value is key to unlocking community potential and we look forward to partnering with organizations that share our vision and mission.
Asante Mama partners currently include World Vision, CIC Insurance, KCA University, and Family Media. These peers support our efforts by teaming up with us to deliver effective programming, provide access to services, and build the capacity of our organization.
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
Asante Mama began as a CSR initiative of PULSE Experiential, a below the line marketing agency in east Africa. PULSE had worked with women's groups for many years, promoting products for multinational corporations. Each year that PULSE teams would go back and revisit groups, they would find the women no better off, or in many cases, worse off than the year before in terms of health and economic viability. Something had to be done to help these women improve their lives. Not only did it feel like a moral imperative, but these women were key stakeholders in the profitability of the company. Thus, Asante Mama was born.
Please describe the goal of your initiative; outline what you are trying to achieve
Our goal is to create virtuous cycles within the communities where we work and help women escape the survival trap. We want to offer long term financial and life solutions that will build capacity for prosperity. We want every woman to have the dignity of financial sustainability and feel empowered to achieve their own goals.
Which barrier(s) to financial inclusion does your solution seek to address? (select all applicable)
The lack of affordable financial products tailored to the needs of underserved and excluded communities,, Other (Please describe below).
If you selected 'other' above, please specify which other barriers to financial inclusion you solution seeks to address:
Trust; Asante Mama builds relationships. Women mistrust financial institutions and vice versa. We can bridge that gap.
For which underserved or excluded communities will your solution create access to valuable, affordable, secure and comprehensive financial services?
Women living on less than $2/day throughout east Africa.
Could your solution work in other geographies or regions? If so, where?
Absolutely. Imagine fiber optic cable meets Avon ladies meets insurance company data mining. It's not region specific, although mobile penetration in east Africa enables our effective operational model.
If your solution is dramatically successful, how will things be different in 10 years?
We will solve poverty in sub-Saharan Africa.
What will have had to have changed to make this happen?
Micro, macro, and institutional reform. Behavior change. Proliferation of innovative tools (MPESA) that circumvent the mainstream financial system which excludes base of the pyramid communities. Recognition of the power of local innovations and that the solution will come from within communities.
What has been the impact of your solution to date?
We redeployed our model in July. In Kenya, we've sold over 200 products, generating approximately $2,400 in savings. We've also held two Leadership Summits in Kenya. At the second summit, we launched our micro-savings initiative and achieved 16% penetration. We've sold 508 products in Uganda. There are approximately 1,800 women in our Kenya network and 1,200 in Uganda.
What is your projected impact over the next five years?
We currently have 3,000 women in our network and over the next five years, we plan to grow that figure to 20,000.
Our projected impact is that groups in the Asante Mama network achieve savings of 50%-70% on their household expenditures and use those savings to invest in solutions that foster sustainability and gain access to financial services.
With our entrepreneurial contests, we hope to provide groups with the training, resources, and motivation needed to accelerate growth, sustainability, and impact. Hosting quarterly contests will enable us to significantly promote entrepreneurship among 60 groups/year. Using financial tools and a digital platform, we will expand market access for women.
What barriers might hinder the success of your project? How do you plan to overcome them?
Access to manageable capital is a challenge. While we can secure loans from the bank, in east Africa, interest rates are 20%. For a social enterprise that relies on credit sales to low-income women, the rates are too high to be sustainable. While we are managing, we could have accelerated impact if we could secure low- or no interest loans. Bad debt is also a significant challenge. We are the only organization we know of offering products to women on credit. Because we work with women at the base of the pyramid, our default rate is high. This makes it challenging to cover our cost of goods sold and have money left over to reinvest in our programming, including leadership, health, and entrepreneurship initiatives. We've tightened our credit policy, but are still vigilant.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Scaling program country-wide in Kenya
Task 1
Recruit and train 10 additional Asante Mama ambassadors
Task 2
Open branches in Kisumu and Mombasa
Task 3
Develop distribution system
Now think bigger! Identify your 12-month impact milestone
Scale program via dissemination of information
Task 1
Build an Asante Mama SIM application for ordering products, contributing to savings, and receiving content
Task 2
Franchise model to sub-distribute to women
Task 3
Launch successful entrepreneurship contest
read more↓↑ hide↑ hideTell us about your partnerships
PULSE Experiential, CIC Insurance, World Vision, Barefoot Power, The Paradigm Project, East Africa Energy, D-Light, Vestergaard Frandsen, Carolina for Kibera, Family TV, Shining Hope for Communities, and Women's Enterprise Fund are our current partners. These partners support our efforts via resources, finance, supplies, and promotion.
Are you currently targeting other specific populations, locations, or markets for your innovation? If so, where and why?
We're looking to open an office in Rwanda. It is still in the works. Otherwise, we're focusing on urban, semi-urban, and rural populations in Kenya and Uganda. Also brainstorming a similar initiative with men that focuses on conservation along the coast. It will be focused on getting men access to financial products to run their own micro-enterprises. Financial inclusion is an important issue among that population that has sever economic, ecological, and security implications.
What type of operating environment and internal organizational factors make your innovation successful?
The existing landscape of women's groups; the intrapreneurial culture of Asante Mama and the willingness to train and learn about cloud technologies; mobile penetration in east Africa.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
We're always interested in growing our network of partners and learning about new solutions. We've also got vast experience working with low-income communities in Africa, so we can provide advice to anyone looking to work in that space.
Created on 09/11/2012 by ccarias
We are a not for profit organization who's vision is to develop and promote alternative solutions for sustainable local economic development opportunities.
Organization: Social Trade Organisation
Visit websitemore ↓↑ hide↑ hideOrganization Name
Social Trade Organisation
Organization Country
Honduras, FM, Tegucigalpa
Country where this project is creating social impact
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
More than 5 years
Has the organization received awards or honors? Please tell us about them
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Growth (your pilot is up and running, and starting to expand)
How long have you been in operation?
Operating for more than 5 years
Which of the following best describes the barrier(s) your innovation addresses? Choose up to two
Cost.
The Need: What problem are you trying to solve?
We address the problem to solve through four dimensions 1. Strong barriers of entry for financial services for underserved communities (especially women) for generation of endogenous and resilient local economic development. 2. Strong patterns of consumerism as opposed to investment and entrepreneurial activities in relation to money received via remittances, creating weak local money flows that affect demand and supply dynamics that translate into revitalization of the local economy. 3. Paternalistic schemes from target groups and insufficient funds from implementing institutions to grant cash start ups for small businesses. 4. High costs of sending fees of remittances and unavailability of nearby agencies to collect them, posing a security threat for families who travel to collect them.
The Solution: What is your solution? Be specific!
Our solution is twofold: internalization of outward money flows through administration of remittances via mobile phone, into a local business network, and, a local campaign for revitalization of local money flows and entrepreneurism based on already existing assets. Remittances are administered by senders using special software developed by STRO, to be used for purchases related to fulfilling immediate needs of remittances receivers in a local business network. Also, community workshops will be delivered on awareness generation on how each individual is an agent for change if most of his expenses and investments take place within the community (the more times money changes hands, the more income each person has), promoting an entrepreneurial attitude towards unfulfilled market niches, providing services of coaching for regeneration for potential entrepreneurs who wish to establish a new business idea.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
A mother of two is trying to thrive in her “quesadillas” business. She has tried to sell them to the local markets but they have refused due to her low production capacity. She has also tried to raise funds through a small loan but has been declined by local financial institutions due to her inability to produce collateral. Her husband sends a small monthly remittance that she must collect in town, which is 20km away from her community, which supposes a security threat from carrying cash on public transportation where assaults frequently occur. After attending an awareness generation community workshop, this woman finds more clients willing to buy her products, including local small stores. She has also found support to upgrade her business through the coaching for regeneration sessions, pre-selling "quesadillas" tickets to her neighbours, who pay in advance and collect their product on the weekends. Her father has agreed to lend her one cow to diversify her business and start salling also cheese, having one of her teenage daughters help her on the weekend. Also, her husband now pays directly to local stores from the US a monthly fixed amount to provide groceries, thus, she has to travel to collect the remittance less often, and carries less cash with her.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
We have no competence regarding our approach to local economic development, since our project does not grant money or technical assistance to our target groups, but spaces for joint analysis of local money flows and how they can benefit the local economy through behavioral changes and new business start ups, using already existing assets and networks. Regarding remittances, our competence are transnational agencies such as western union, which do not reach the local level that this proposal pursues regarding a local business network. Both instances therefore complement already existing efforts for improving access and use of financial alternative services for the economically disadvantaged.
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
Our moments: Seeing how many people were active using cell phones, although the area of Quilali is very remote and isolated, we saw great potential to use them to increase connectivity and access to financial services for this underserved community. People were also very hopeful in knowing that they wouldn’t have to travel far anymore to collect remittances, due to high robbery rates in the area. Also, we noticed many young men drinking beer early in the morning, who received remittances, complaining about unavailability of jobs. We then thought that through assets based approach, these young men could realize how to make idle resources work for them, through promotion of entrepreneurism instead of consumerism of remittances received. in the words of the regional director of a partner implementing institution: “If I had known of this approach before, we would have streamlined it and used it in our programs for development a long time ago, given the sustainability it implies.
Please describe the goal of your initiative; outline what you are trying to achieve
The main objective is to disseminate an innovative system that involves migrants in local economic development processes of their rural geographic area of origin, facilitated by the use of mobile phones, informatics, economic literacy workshops and the construction of community endogenous regeneration values. This project addresses problems related to migration and remittances as well as the opportunities that this fact brings along, through an integral approach. The goal is to generate a 15% costs reduction regarding transference of remittances through the use of internet based software, improving their use by spending them in a local rural business network through the use of POS and SMS, strengthened by a local campaign for maximization of local money flows for generation of LED.
Which barrier(s) to financial inclusion does your solution seek to address? (select all applicable)
Physical and other accessibility obstacles that prevent communities from reaching financial services, The lack of affordable financial products tailored to the needs of underserved and excluded communities,, Other (Please describe below).
If you selected 'other' above, please specify which other barriers to financial inclusion you solution seeks to address:
Alternative endogenous solutions for complementing financial services
For which underserved or excluded communities will your solution create access to valuable, affordable, secure and comprehensive financial services?
We hope to spread our approach to rural communities in Honduras, El Salvador and Nicaragua. These communities are characterized by economical activities related to subsistence agriculture, small businesses, high levels of migration to the U.S. (implying remittances) and employment in sweatshops in the closest bigger cities. The communities we wish to approach show high levels of isolation from regional economic activity, due to weak infrastructure regarding roads, which indirectly leads to lower levels of access to education and health. Also, previous development interventions have created dependency dynamics among people in these communities, meaning that their inhabitants expect to receive financial support from institutions who implement projects, which is a behavioral pattern we expect to transform.
Could your solution work in other geographies or regions? If so, where?
Yes, our solution can work in any region that displays similar characteristics to the ones described in the last question, which are very common in rural Central America. Our actions are appropriate for communities that show high levels of income generated through remittances and low levels of economic growth linked to investment of remittances received, thus , showing strong pattern of external consumerism and great potential for revitalization of the local economy. The model can be replicated wherever there is unavailability of convenient local systems to collect remittances that would help avoid exposure to robbery and security risks. Furthermore, according to current research in the field of remittances, senders often feel frustrated because they have little influence on how the money they send is spent by their families back home. Our model can work in any community where remittances senders would like to be more involved in the investing and spending decisions their families make
If your solution is dramatically successful, how will things be different in 10 years?
We expect our model to have consolidated and still be generating benefits to the local community due to a behavioral voluntary change on the perception of poverty by our target group. In ten years, we imagine people in rural communities of the central American region enjoying the benefits of having established their own small businesses, creating a vibrant local economy where offers and demands successfully meet. We also expect to have generated higher levels of satisfaction from remittance senders, who would fully support the creation of a better socio economic environment in their communities. Finally, we expect our model to have geographically spread into other communities in the Central American region, through partner local institutions.
What will have had to have changed to make this happen?
Changes required to make this happen can be seen in progressive steps. The first change regards a mindset change towards appreciation of local assets, including creativity, reliability and self-esteem by our target group. We expect to achieve this change by delivery of tailor made community workshops and coaching sessions tackling these pressing issues. On second instance, remittance senders would have to be motivated by a better use of the money they send to their families back home, which we expect to accomplish through awareness generation campaigns regarding the potential of local money flows to boost the local economy. Finally, we would have to be able to fully develop our activities at pilot level and to disseminate results among the region, to spread the methodology and its benefits for its users.
What has been the impact of your solution to date?
So far, we have implemented our solution through the first stage of a pilot project. Technical results have been achieved, such as running feasibility studies, coverage investigations of the mobile network, etc., but the main results regarding improvements in the local economy are yet waiting to take place after settling necessary technicalities in the field. However, due to community workshops on awareness generation on the importance of local money flows, remittances receivers have already increased their consumption patterns towards local products, as evidenced by a local cooperative store.
What is your projected impact over the next five years?
Remittances transferred through this channel add 10% multiplier effect in the local economy. 15% of the remittances sent through the local business network can be used to create additional credit by partners.For example, in two different communities, 2000 clients will receive remittances via mobiles, leading to90% reduction of time collecting and 10% cost reduction. Also, we would expect 4000 migrants from the target group use the system to transfer remittances.We expect 10% of participants develop a business idea and request coaching, 1/3 of which implement ideas in less than year (250 created businesses).Proportion of business ideas implemented with remittances’ funds increases in 30%, and 60% of the participants acknowledge change in consumption patterns benefitinf the local economy.
What barriers might hinder the success of your project? How do you plan to overcome them?
The innovative character of the methodology poses a challenge, given that project officers are merely facilitators of local community mobilization and “coachers” of entrepreneurs (in case they request it), not advisors or experts that provide solutions to local communities. This shift demands openness towards a behavioral change from the project officers and a break-down of assistentialist patterns from communities. To overcome this, STRO provides close advisory and includes additional methodological “reinforcement” sessions to the basic training program, including also adaptation to specific conditions of the target group. Regarding remittances administration, some countries have intricate regulatory processes for approval of our procedures. To overcome this, we advance legal work before
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Task 1
Institutional teams trained in our approach to LED
Task 2
Business network for remittances administration organized and set
Task 3
Awareness on the importance of local money flows has been developed by local population
Now think bigger! Identify your 12-month impact milestone
Task 1
Institutional teams are able to replicate our approach to LED
Task 2
Business network for remittances administration in full operation
Task 3
Behavioral changes in respect to spending and investing patterns have taken place; new local businesses have been set.
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The new economics foundation is our mentor in the proposed methodology, after undergoing an adaptation to the Latin American context. We maintain contact with NEF through monthly virtual meetings, along with different organizations who are implementing the methodology in Brazil, Israel, Mozambique and South Africa, to share lessons learned, techniques and ideas.Implementing partner organizations have been: World Vision/ Honduras, the NGO REDES in El Salvador, FAO and the Human Development Center (CDH in Spanish, funded by NGO CESAL) in Honduras, and the cooperative “20 de abril”in Nicaragua
Are you currently targeting other specific populations, locations, or markets for your innovation? If so, where and why?
What type of operating environment and internal organizational factors make your innovation successful?
Full participation of partner local institutions, strong consultative processes with them, highly participative processes to approach target groups and high value of innovation over precision, which fosters continuous improvements in classical approaches to local economic development. Also, continuous networking with institutions worldwide who use alternative approaches to economic development allows us to further innovate on out own proporsals.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
Musoni is a social enterprise that establishes best-practice microfinance institutions and uses technology to lower costs, reduce risk and improve efficiency.
Adelante's primary mission is to empower poor women in rural areas of Honduras to start up or expand their own small businesses. This enables them to improve the standard of living of themselves and their whole family. We achieve this by making small loans and providing bi-monthly business education lessons.
under construction
The neighborhood Tereza Cristina is a small slum city Criciúma/ SC.
Around him find other poor neighborhoods: Paraíso, Santa Augusta, São Francisco, Boa Vista and Imperatriz.
Together neighborhoods have a population of 20 thousand people.
The income is low, more than 70% of the population has completed primary education, 7% unemployed and 13% this works as a standalone, small business owner or unregistered, no bank or credit union next.
Awamaki works with rural Andean women's cooperatives to create internationally marketable garments and accessories that are born of traditional woven techniques and designs. The project offers rural women a significant income and the opportunity to improve their skills and access to market; it also revitalizes an endangered weaving tradition and way of life.
Created on 09/5/2012 by Aaron Tait
Spark* enables emerging local changemakers in some of the poorest places on the planet. We do this in three ways. Firstly through the Spark* Summits - powerful training for emerging changemakers, the Spark* Network - connecting emerging changemakers across the globe, and the Spark* Fund - real money for changemakers to launch and build their local projects.
Organization: Spark* International
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Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
1‐5 years
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Enabling emerging local changemakers in some of the poorest places on the planet.
Select the stage that best applies to your solution
Growth (your pilot is up and running, and starting to expand)
How long have you been in operation?
Operating for 1‐5 years
The Need: What problem are you trying to solve?
There are too many high potential social entrepreneurs in some of the poorest places on the planet who are not achieving the impact they could have in their communities. In the townships, slums and villages where we work, we meet many passionate, driven and intelligent young leaders. In our experience, none of them have heard of Ashoka, Skoll or the term ‘social entrepreneurship’. While they have great ideas for change, the realities of living in a developing country and a lack of support means that too few of these individuals turn their ideas into action. The best solutions to poverty come when local leaders stand up with local solutions to local challenges. At present, too many local leaders are not reaching their potential.
The Solution: What is your solution? Be specific!
Spark* enables incredible local changemakers in some of the poorest places on the planet. We do this in three very simple ways. We begin by identifying fifteen emerging leaders in a country facing extreme poverty and they attend the Changemaker SUMMIT, a four day live-in training camp designed to take them to a new level as emerging social entrepreneurs. Beyond the Summit the Changemakers stay connected to each other and Spark* facilitators through the Changemaker NETWORK in order to stay motivated, refine their projects and move towards launching or growing their venture. When a Changemaker has a strong and sustainable idea for change in their community, Spark* provides funding through the Changemaker FUND in order to help launch or grow their venture.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
Let’s use John Taka as an example - a Spark* Changemaker from Papua New Guinea (PNG), a country that is off track on all eight of the UN Millennium Development Goals. John was IDENTIFIED by Spark* as an exciting emerging leader in 2011 (he was 23 at the time). He attended the four day Spark* SUMMIT and connected with other inspiring young leaders in PNG. After the summit, John went back to his village (where only 5% of the kids were attending school) and brought everyone together to talk. He LAUNCHED a community sweet potato farm, with all profits directed to paying for school fees for all of the children in the village. John stayed connected through the Spark* NETWORK and continued to refine his model. After a strong first harvest, Spark* provided USD$700 of funding to expand the farm, followed by a second grant of USD$4500 to expand the project significantly. Every child in the village will be in school by 2014. John is scaling his project and is now also a mentor and support facilitator at the Spark* Summits.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
At present, are not aware of any organisations that are enabling emerging social entrepreneurs in the developing world using the holistic approach of training, a network and access to funding. We see ourselves working at the earlier phases of a social entrepreneur's journey, with organisations like Unreasonable Institute, UnLtd, Echoing Green, Skoll and Ashoka providing significant support at later stages. There are currently 1.3 billion people living in extreme poverty around the globe and we believe (as does Ashoka) that we need a generation of Changemakers bringing innovative and sustainable solutions to local challenges across the globe. If organisations begin to use a similar model to us to enable local Changemakers, we will be pleased!
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What solution(s) does your initiative address to help emerging entrepreneurs and small businesses grow and thrive in underserved communities? (select all applicable)
Access to financing, Access to talent.
What has been the impact of your solution to date?
In Papua New Guinea, 360 children are now in school, and 25 jobs have been created because of Spark* Changemakers. 13 new Changemakers graduated from the Spark* Summit last week, and we are excited to work with them through the Network and the Fund in the coming months and witness their impact. In South Africa, 240 at-risk youth are in support programs and 25 jobs have been created. In Kenya, our newest project site, our first Changemaker has provided 30 at-risk children with daily meals through a feeding program and created 2 jobs. We are nearing the end of our pilot, and are excited by the incredible potential of the 35 most active Changemakers we have across the globe.
What is your projected impact over the next 1-3 years?
Our projected growth model will have us enabling 500 Changemakers across 10 countries by the end of 2015. It is our goal that these Changemakers are directly impacting 50,000 people living in poverty through job creation, education opportunities or support programs.
What barriers might hinder the success of your project? How do you plan to overcome them?
Funding. We can gradually reduce the costs of running the SUMMIT and the NETWORK (through the use of alumni as volunteer facilitators, and an increase in online content). What we do need to build up however is the FUND. We need real money to help the Spark* Changemakers launch and expand their projects for change in their communities. We have a powerful technology based idea to achieve these. We are currently building a very sexy, elegant and simple website which will allow people across the world to find Spark* Changemakers that they want to support, in a country they are passionate about, and connect and support directly through our site.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Build up the BETA platform for the Spark* Something.
Task 1
Finish our round of engaging 300 people to go through market research.
Task 2
Build up wire frames for the new online platform and take it through user experience testing.
Task 3
Launch the BETA site, begin to market it and begin tweaking based on feedback and donor activity.
Now think bigger! Identify your 12-month impact milestone
Build up the BETA platform for the Spark* Something.
Task 1
Turn our BETA site into a Gold Site with a strong user experience optimised platform.
Task 2
Market like crazy, and inspire loads of people that this is a great way to enable great local change in very poor communities.
Task 3
Begin to work on ways that we can maximise the number of Spark* Changemakers that we work with and have on the site.
Founding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
I was a military officer and served in Iraq. I returned from war determined to compensate for the damage I'd done and help make the world better. In 2007 I moved to Tanzania where I ran a high-school for street kids in an urban slum. I believed that with a few degrees under my belt, I could help these kids turn their lives, and the slum around. After my first year in Africa and many mistakes, I found myself at a funeral for a ten year old boy who had died of AIDS (it was the slum's third funeral in three days). At this funeral I found myself out of ideas. Nothing seemed to be working. My best intentions were failing. Yet, as I stood there, I realised that the best ideas for change had to - and would always come from - local leaders. From the people at the funeral. From the kids at our school. I ran home, opened a notepad and wrote the first blueprint for what has now become Spark*, an organisation which could truly ENABLE emerging local leaders in the slums and villages of the world.
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We are currently in discussion with World Vision regarding a global collaboration which would see the Spark* Changemaker Program scale to 10 new countries. Later in 2012 some of our team will work out of San Francisco in order to continue to foster partnerships with other organizations who enable social entrepreneurs (Ashoka, Echoing Green, Unreasonable Institute etc).
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
Our team are talented leadership and social entrepreneurship facilitators and where appropriate we can provide support to other organisations. One facet that we are really working to secure is technical support in the form of programmers, coders and software developers in order to achieve our vision of the Spark* online platform to connect people across the globe to the Spark* Changemakers.
Awava is a fair trade social enterprise working with women artisans in post-conflict Northern Uganda on design and innovation, adding value to their existing skills and creating market linkages locally and internationally in an effort to empower families and alleviate poverty. Awava enhances entrepreneurship, business and artisanal skills by conducting trainings which boost each artisans capacity.
On October 28, 1998, Honduras suffered the greatest catastrophe in the nation’s history when Hurricane Mitch made landfall on its northern coast. Over three million citizens (51% of the total population) became homeless through the complete obliteration of 25 villages and 30,000 homes. The $3.8 billion in damages included 70% of roads, the destruction of 92 bridges and 90% of banana crops. The damage left in the wake of Hurricane Mitch prompted Stanford graduate, Tony Stone, who spent most of his childhood years in La Ceiba, to return to Honduras and start up Adelante operations in 1999.
Created on 09/4/2012 by gina.cappuccitti
Adelante's primary mission is to empower poor women in rural areas of Honduras to start up or expand their own small businesses. This enables them to improve the standard of living of themselves and their whole family. We achieve this by making small loans and providing bi-monthly business education lessons.
Organization: Adelante Foundation
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Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
More than 5 years
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Established (past the previous stages and has demonstrated success)
How long have you been in operation?
Operating for more than 5 years
The Need: What problem are you trying to solve?
In Honduras, 67% of the country's 8.2 million population lives below the poverty line while the country has one of the most unequal income distributions in the world. Hondurans suffer from underemployment rates of over 50%.
Rural Hondurans face poverty with much greater prevalence than urbanized Hondurans. Just under half of Hondurans live in rural areas but 72% of the rural population lives in poverty. The neglect that rural Hondurans endure from governments results in the continuation of poverty in rural communities. Further, studies have found women to experience poverty more intensely than men, leaving women to hold the greatest burden.
The Solution: What is your solution? Be specific!
Adelante focuses its integrative microfinance-education program in rural areas of Honduras and over 99% of clients are women. We provide them with small loans to invest in their micro-businesses so that they and their families can enjoy an improved standard of living. Our combination of small business loans and business development education ensures our clients become successful micro-entrepreneurs.
The majority of our loan pool is dedicated to our solidarity group loan product. Clients do not need to own a home or have another form of collateral; instead the pressure involved in the solidarity group loan structure affords eligibility to those who need it most. Once a client develops a solid credit history they become eligible for individual business and home improvement loans.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
Aida Zulema is an example of one Adelante client who has seen a dramatic increase in economic opportunities since taking out her first loan five years ago. Although her children are older, she is now responsible for raising two grandchildren as her own and is also partially responsible for three more.
With the help of Adelante, Aida began her own convenience store after selling lottery tickets in local communities for more than 25 years. Although she continues to travel to sell lottery tickets on the weekends, she is grateful that she and her husband have a steadier source of income with the grocery store. Her husband helps her with the store and also grows vegetable local crops to feed his family.
Her first loan was for about $26.00 and her eleventh, most current loan is for about $633.00. The growth that Aida has experienced demonstrates that many women only require very small loan amounts in order to get started on a successful business venture and expand the economic opportunities for their family.
Aida’s story is only one from the over 6,000 clients Adelante currently serves and 54,983 clients since beginning in 2000.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
Adelante's competition includes 23 other microfinance institutions that operate within Honduras. We take pride in maintaining our focus on poor rural women, who have less access to economic advancement than others in Honduras.
Due to our own commitment to maintaining our mission, Adelante considers it to be a disadvantage to us and to all microfinance institutions when one institution operates irresponsibly. This behavior reduces the confidence that we have built in our own clients and the overall perception of microfinance around the world.
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What solution(s) does your initiative address to help emerging entrepreneurs and small businesses grow and thrive in underserved communities? (select all applicable)
Access to financing, Access to economic opportunity.
What has been the impact of your solution to date?
Since September 2000 Adelante has disbursed over 74,300 loans to more than 54,983 clients. These loans total over 9.3 million dollars. Without these loans, many women would have never been able to improve their families’ standard of living through the application of small business loans.
Our clients know well that our impact goes beyond statistics on loan disbursements. Teresa Rivera, a client from Atlantida recently told us, "What’s good about Adelante is that it’s not just an economic help, but the educational presentations too, they help us to manage our businesses better." The business education that the Credit Officers provide gives our clients invaluable lessons on managing their businesses which is particularly important to those who were not able to complete or attend secondary school.
What is your projected impact over the next 1-3 years?
We expect to continue growing our loan pool for our current three loan products while expanding into other loan products and services that will serve rural poor women of Honduras, including educational, agricultural and fixed asset loans, micro insurance, micro pensions, mobile banking and a more advanced business development service.
We also expect to create strategic partnerships to offer value added services including water, electricity, clean stoves and preventative health.
What barriers might hinder the success of your project? How do you plan to overcome them?
We have been operationally self-sustainable since 2010 due to our high repayment rates and by expanding loan pool with interest paid. However, we plan to expand loan pool to more than what we could do individually. We continue to seek out new avenues of funding, particularly with grants. We expect to continue to receive high repayment rates because of the entrepreneurial education we provide our clients at their bi-monthly assembly meetings and their regular contact with Adelante Credit Officers. The insecurity and corruption are destabilizing factors within Honduras, making our work more difficult and dangerous, although not impossible, to fulfill.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Expand our loan pool for Home Improvement Loan so that more of our clients can measurably improve their standard of living.
Task 1
Secure at least $45,000 in outside funding to be invested in the Home Improvement Loan in the next six months
Task 2
Identify 15 clients per month with excellent repayment histories to be recipients of the loans.
Task 3
Evaluate the clients chosen and disburse the loans.
Now think bigger! Identify your 12-month impact milestone
By the end of 12 months we hope to see measurable results demonstrating success in fulfilling our social mission.
Task 1
Carry out the second round of Progress out of Poverty Index surveys to measure improvement in our clients' standard of living.
Task 2
Compare results to the baseline data gathered in 2011.
Task 3
Analyze data to determine whether we are having a measurable impact or, if not, determine our weaknesses and adjust accordingly.
Founding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
On October 28, 1998, Honduras suffered from its greatest national catastrophe when Hurricane Mitch made landfall on the Honduran northern coast. The hurricane resulted in leaving 51% of the population homeless, a total of $3.8 billion in damages and the ruin of 90% of banana crops and 70% of total crops. The devastation that the country had become faced with was what inspired Tony Stone, a Stanford graduate, to return to Honduras. Tony spent most of his childhood in La Ceiba and upon arriving back to the country, Tony found that the rural areas of Honduras had been largely ignored despite facing greater poverty rates than urban areas. Adelante was then established in 1999 and began its first loan disbursements on September 14, 2000.
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We currently partner with Women's Empowerment International, Rotary International and are affiliated with Mix Market, Redmicroh and Redcamif.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
We utilize the Progress out of Poverty Index and will soon begin our collaboration with the Social Performance Task Force. We are open to providing information to other organizations to develop mutually beneficial relationships. In addition we maintain affiliation with Mix Market, Redmicroh and Redcamif.
Created on 09/4/2012 by pmedina122
Beyond Chacay Foundation is a nonprofit whose mission is to enable community leaders and their families to create and implement dynamic entrepreneurial ventures in collaboration with the international tourists that visit them. Based on the creation of shared value and the cuadruple helix (building an esosystem), Beyond Chacay mobilizes all posible stakeholders to promote sustainable development.
Organization: Beyond Chacay foundation
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Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
1‐5 years
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
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Emprendimiento Dinámico, Turismo Comunitario y Sostenibilidad
Select the stage that best applies to your solution
Growth (your pilot is up and running, and starting to expand)
How long have you been in operation?
Operating for 1‐5 years
The Need: What problem are you trying to solve?
El sector turístico esta creciendo sin tener una vinculación directa con los emprendimientos que se dan en las localidades donde se desarrolla intensivamente esta actividad. Esto se comprueba al analizar el nivel de empobrecimiento de las comunidades aledañas a los centros de desarrollo turístico que no lograron incluirse en la cadena de valor de la industria.
Adicionalmente, clusters de producción locales (café, cacao, paja toquilla, guayusa), ubicados en sectores altamente turísticos no están ligados con la actividad turística del sector. Se los ve como actividades distintas e independientes.
La comunidad no cuenta con la capacidad gerencial minima (atención al cliente, gestión financiera básica, gestión estratégica, e-business y TICs) para acoger iniciativas de emprendimiento.
The Solution: What is your solution? Be specific!
Estamos convencidos acerca del ecoturismo comunitario como un potente generador de oportunidades para miembros de comunidades marginadas para maximizar su potencial productivo.
Identificando el principio de la cadena de valor del nexo entre turismo responsable, conservacion ambiental y cultural y actividades productivas locales (café, tagua) invertimos en el talento humano local para fomentar un crecimiento económico sostenible a nivel individual y comunitario.
Clave es la colaboración activa del turista internacional como agente de cambio, actuando como investigador, socio estratégico o/e inversionista. Nuestro target son: Alumnos, profesores y graduados (baby boomers) de colegios y universidades reconocidos en USA, Canada y Europa, .
Movilizamos TICs y tecnología para dinamizar los procesos de colaboración e intercambio de talento, conocimiento e inversión de recursos entre comunidades locales, turistas internacionales, autoridades locales y organizaciones internacionales.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
El proyecto emblemático es con la Fundación Runa (www.runa.org) cuya misión es comercializar guayusa en mercados internacionales: en 2012 el brazo comercial pretende llegar al millón de dólares en ventas de guayusa en los Estados Unidos.
Llevamos turistas a comunidades productoras de guayusa en la Amazonía capacitando las para que realicen emprendimientos basados en la ideología de conservación del medio ambiente y de su conocimiento ancestral. (hotelería, artesanías, gastronomía típica, museos naturales, excursiones turísticas).
Integrándose en la cotidianidad de los Kitchwa, el cliente internacional puede experimentar no solo el entorno natural donde se origina el producto sino también el componente social y cultural de las comunidades que lo producen.
Aprovechando del modelo de Kiva (www.kiva.org), identificamos emprendimientos locales promisorios, poniéndolos a consideración del turista internacional como alternativas de inversión de sus recursos. De esta manera proveemos de una fuente de sostenibilidad a los proyectos locales identificados.
Por otro lado invertimos en capital humano a través de la oferta de becas para jóvenes de la comunidad, en universidades aliadas (nacionales e internacionales) para fortalecer sus capacidades gerenciales.
Mediante internet, redes sociales y telefonía móvil se pueden ofrecer cursos virtuales de capacitación tanto a los miembros de la comunidad como a los turistas internacionales.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
Nuestros pares son 1) Entes gubernamentales a nacional y local Ministerio de Turismo 2) Agencias de Desarrollo (CEDET (www.cedet.ec), 3) FEPTCE, (www.feptce.org)4)ONG locales (Esquel, Grupo FARO)
Existen operadoras de turismo local asi como ONGs e instituciones gubernamentales que han intentado generar procesos de crecimiento socio-economico integral a traves del turismo.
Nuestra ventaja conceptual y competitiva es la inclusion del turista internacional y del migrante ecuatoriano como agentes de cambio actuando no solo como turistas sino como posible inversionistas.
Estos actores no representan un desafio. Al contrario pueden ser incluidos en nuestro modelo propuesto.
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What solution(s) does your initiative address to help emerging entrepreneurs and small businesses grow and thrive in underserved communities? (select all applicable)
Access to financing, Access to talent, Access to supply chains, Access to technology, Access to economic opportunity.
What has been the impact of your solution to date?
Chacay, como Encuentros, ha ofrecido programas de intercambio para jovenes norteamericanos y Ecuatorianos que incluyen, en las comunidades que hemos visitado, mas de 20 horas de trabajo comunitario por medio de fundaciones, durante el trascurso de un mes. Tambien, por medio de la Universidad San Francisco (Centro de Emprendimiento) y Banco Pichincha, hemos capacitado a jovenes de mas de 30 colegios en Quito, fiscales y privados, enfocando en emprendimiento dinámico. Finalmente, estamos trabajando en San Cristobal, Galapagos, y en Tena, Provincia Napo, la Amazonia, para capacitar jóvenes y miembros de las comunidades marginadas, ofreciéndoles las herramientas para que desarrolle proyectos innovadores y dinámicos. Sin embargo, reconocemos que ha faltado la parte sostenible en los proyectos, donde por medio de los turistas, los miembros de las comunidades target tengan la oportunidad de realizar sus sueños, a corto y largo plazo, por medio de becas y microcreditos.
What is your projected impact over the next 1-3 years?
Estamos proponiendo a Banco Pichincha un proyecto en dos fases, expandiendo de los Colegios de Quito a toda la provincia Pichincha, con pilotos en Lago Agrio (Amazonia), Ibarra (Sierra), Santo Domingo (Costa) y Santa Cruz (Galapagos), donde por medio de una plataforma virtual, capacitamos primero a profesores de colegios y gerentes del Banco, y en seguida, a los mismos alumnos. El proposito es fomentar no solo la capacitacion, pero tambien el ecosistema que promocionaria emprendimientos dinamicos en diferentes comunidades, con el proposito de expandir, en al año academico 2013-14, a nivel pais. A la vez, estamos creando paquetes turisticos un varias comunidades marginadas en todo el pais, con enfoque la cadena de produccion (cafe, cacao, etc.), para que los turistas invierten.
What barriers might hinder the success of your project? How do you plan to overcome them?
El obstaculo mas formidable que hemos encontrado durante dos años de operacion a nivel informal es la envidia, que no permite que se desarrolle el ecosistema (cuadruple helice: sectores privado, public, civico y la academia) parea llegar a un ganar-ganar. A veces, el mismo exito de una iniciativa ha resultado en diferencias de opinion sobre quien merece el conocimiento. Consequentemente, parte de nuestro reto es cultivar entre los miembros de la helice un compromiso, desde un inicio, hacia la colaboracion y el ganar-ganar, ofreciendo el beneficio maximo a los lideres comunitarios en sus comunidades emergentes, involucrando a la vez los recursos de los intermediarios en la cadena de produccion para que los al inicio puedan realizar su protencial por medio de emprendimientos dinamicos.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Task 1
Crear una pagina web dinámica que pretende informar, educar y capacitar turistas y lideres comunitarios
Task 2
Establecer alianzas claves a nivel nacional e internacional, miembros del ecosistema de emprendimiento y del cuadruple helice
Task 3
Invertir en la infraestructura de Beyond Chacay por medio de la implementacion de Balance Scorecard
Now think bigger! Identify your 12-month impact milestone
Task 1
Crear los objetivos estrategicos, politicas y procedimientos para multiplicar nuestro modelo de negocio a nivel mundial
Task 2
Crear fuentes de ingreso, con proposito la sostenibilidad, con enfoque la inversión de turistas en las comunidades marginadas
Task 3
Fortalecer los vinculos con todos los miembros del ecosistema, incluyendo empresas, lideres locales, y turistas del extranjero.
Founding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
Fue una serie de momentos.Uno de ellos salio de la iniciativa www.kiva.org, donde pretendemos vincular el inversionista (en nuestro caso, el turista) con el emprendedor en su comunidad, al principio de la cadena productiva (sea cafe, guayusa, etc.).Otros momentos claves incluyen capacitaciones, a nivel de emprendedores colegiales como con lideres comunitarios en Archidona, tecnicos de la produccion de guayusa y Kichwa de origen: la inversion en el capital human de estos dos grupos produjo resultados espectaculares, no solo en la motivacion de estas personas, sino tambien en el compromiso de su parte a crear emprendimientos dinamicos. Finalmente, la colaboracion con varios ministerios (MCPEC, de Coordinacion de Produccion, Empleo y Competitividad), ONGS (UNESCO, Grupo Faro, etc.) y el sector privado, como Director del Centro de Emprendimiento de la USFQ (Universidad lider en emprendimiento en el pais) desperto el compromiso con la Creacion de Valor Compartido (Porter) y la colaboracion
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Gobierno Central: Ministerio de Turismo
Gobiernos Locales: Municipio de Ibarra, Orellana y Tena (Amazonia), San Cristobal (Galapagos)
Entes locales de Desarrollo: cedet, (www.cedet.ec, federacion de turismo comunitario del Ecuador (www.feptce.org)
Universidades: San Francisco de Quito (USFQ), Stanford
Multinacionales: Telefonica, Coca Cola, Gruenenthal
Fundaciones: CREDIFE (Banco del Pichincha)
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
Buscamos encaminarnos de manera eficiente y eficaz hacia el alcance de nuestros objetivos estrategicos (implementacion de balance scorecard, virtualizacion de nuestros servicios y el equipamiento correspondiente). Esta provision nos permite compartir nuestros recursos con nuestros aliados y pares. Tambien, buscamos crear vinculos estrategicos con las empresas claves en la cadena de valor.
The Government and other stake holders, such as DEXIA (Dominica export import agency), Discover Dominica, OECS office, Ministry of Trade and the cultural division are all looking at ways to develop employment on the island, including the existing craft production on island. New Beginnig Craft Workshop aim to train 36 people in pottery, traditional straw craft, recycled craft materials by employing the knowledge of the older generation in teaching unemployed youth about traditional local craft techniques.
Aidha invests in the hopeful poor.Their formal mission is to enrich life choice through financial education. Their target student body consists of both women and men from Asia, the EMEA region, and the Americas. Many are migrants, who leave home to find the overseas jobs that will feed their children. Inspired by UNIFEM’s National Committee, Aidha Singapore, serves migrant women.They provide the confidence-building, money management, and entrepreneurship training that will build prosperous new opportunity for their graduates.
This innovation also has a Project Page where you can read more about its latest progress.
Go to Project: Youth Ventures.
Created on 09/2/2012 by bghirardelli
The Youth Ventures program empowers disadvantaged and unemployed youth to create sustainable businesses that can provide employment for themselves and others. We are a next-generation incubator for young entrepreneurs, creating a holistic model to empower jobless youth through Entrepreneurship training, interest-free loans, and on-site, individualized business management consulting.
Organization: Greenside Development Foundation
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Greenside Development Foundation
Organization Country
United States, WA, Normandy Park, King County
Country where this project is creating social impact
Morocco, FES, Imouzzer-Kandar
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
1‐5 years
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Growth (your pilot is up and running, and starting to expand)
How long have you been in operation?
Operating for less than a year
The Need: What problem are you trying to solve?
Our clients are the unemployed youth of Morocco, those that become more impoverished and less hopeful every day. This population is enormous; nearly 50% of Moroccan youth between the ages of 15 and 29 are neither in school nor employed, according to the International Finance Corporation (IFC). This is the legacy of the Arab Spring that began in North Africa, birthed in the struggle of disenfranchised youth to change their futures. Their need is incredible, and these unemployed youth are fragile.
With no social safety net like welfare or Medicaid, these youth must take care of themselves financially, and without quality job offers from existing businesses, they are left with few other choices than the daunting prospect of entrepreneurship.
The Solution: What is your solution? Be specific!
The Youth Ventures program is one-of-its-kind in Morocco: we are a holistic young entrepreneur incubator that provides business planning training, interest-free financing, and individualized, on-going business management consulting.
During month-long entrepreneurship training, candidates produce comprehensive business plans with the help of the GDF's Business Management Consultants (BMCs). Greenside then selects motivated Young Entrepreneurs for an unsecured, interest-free loan of 1,000-5,000 Dirhams ($125-625) for business materials. Young Entrepreneurs launch their microenterprise and work together with BMCs to set the microenterprise’s goals, identify market trends, opportunities and risks, create and manage action plans, record expenses and revenues, budget for the future, launch marketing campaigns, and constantly update the microenterprise’s accounting.
After reimbursing the loan, Young Entrepreneurs can either start a new enterprise or expand and develop their existing one.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
Fatiha's husband left her when she was 25 years old, jobless and penniless. Fatiha came to us after three years of unemployment, determined to plan for a better future for herself. She joined the first group of Young Entrepreneurs, and prepared a business plan for her enterprise during the initial training. Her motivation was evident in her plan and her interviews, so she was selected for an interest-free loan of 3,965 Dirhams (about $450) and went with our Business Management Consultant Ali Aaouine to purchase 7 sheep, three grown females and their four young. Fatiha has borrowed a male sheep from her Business Mentor to mate with her flock, while she raises the young for sale. She plans to sell these offspring eventually to add more mothers to her flock. She works with her Business Management Consultant to learn how to document her expenses to make sure she is keeping her costs in line, while together they monitor the livestock market for an advantageous time to sell the male youth and buy more potential mothers to expand her flock.
Even though she is only semi-literate, she is learning general business management skills, such as basic accounting, managing action plans, timelines, market research techniques, and how to monitor her business through SWOT analyses. Fatiha is learning what to focus on and how to take appropriate actions to assure the health of her enterprise.
With the reimbursement of her loan, she hopes to qualify for an expansion loan to add to her flock until she can create a living wage for herself.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
The Youth Ventures program has no direct competition; no organization in Morocco incubates young entrepreneurs in a holistic way. However, elements of our program exist in other government and NGO programs.
Youth Ventures' entrepreneurship and business planning training compete with the government program ANAPEC which provides similar training around the country. However, according to a recent World Bank report, only 8% of unemployed youth who know of ANAPEC use its services.
Morocco's microfinance sector, organizations such as Al Amana and FONDEP, completely excludes our population of young, jobless entrepreneurs due to their lack of income and assets for collateral.
The on-site, business development consulting we provide to young entrepreneurs does not exist here in Morocco.
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What solution(s) does your initiative address to help emerging entrepreneurs and small businesses grow and thrive in underserved communities? (select all applicable)
Access to financing, Access to talent, Access to economic opportunity.
What has been the impact of your solution to date?
To date, Greenside Development Foundation’s Youth Ventures pilot program has helped eleven Young Entrepreneurs design, launch and manage their own businesses. These eleven enterprises have all generated profits so far. Two Young Entrepreneurs have realized profits of 260% of their loan in just four months, enabling them to create new jobs for two additional unemployed young women.
These Young Entrepreneurs have also received hundreds of hours of training and consulting in setting their microenterprise’s objectives, creating and managing action plans, recording expenses and revenues, budgeting for the future, purchasing and sales, launching marketing campaigns, updating their microenterprise’s accounting, and identifying market trends, opportunities and risks. In training, they have created a peer-support network as well.
Currently, the next cohort of 20 female Young Entrepreneurs is being recruited to start Entrepreneurship and Business Planning training on October 6, 2012.
What is your projected impact over the next 1-3 years?
The Greenside Development Foundation plans to support 60 Young Entrepreneurs by February of 2013 through our Imouzzer-Kandar office before opening our next office in the neighboring city of Azrou in September of 2013. Our third office in the regional capital of Sefrou is planned to launch in November 2013. Our for-profit affiliate will open in April 2013 with the Imouzzer-Kandar Municipal Pool and Recreation area, launching our Building Foundations in Employment Program. This social enterprise alone will employ 15 full-time previously-unemployed youth of the region, providing paid experience and vocational training.
In 2014, we anticipate expanding to serve a total of 500 Young Entrepreneurs, before replicating the Youth Ventures program nationally through a large government partnership.
What barriers might hinder the success of your project? How do you plan to overcome them?
Potential barriers to the success of this project lie chiefly in financing the program costs and in recruiting the highest-caliber Business Management Consultants to execute the program model effectively.
Funding for the program to date comes from generous individuals as donations and from foundation/institutional grants. We are building a network of donors that give regularly, while using grants to solidify and then expand the program. Furthermore, we are adding a program-related, earned-income revenue stream to diversify our funding.
Recruitment for top-notch Business Management Consultants is an important, on-going process, mainly built on our reputation and seeking references from trusted community partners. We are expanding our recruitment process nationwide and internationally.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Adding 50 more Young Entrepreneurs to the Youth Ventures Program through the Imouzzer-Kandar office.
Task 1
Raise $16,600 to finance the loans of 50 YE's (average $330 loan) and an estimated $15,629.43 annually to fund program staff.
Task 2
Convert two of our current volunteer Business Management Consultants to full-time employees.
Task 3
Streamline and digitize the BMC consulting and training to track which strategies and business development tools are effective.
Now think bigger! Identify your 12-month impact milestone
Expand to our second office in Azrou to meet the demand from unemployed youth for our Youth Ventures program there.
Task 1
Recruit and hire two full-time Business Management Consultants and rent and equip office and training space.
Task 2
Raise an estimated $16,340.64 annually for the Azrou office operations and a one-time loan pool of $10,000 for initial YE loans.
Task 3
Screen and train 30 Young Entrepreneur candidates in Azrou, launching competitive enterprises that replicate the program.
Founding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
The conceptualization of the Youth Ventures program came from a prior project, the Youth Cooperative in Agriculture with Ali Aaouine, the president of our affiliate, GDF-Morocco. The demand from unemployed youth to participate in the co-op overwhelmed its resources, and gave birth to the Youth Ventures program.
We wanted a one-stop, all-inclusive program that could scale to address the major needs of our future Young Entrepreneurs. So, we took the best elements from several fields and combined them:
1. The youth we serve are mostly illiterate (so pre-packaged curriculums don’t work) and lack a framework for proper business planning, which led to the creation of our personalized Entrepreneurship Training.
2. Moroccan youth have no financing options, so we kept the loan element of microfinance but dropped the interest rate.
3. Most importantly, these youth need follow-through: they need on-going, individualized support tailored to their specific business management needs.
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We currently have several Peace Corps Volunteers that work with Greenside Development Foundation-Morocco to help our Young Entrepreneurs grow and succeed.
We have partnerships with The Anou Project (an online fair-trade platform to sell Young Entrepreneurs' artisan products to the US) and the Commune Urbaine d'Imouzzer-Kandar (local elected government). We are currently being considered for a partnership with the US Embassy to Morocco Cultural Affairs mission.
Some of our most important partnerships are the regional businesses and co-ops that advise our Young Entrepreneurs as needed.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
Our GDF team seeks to alleviate poverty through the creation of sustainable employment, and we welcome partnerships on this mission. Critical to this growth phase for us is the funding necessary to provide our program to more Moroccan youth.
What we have to offer is freely given to other initiatives that have need.
This innovation also has a Project Page where you can read more about its latest progress.
Go to Project: Co.Labs Agency.
Created on 09/1/2012 by mattbesonen
Co.Labs Agency strives to be an innovative educational model housed within institutions of higher education, effectively bridging the gap between business and education.
Co.Labs creates a cooperative business forum centered on apprenticeship. This model will reward entrepreneurs & the business community based upon their ability to collaborate and mentor future generations.
Organization: Co.Labs Agency
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Is your organization a
Hybrid
How long has your organization been operating?
1‐5 years
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Start-Up (a pilot that has just begun operating)
How long have you been in operation?
Operating for 1‐5 years
The Need: What problem are you trying to solve?
Students need real-world experience to sharpen their skills, learn how to apply knowledge, and make decisions on which careers suit them best. Most academic institutions cannot effectively deliver this experience to their students on campus, thus they rely on internships to fill this void.
Unfortunately, most real-world businesses and entrepreneurs cannot afford the time and effort it takes to properly mentor students or alter business deadlines to fit the academic schedule. Thus, the result is under-performance, lessened expectations, and mounting frustration by all parties involved.
The Solution: What is your solution? Be specific!
Through Co.Labs Agency, businesses and academia will be introduced to a new approach to internships which efficiently translates real-world deadlines and projects into an academic environment.
By offering professional grade business space on campus, Co.Labs creates a forum where students and outside business can interact in a mutually familiar environment. Being located on campus also allows academic faculty to stay engaged and actively participate in the maturation of students throughout the process, which is in stark contrast to what typically happens with off-campus internships.
By focusing on Co.operation, all sides are able to Co.mmunicate their objectives so that true Co.llaboration can occur.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
Currently, the approach of Co.Labs has been to work with SNHU students under the umbrella term of “internship." While this has served and will continue to serve as a suitable path for the short-term, the future of Co.Labs will be geared towards attaining accreditation and developing a formalized process for translating real-world projects into acceptable curriculum alternatives. Partnerships with SNHU and College Unbound will help pave the way for the accreditation process as well as demonstrate how the Co.Labs concept can be incorporated into other academic institutions stuck in traditional curriculum formats. There are four distinct categories which Co.Labs plans to engage the student population.
1) Classroom, Volunteer, & Club Involvement
2) Apprenticeship w/ Personalized Curriculum
3) Project Mentors & Executive Leadership
4) Board of Directors & Special Committees
To tap into the full potential of campus collaboration, Co.Labs will utilize all of the avenues above to attract student participation on both long-term and short term basis. Academic credits and project based coursework will be outlined, agreed upon, and evaluated by a team of faculty and project/business mentors. Addtionally, students will have the opportunity to grow into paid positions, experience executive governance, and EXPLORE THEIR OWN BUSINESS IDEAS by becoming a lead mentor for the next crop of Co.Labs students.In short, Co.Labs Agency strives to create a system and organizational structure which rewards business leaders and entrepreneurs on their ability to mentor future generation.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
Almost any "competitor" in the education innovation space really ends up becoming a "collaborator" because we all build off each others' success.
Case in point, Co.Labs began at SNHU because College Unbound opened the eyes of faculty to properly value project-based curriculum. The unique twist that Co.Labs adds to the equation is the self sustaining, cooperative business model. So while all of the programs listed below are "competitors," they have all been contacted by Co.Labs and have shown complete willingness to collaborate.
- College Unbound
- Studio Schools
- Enabling Enterprise
Outside of innovative education, Co.Labs would also compete with other business service/consulting agencies. The competitive advantages of Co.Labs in this case will be cost effectiveness.
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What solution(s) does your initiative address to help emerging entrepreneurs and small businesses grow and thrive in underserved communities? (select all applicable)
Access to talent, Access to supply chains, Access to technology, Access to economic opportunity.
What has been the impact of your solution to date?
The 2011-2012 academic year was essentially the “proof of concept” phase as the founder demonstrated his vision for Co.Labs to SNHU faculty. Projects were taken on pro-bono with a selective group of local businesses and the work was completed by a team of 5-7 students throughout the year. Projects included a monthly cooking show with a local restaurant as well as a fundraising & awareness campaign for with the NH Food Bank.
Going into this academic year (2012-2013), SNHU is very supportive and will help move Co.Labs into a more formalized “pilot program” by establishing an advisory board of SNHU faculty to focus on accreditation and ensure better collaboration on project needs. Projects will likely continue to be pro-bono for this year, but quality of work will continue to rise.
What is your projected impact over the next 1-3 years?
Looking at Enabling Enterprise as a similar model, after the 3rd year in existance they were working with a network of 90 schools in the UK.
Every academic institution added to the Co.Labs network will instantly increase the pool of students and infrastructure available to project mentors. The expanded geographic footprint of each institution essentially adds a new "satellite office" to expand projects/opportunities.
Each mentor added to the cooperative is responsible for their own business development efforts, both in regards to curriculum obligations and personal financial goals. Each mentor will undergo a hiring process to identify the genuine learning opportunities associated with their projects as well as potential collaborations with other mentors/projects.
What barriers might hinder the success of your project? How do you plan to overcome them?
It is critical that Co.Labs is able to deliver professional grade services to outside businesses. To overcome concerns of "student inexperience," it will be vital for Co.Labs to stress the importance of faculty involvement and collaboration across the university...but ultimately, the proof is in the pudding so Co.Labs must have compelling case studies and examples of what students have been able to accomplish in the past.
Included in the "professional grade services" expectations of outside businesses, Co.Labs will need to provide working/office space in which to conduct business. While some institutions may have available space for Co.Labs to utilize, this is potentially one area that requires capital and/or barter agreements with local businesses to upgrade facilities and technology.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Task 1
Pursue grants and/or enter business competitions to fund technology upgrades and other startup expenses
Task 2
Enable an advisory board of SNHU faculty to garner deeper academic support and continue moving on the accreditation process
Task 3
Have Co.Labs included in SNHU budgeting process, which takes place in Dec/Jan for the 2012-2013 academic year
Now think bigger! Identify your 12-month impact milestone
Task 1
Have multiple case studies displaying student work reaching professional quality
Task 2
Expand network by establishing partnerships and project opportunities with 3-5 new universities beyond SNHU
Task 3
Have enough funding ready for the 2012-2013 academic year
Founding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
My first "aha" moment came the first summer I had interns working for me as opposed to being an intern myself.
My students had a great time and learned a lot, but many other top level interns were not so lucky. In fact, interns from other divisions were coming to me with ideas or questions that they didn't feel comfortable bringing up with their respective supervisor. Additionally, many of my professional colleagues felt that trying to get quality work from interns was a waste of time.
It was clear that the "internship" process was broken from both the academic and business standpoints. However, hands on training was vital for the growth of future generations...so how can we revamp "internships" into something more useful for everyone involved???
Co.Labs was my answer.
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SNHU - currently Co.Labs is in the beta phase, but the university is very supportive and poised to grant full financial support as we enter the budgeting season for 2013-2014 academic year.
College Unbound (www.collegeunbound.org) - CU is a 3-year, fully accredited college degree built upon internships and field experience. Thus, the CU curriculum framework is very close to what Co.Labs plans to implement. With one CU location based out of SNHU, Co.Labs is actively growing the partnership by developing a project that will tap into 2 other CU locations (New Orleans & Providence).
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
Duhange Project is an initiative which was initiated by Brain Technologies Ltd, in order to nurture entrepreneurial minds among people. This project intends to expand and serve as a bridge between entrepreneurs with promising innovative business ideas and venture capitalists who are now rising up in Rwanda.
This project will impact more than 2000 people who will be benefiting from this project:
- More than 150 businesses will be started and employ more than 2,000 people.
- The project itself will be growing (Duhange) and provide jobs to more than 30 people in 2015 (after 3 years)
Created on 09/1/2012 by Rodrigue Ishimwe
Duhange Project is an initiative which was initiated by Brain Technologies Ltd, in order to nurture entrepreneurial minds among people.This project intends to expand and serve as a bridge between entrepreneurs with promising innovative business ideas and venture capitalists who are now rising up in Rwanda. This project will expand through East Africa in the Second year.
Organization: Brain Technologies Ltd
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Rwanda, XX, All provinces of Rwanda
Is your organization a
For‐profit
How long has your organization been operating?
Less than a year
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
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Duhange Project: Linking potential Venture Capitalists and Entrepreneurs in Rwanda
Select the stage that best applies to your solution
Growth (your pilot is up and running, and starting to expand)
How long have you been in operation?
Operating for less than a year
The Need: What problem are you trying to solve?
Rwanda is endowed with several entrepreneurial minds who lack enough capital to boost their ideas and turn them into working businesses. On the other hand, there are several middle income people who are financially self-sufficient but lack ideas.
It is difficult to get a bank loan in Rwanda due to most of people lack mortgage/warranty to provide so that the bank will provide a loan. Due to this constraint, people fail to start small business while they still have innovative ideas. This is where venture capitalists come in.In Rwanda,we don't have many due to the fact that there is no platform which links potential funders and those who have innovative ideas.Getting financial help from an individual would be better than from bank.The challenge of unemployment will be tackled in this project
The Solution: What is your solution? Be specific!
Since there are people who have innovative ideas in Rwanda but lack financial help to turn them into reality, and there are people also who have middle-income capacity and who are willing to fund promising projects without requesting any mortgage, the project Duhange becomes a bridge to VCs and entrepreneurs.
Duhange is already operational and has been tested through the use of online media as a website www.duhange.com. Several people have contacted us to link them with potential funders while on the other hand potential funders have contacted us. We've noticed that this project was feasible.
This solution will work as follows: Linking entrepreneurs with individuals who would fund their businesses. This platform has been lacking in Rwanda for a long time.
This project will also provide jobs for 16 people.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
This project makes a difference: it is the first initiative to be started in Rwanda until now which aims at improving economic status of the people by nurturing entrepreneurial minds inside them. Not only this project promotes entrepreneurship by publishing success stories of people who started from scratch and also business opportunities, but also intends to link potential Venture Capitalists that are rising in Rwanda and others potential entrepreneurs.
Our company has experience in business development and thus understands how the whole model can work properly by protecting ideas of entrepreneurs and also by giving them support in coaching and other possible trainings in capacity building.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
Most of peers in this sector can be: angel investors and also banks. This project comes as an additional item to people who were not receiving loan services due to the lack of mortgage.
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What solution(s) does your initiative address to help emerging entrepreneurs and small businesses grow and thrive in underserved communities? (select all applicable)
Access to financing, Access to economic opportunity.
What has been the impact of your solution to date?
Until now, the projec DUHANGE has been appreciated by a lot of people. Since its launch in August 13th until now, duhange.com has more than 76.000 visitors in total. People do appreciate this project. Initially, it started being an online business news coverage and entrepreneurship promotion initiative and it has grown to more than this. After being contacted by people as mentioned above, we are developing a system of linking VCs and entrepreneurs
What is your projected impact over the next 1-3 years?
After seeing how the process is being undertaken, this project will impact more than 2000 people who will be benefiting from this project:
- More than 150 businesses will be started and employ more than 2,000 people.
- The project itself will be growing (Duhange) and provide jobs to more than 30 people in 2015 (after 3 years)
What barriers might hinder the success of your project? How do you plan to overcome them?
The first challenge that we might face is the access to a large population (linking the entrepreneurs located in the rural areas without access to internet and TV). In order to reach them, we shall use radios which air in the rural area of Rwanda.
Another challenge that can rise can be the fear of being stolen their ideas. In order to counter to this challenge of stealing ideas, we shall develop a system where just a basic idea will be displayed and not be able to be stolen through patenting. Through coaching also we shall promote self-confidence among entrepreneurs.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Establishing a strong network of VC - Entrepreneur (enhancing a strong platform)
Task 1
Complete the online database of www.duhange.com where entrepreneurs will be filling the form and VCs will fill the form and meet
Task 2
Start a TV program on local public Tv (Rwanda Television) where success stories will be shared and different innovative ideas
Task 3
Start a hard copy of Business Magazine of Duhange project
Now think bigger! Identify your 12-month impact milestone
Expanding Duhange project to the entire to East African Region and include English and French
Task 1
Seeking for partners in the East African Region (profit companies and non- profit and individual entrepreneurs)
Task 2
Start a business idea competition in Rwanda and the entire East Africa
Task 3
Hire more staff for the evolving Duhange project
Founding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
After our company Brain Technologies Ltd faced this same problem of lacking funding while having an innovative idea because simply we couldn't provide a mortgage/collateral/warranty, we felt that there might be other people like us who have the same challenge.
After identifying that there are several people in Rwanda who have money but don't know which business to start due to the lack of business skills and self-esteem, we wanted to link them with entrepreneurs who can be partners in business. These entrepreneurs will be having mutual agreement with these VCs.
It is in this regard that we initiated this project "Duhange" which is a Kinyarwanda word meaning "Let us innovate". We wanted to tackle the challenge of access to funds when we initiated this project in August 2012.
We have a vision of tackling this challenge of accessing funds!
read more↓↑ hide↑ hideTell us about your partnerships
We do have partnerships with other non- profit NGOs and profit organisations but we are looking forward to create a deep partnership with the the government especially the Ministry of Youth and ICT, Ministry of Commerce, Ministry of Finance and Economic Planning and others.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
If the above mentioned sections/categories are provided, it could be highly appreciable.
Target Market: 65 million Pakistanis don’t have access to the electric grid. Most of these people meet their lighting needs through kerosene, which is both extremely expensive and very toxic. Currently they spend $3-$10 per month on kerosene or battery powered flashlights or collectively $3.9 billion a year.
EcoEnergyFinance provides solar energy products to Pakistan’s rural poor that is comparable in cost to what they spend on for kerosene.
Created on 08/29/2012 by harry tjahyadi
Jangkau Foundation is initiated by Grameen Foundation and RUMA, a social enterprise that empowers the poor using mobile phone technology. We target the ultra-poor, those who live with USD1,25/day. We provide small loans as initial capital to enter the business and extensive training on how to properly operate the business.
Organization: JANGKAU FOUNDATION
Visit websitemore ↓↑ hide↑ hideOrganization Country
Indonesia, JK, South Jakarta
Country where this project is creating social impact
Indonesia, JK, Jakarta and Tangerang
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
1‐5 years
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
read more↓↑ hide↑ hideName Your Entry
Women entrepreneurship development through mobile microfranchising business
Select the stage that best applies to your solution
Start-Up (a pilot that has just begun operating)
How long have you been in operation?
Operating for less than a year
The Need: What problem are you trying to solve?
The challenges related to engaging very poor people into a business are high and caused by a number of factors including: a). Lack of assets ans capital. b). Very poor people quite often do not have the skills and confidence needed to run the business without a level of training & support.
The Solution: What is your solution? Be specific!
We believe that the poor can be viable business partners with the right support in place. The concept is simple, effective and sustainable; we recruit and train interested entrepreneurs, typically women, to sell “airtime minutes” (prepaid airtime) to their neighbors. On that order, we provide small loans as initial capital in the form of airtime deposit and training on how to properly operate the business. Thus far, the initial loan is being accepted and will hopefully help more poor women enroll into RUMA program
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
Using the Progress out of Poverty Index (PPI), a poverty scorecard created by Grameen Foundation, we target those who scored at or below 44 which equals to those who live with USD1,25/day if we are using the International Poverty Line. Once recruited, we provide small loans and train them. The training is done regularly, at least twice a week, where our field staff visits our clients house. During the training, our field staff also collect the money from transactions made two days before and at the same time, topped up the client's deposit balance. To date, we have 165 client is Jakarta and Tangerang area, and most of them are women.
The success of our project will be measured by our ability to recruit poorest entrepreneurs into portfolio. This will of course require extra focus, effort and investment. Once recruited, we measure success by our ability to raise their income and to pull them and their families out of poverty. On average, the airtime business could contribute to around 20% to 50% of our clients total income.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
Our competitors will be other airtime dealers. But, we differentiate ourselves as the only airtime dealer that targets those who live in the base of the pyramid and provides a dedicated training. None of our competitors do that.
In terms of pricing, some of our competitors may offer lower price. It is reasonable as these companies have lots of money, and in the airtime business, the bigger amount we buy the cheaper price we get. It may also triggered by their lower cost of personnel since they dont have training program like us (which pretty time consuming), their field staff load is much higher. But please noted that it doesnt make our price less competitive.We would say our price is "average".
read more↓↑ hide↑ hideThis Entry is about (Issues)
What solution(s) does your initiative address to help emerging entrepreneurs and small businesses grow and thrive in underserved communities? (select all applicable)
Access to economic opportunity.
What has been the impact of your solution to date?
To date we have recruited around 165 poorest people in Tangerang and Jakarta. On average, this airtime business contributes to around 20% to 50% of their total income.
What is your projected impact over the next 1-3 years?
at least 1000 people join the program in three geographical areas (Jakarta, Tangerang and Bekasi) and more technology based business opportunities introduced to the clients.
What barriers might hinder the success of your project? How do you plan to overcome them?
Find the right field staff that can find the right target clients. Based on our experience it is not easy to find Field staff who is willing to deal with poorest people, its not only require patience but also sincerety and willingness to help others. We tried to recruit some university graduates but turned out that it just doesnt fit. Particularly the male one. We learned that the ideal criteria for a field staff should be female, in middle age (30-40), with some field experience, high school graduate should be enough as most of the people we target only graduate from either elementary school or Junior High School. Why female? As our target is women it'll be easier for female field staff to blend in as they know exactly how to speak and act within this communities.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Recruit more Field Staff and Researcher to create Poverty Map
Task 1
Recruit Researcher to help us to create Poverty Map. The poverty map will be helpful to us to target & recruit more poor people
Task 2
Expand to new area (Bekasi/Bogor)
Now think bigger! Identify your 12-month impact milestone
Expand to new services : provision of Thematic Training to upskill Client and/or client's family member
Task 2
work with other pro-poor organization to expand the variety of training.
Task 3
introduce new mobile platform income generating business
Founding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
Jangkau Foundation is initiated by Grameen Foundation and RUMA, a social enterprise that empowers the poor using mobile phone technology. During our operation in last three years, we see many of RUMA’s entrepreneurs particularly the poorer ones have dropped out of the Ruma program because of personal issues such as health, death, and child care. As a for profit social enterprise, Ruma is not equipped to provide subsidized funding for the needs of its clients beyond the core products. Ruma also cannot truly serve the ultra poor-those earning less than $1 per day- because they need significant training and initial working capital that does not provide a viable return for Ruma. Then we come up to established a dedicated Foundation to tackle that problem. To aid poor households with startup capital, the recruitment process at Jangkau is coupled with a small loan of Rp.100,000 as an initial balance and exstensive training on how to properly operate the business.
read more↓↑ hide↑ hideTell us about your partnerships
Of course, we have very close connection with Grameen Foundation and RUMA, other than that we also looking for a collaborative work with FEM International of Italy (http://www.feminternational.eu/eng/sostieni.aspx) who has pretty much same mission.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
As a newly revive foundation, Jangkau still trying its best to build the best team to achieve its goal. We need more extraordinary people, ideas as well as good media promotion.
A Social enterprise that promotes sustainable model to leave no child on the street. A Social enterprise that promotes access of employment to underpriviledged families and generates incomes for its financial self-reliant. A Social Business that sells fair trade shirts to finances its street children projects.
Created on 08/29/2012 by AppTechDesign
The Appropriate Technology Collaborative (ATC) is a 501 (c)(3) not-for-profit organization whose purpose is to design, develop, demonstrate and distribute appropriate technological solutions for meeting the basic human needs of low income people in the developing world. ATC works in collaboration with our clients to create technologies that are affordable and environmentally responsible.
Organization: The Appropriate Technology Collaborative
Visit websitemore ↓↑ hide↑ hideOrganization Name
The Appropriate Technology Collaborative
Organization Country
United States, MI, Ann Arbor, Washtenaw County
Country where this project is creating social impact
Guatemala, SO, Solola, Santiago, Panajachel
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
1‐5 years
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Growth (your pilot is up and running, and starting to expand)
How long have you been in operation?
Operating for less than a year
The Need: What problem are you trying to solve?
Two Problems:
One: In much of Guatemala electricity is scarce. People light their homes with kerosene lamps and candles. Kerosene is inefficient and expensive. One burns a lot of fuel to get relatively little light. Basic activities such as cleaning, reading and schoolwork cannot be done by kerosene light. The cost for kerosene is $.60 to $.80 per week. For $.50 per week (for 3 years) families can purchase cleaner, brighter solar power and light.
Two: In Guatemala malnutrition is endemic with 1 of every 2 children chronically malnourished. Lack of education, particularly for girls, keeps families trapped in poverty. A proven way to break the cycle of poverty is to provide education and opportunity.
We propose to teach young Mayan women how to design, install and sell solar power.
The Solution: What is your solution? Be specific!
The Appropriate Technology Collaborative and our Guatemalan team will teach 24 - 36 young Guatemalan Mayan women "Circuits and Solar", our very successful class on basic electronics, circuit design and hands-on training for solar designers and installers. We will also help our students to set up a solar power cooperative to sell solar power.
Our Mayan women students will have the opportunity to become solar technicians in a new sustainable Women's Solar Power Cooperative.
Future Impact: Once we and our Guatemala staff have trained Mayan women mentors, and we have our teaching materials in place, the cost to teach Circuits and Solar will be greatly reduced allowing us to reach more women and to expand into new parts of Guatemala and into new countries. Note: Our basic class "Circuits and Solar" is being taught in Kenya and Cameroon.
Mayan women graduates will be role models within their communities showing that women can make a living in a technical field.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
We will:
teach 24 - 36 Mayan women about solar technology;
provided a hands-on learning experience installing solar power in a minimum of 24 homes and at least two commercial projects;
train 2 - 4 women mentors in the Circuits and Solar curriculum;
increase the capacity of our Guatemalan Engineering and Business team to teach engineering, solar design and business;
start a women's solar power cooperative;
improve air quality and health outcomes for a minimum of 24 Guatemalan families as kerosene lights in the area are replaced by solar home lighting systems;
improve economic conditions for a minimum of 24 Guatemalan families by replacing expensive kerosene lamps and by providing more hours for study and work;
install solar power on a minimum 2 small scale commercial buildings such as community centers and / or schools.
Educating women and providing them opportunity creates additional benefits. In developing countries women with more education have healthier families and their children are more likely to stay in school longer. Women who earn more invest 90% of their additional income in their families. Men, on the other hand, invest only 30 - 40% of extra earnings in their families.
Positive Change: Graduates of Circuits and Solar who join the co-op will sell solar lighting systems to households that lack electricity - a large market. In the lake Atitlan region of Guatemala where this project is located 70,000 people live in homes with no electricity. In the region just to the north electrification has reached only 60% of the population.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
Two competitors are The Appropriate Infrastructure Development Group (AIDG) and Engineers Without Borders (EWB). AIDG primarily focuses on infrastructure development and business incubation. We have collaborated with AIDG on several projects and we compliment each other's strengths well.
The Appropriate Technology Collaborative has worked with EWB on a clean water supply project to the village of Nueva Santa Catarina Ixtahuacan in Guatemala. This has been a challenging project that has brought about positive change in the village as well as improved the quality and quantity of water available. In fall 2012 a new water supply is scheduled to to start up and supply water for decades to come. ATC/EWB student participants have gone on to become student leaders of EWB.
read more↓↑ hide↑ hideThis Entry is about (Issues)
What solution(s) does your initiative address to help emerging entrepreneurs and small businesses grow and thrive in underserved communities? (select all applicable)
Access to talent, Access to supply chains, Access to technology, Access to economic opportunity.
What has been the impact of your solution to date?
We have taught Circuits and Solar twice in Guatemala. We now have a waiting list for January 2013. However 95% of the students who signed up for the class were young men. We surveyed school administrators, students and potential girl students. We found that Mayan girl students don't take technical classes with boy students. The Mayan girls have a strong interest in learning about solar power and they suggested starting a women's solar power cooperative.
So far we have helped to install hundreds of solar power systems in homes that lack electricity and we have installed larger scale solar power systems at schools around the world.
ATC has purchased solar equipment for 4-6 commercial installations and we have a minimum of 24 small scale solar power systems for residential installations. These projects will help the Women's Solar Power Cooperative demonstrate the value of solar power and help them start their business. ATC will work with the co-op for a minimum of 5 years.
What is your projected impact over the next 1-3 years?
In one year our Mayan girl students will have installed a minimum of 24 residential scale solar power systems and at least two commercial scale systems. Business students from the University of Michigan will have helped design a business plan for the "Mayan Power and Light" cooperative and Mayan students will be learning the business of selling and installing solar power and light solutions.
ATC will continually update the curriculum and the technology so that our team(s) will continue to be competetive.
Year 2 - 3: ATC will have expanded the program to both Matagalpa, Nicaragua and the Managua Nicaragua City Dump where we work with "rag pickers" to create business opportunities. We will also have expanded this program into Kenya and Camaroon where we have NGO partners.
What barriers might hinder the success of your project? How do you plan to overcome them?
The final success of this project depends on creating a sustainable business plan that supports "Mayan Power and Light", an all woman solar power cooperative - and the cooperative has to be successful within the existing marketplace.
To overcome the barriers to success ATC will incubate Mayan Power and Light for a 5 year period. We will take primary responsibility for finding work for the cooperative and helping structure the business, but by the end of 5 years the cooperative will have to stand on its own merit.
University of Michigan Business students (also Kellogg School of Management students) have expressed a strong desire to help ATC and the Mayan Power and Light cooperative create a business plan that addresses existing and potential future markets.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Task 1
Working with our Mayan women mentors, our Guatemalan Engineers will adapt the Circuits and Solar curriculum.
Task 2
ATC and our Mayan women partners will have taught Circuits and Solar at least once.
Task 3
At least 12 Mayan girl students will have hands-on experience installing residential and commercial solar power.
Now think bigger! Identify your 12-month impact milestone
Task 1
24 - 36 Young Mayan women will have taken Circuits and Solar. The all will have hands-on experience installing solar power.
Task 2
ATC will have revised the curriculum for Circuits and Solar and made the new curriculum available online for free!
Task 3
Circuits and Solar will be taught in Kenya, Cameroon and Chile and ATC will have feedback from these classes.
Founding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
ATC taught the first "Circuits and Solar" classes in the Spring of 2012 at the Centro de Capacitacion (CECAP) trade school in Santa Cruz, and at the Asturias Academy, both in Guatemala. Though the classes were very successful, and now have waiting lists, ATC Founder John Barrie noticed 95% of all students who signed up for Circuits and Solar were boys. John asked the school directors about the make up of the schools and found that even with a high percentage girl population, for the most part boys take technical classes in electronics and welding and girls take weaving and sewing. John talked with local Mayan girls who said they think solar power is cool, but taking classes with boys is not. Thus the Mayan Power and Light project was born.
Mayan girls with more education earn more money and invest more in their families Their children are healthier and are more likely to finish school. Creating opportunity for girls to take Circuits and Solar will reduce poverty.
read more↓↑ hide↑ hideTell us about your partnerships
For the Mayan Power and Light project ATC will collaborate with the CECAP school in Santa Cruz la Laguna, Starfish One-by-One, a Mayan women's mentoring group, Mayan Families who work with local Mayan talent to train technicians and to keep Mayan kids in school, and with the Asturias Academy in Quetzaltenango, Guatemala.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
Created on 08/28/2012 by jsilverberg
Value added agricultural cooperative to better the lives of challenged aboriginal youth and young adults. Revenue sharing; financially self-sufficient.
Organization: Wachiay Friendship Centre, Courtenay, BC
Visit websitemore ↓↑ hide↑ hideOrganization Name
Wachiay Friendship Centre, Courtenay, BC
Country where this solution is creating social impact
Region in BC where your solution creates social impact
Vancouver Island.
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
More than 5 years
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Idea (you're poised to launch)
How long have you been in operation?
Still in idea phase, but looking to launch soon
Which of the following best describes the barrier(s) your solution addresses? Choose up to two
Access, Quality.
The Need: Describe the need for your solution and the size and characteristics of the community(ies) your solution is engaging
The Aboriginal youth and young adult population, in virtually all communities, are impacted by a high incidence of FASD, lack of employment or job opportunities. There are no entrepreneurial co-operative programs that deliver the ability for participants to learn, earn, builds teamwork, get motivated ('get inspired'), build self - confidence, self - reliance, and responsible ownership, all within the scope of a viable commercial enterprise that also delivers benefits by integrating elements of a social enterprise.
The Solution: What is your solution? Be specific!
Design and launch a Value Added Aboriginal Cooperative Enterprise that would encompass (1) community garden for traditional aboriginal plants, herbs, flowers, etc.) (2) small greenhouse to supplement the facility (3) access to Elders and professional gardeners (4) wild harvesting traditional weeds and plants, in a non invasive process (5) branding a value added product line featuring the aboriginal history of each product (6) value adding by drying, blending, formulating to traditional receipes, from sage bundles,to bannock bread kits, from soup dry ingredients kits to chocolate, candies and treats.(7) the plan would be to include a small value adding processing plant, or use established regional blenders and packagers (8) market regionally (craft fairs, gift shops, Christmas markets, school fundraisers) (9) market to duty free shops and gift / souvenir shops in tourist - intensive cities. (10) include entrepreneurial, communications & value added agricultural training and mentoring.
The Model: Walk us through a specific example of how your solution makes a difference; include the primary activities involved in your solution.
(1) Each individual who participates shares in the profits. (2) an internal management team is formed to run the enterprise, with entrepreneurial mentoring provided. These skillsets are invaluable in any direction participants may go in the future (3) a portion of the profits go into a 'cause' selected by the group. It could be to sponsor a local sports team, buy playground equipment for younger kids, contribute to the food bank, Elders dinners...whatever social venue is selected by concensus. (4) the ability to deliver personal growth in areas such as confidence building, communications, leadership, team building, inter personal skills, respect for nature, respect for heritage and tradition, responsibility, decision making (5) this model can be employed into any aboriginal community or urban centre with a high aboriginal populace. ACTIVITIES would include growing crops, wild harvesting, production (value added), marketing and branding, sales, bookkeeping, management skills, team building, financial responsibility.
The Marketplace: Who are your peers and competitors? Identify others working to address the same needs as you and indicate what sets you apart from them.
There are very few aboriginal - oriented agricultural products in the marketplace. Most that exist tend to be in the cosmetics, healing and neutracutical areas. This enterprise herein will not focus on those sectors. This proposed initiative is intended to offer an innovative approach in a revenue -generating, profit - sharing cooperative environment. A review of potential customers, including health food stores, natural products stores, and higher end retailers such as Whole Foods Market and Urban Fare clearly indicated that there is a demand, with very little direct competition.
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
In working with First Nations communities, two things became evident. (1) the wealth of culture and tradition that was not disseminating beyond the closed community, and (2) the potential of the youth and young adults, so many of whom seemed to squandering their potential. Plus there was a significant 'challenged' factor (drugs, alcohol, unemployment, or menial employment). The "aha" moment came when I as working with a group of Elders, talking about the good old days of gathering, growing and blending cure-alls, teas and food, and watching a group of interested young people gather to listen attentively, asking questions. The "solidifying aha" came as I was shopping at a high end grocer, and noticed two products on the shelf, both with an aboriginal brand, both outrageously priced, and both imported from the US. I spoke to the manager, and he said they were well received and sold reasonably well. It was then all of this concept came together in my culminating "aha" moment.
Please describe the goal of your initiative; outline what you are trying to achieve
(1) A pilot project that could employ and mentor aboriginal youth and young adults, and offer an innovative and reasonably unique opportunity to them, with an economic and social return to the host community. (2) a social enterprise that focuses on those individuals "slipping through the cracks" (3) To be able to draw upon this experience to demonstrate to other communities that this is a viable option to consider (4) To work towards financial self - sufficiency by applying business and commercial practices, i.e. running a profitable, cash flow generating business that can e-invest in growth.
What has been the impact of your solution to date?
The idea herein is the first step towards initiating the pilot project. However, those who have been approached, including potential customers (retail chains) have been supportive, and feel this can work.
What is your projected impact over the next five years?
PRIMARY IMPACT ANTICIPATED (1) creation of a commercial enterprise pilot project with social enterprise features imbedded (2) creation of 6-10 jobs, both full time and seasonal (3) creation of an aboriginal value added agricultural product "brand" (4) creation of a mentoring network for participants SECONDARY IMPACT ANTICIPATED (within five years) (1) expansion of the pilot to a full fledged enterprise, employing 20 + full time and seasonal people of aboriginal descent (2) sharing this model with other parties and hopefully seeing the launch of 1-3 other similar ventures elsewhere in BC (not just restricted to Vancouver Island).
What barriers might hinder the success of your project? How do you plan to overcome them?
(1) Designing a model that is financially self sufficient. This will be overcome by focusing on high end, higher value, highly branded niche products, and selecting a suitable distribution system.
(2) Overcoming apathy, or, better put, generating interest. This will be accomplished by carefully structuring and presenting the opportunity to participants and the community.
(3) Land availability for a community garden. This is not seen as a huge obstacle, as most regions have ALR land, unused farmland, etc.
(4) Funding. However, if this business idea is structured and presented with all the economic, financial, social and community development factors presented, and not just as another 'social program', there are funding agencies and likely corporate sponsors that can be approached
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Task 1
Identify the best groupings of products that can be targeting for growth, harvesting and value adding
Task 2
Design the parameters and budgets of a commercial cooperative entity, the marketing brand and the vision for the pilot venture
Task 3
Garner community support, and start to identify potential participants
Now think bigger! Identify your 12-month impact milestone
Task 1
Identify and access funding to launch the pilot initiative
Task 2
Launch the pilot, possibly in a limited scope, and monitor results
Task 3
Review the progress to date, successes and shortcomings, and ready the model to be communicated to others
read more↓↑ hide↑ hideTell us about your partnerships
None to date, as this is just the germination of the idea. However, there will be strategic partnerships developed as this initiative blossoms. Partnerships with corporations and other parties is a "natural".
Are you currently targeting other specific populations, locations, or markets for your solution? If so, where and why?
None yet. The project is focused on the youth and young adult, including those from challenged backgrounds, within the aboriginal populace. The expected customer base is broad-based, non-aboriginal. The target region for the pilot initiative is central Vancouver Island. However, this is simply the base. If successful, future regions within BC (and elsewhere) can avail themselves of the concept.
What type of operating environment and internal organizational factors make your innovation successful?
Wachiay encourages the development and implementation of novel and innovative ideas. The Board is very supportive to any initiative that advances the cause of its aboriginal membership, and the community in general.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
NEEDS - basically, a cooperative, open spirit of teamwork from within the community. The Comox Valley (Vancouver Island), as he host of the pilot,has an excellent relationship with the native community. Where it may deemed of some worth, the community leaders, Chamber and EDO (Economic Development Office) can be approached.
OFFERS - results of this initiative could be shared with others
Created on 08/28/2012 by ccarias
We are a not for profit dutch organisation. Our vision is to develop and promote sustainable economic models for a world full of development opportunities, high quality of life, cultural and environmental diversity, based on sustainable production and consumption, through implementation of alternative and innovative models for sustainable local economic development
Organization: Social Trade Organisation
Visit websitemore ↓↑ hide↑ hideOrganization Name
Social Trade Organisation
Organization Country
Honduras, FM, Tegucigalpa
Country where this project is creating social impact
Honduras, YO, 7 cities in the region of Yoro
Gender of Innovator
Female
Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
More than 5 years
The information you provide here will be used to fill in any parts of your profile that have been left blank, such as interests, organization information, and website. No contact information will be made public. Please uncheck here if you do not want this to happen..
read more↓↑ hide↑ hideName Your Entry
An assets based approach for promotion and empowerment of local entrepreneurship
Select the stage that best applies to your solution
Scaling (the next step will be growing impact on a regional or even global scale)
How long have you been in operation?
Operating for 1‐5 years
The Need: What problem are you trying to solve?
We address the problem to solve through four dimensions in the realm of institutional interventions for development: 1.Strong barriers for entry to local entrepreneurship growth for underserved communities (especially women), for generation of endogenous and resilient local economic development. 2. Weak local money flows that affect demand and supply dynamics that translate into revitalization of the local economy. 3. Paternalism schemes from target groups and insufficient funds from implementing institutions to grant cash start ups for small businesses. 4. Lack of commercial visibility and therefore links to local chains of production and commerce of local SME’s.
The Solution: What is your solution? Be specific!
Our solution is twofold: a local campaign for revitalization of local money flows and promotion of local entrepreneurship based on already existing assets, and, internalization of outward money flows through administration of remittances via mobile phone into a local business network. This is achieved through awareness generation community workshops on how each individual is an agent for change if most of his expenses and investments take place within the community, enhancing local money flows (the more times money changes hands within the community, the more income each person has), also promoting an entrepreneurial attitude towards local unfulfilled market niches, through “coaching for regeneration” services for potential entrepreneurs who wish to establish a business idea. This comes into operation by having remittances senders buy products directly to local shops via sms, to be delivered to their families back home, strengthening local money flows and preventing monetary leaks.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
A mother of two is trying to thrive in her “quesadillas” business. She has tried to sell them to local markets but they have refused due to her low production capacity. She has also tried to raise funds through a small loan but has been declined by financial institutions due to her inability to produce collateral. Her husband sends from the US a monthly remittance that she collects in town,20km away from her community, which supposes a security threat on public transportation where assaults frequently occur. After attending an awareness generation community workshop, she finds more clients willing to buy her products, including local stores, who are paid from abroad with remittances money via mobile phone services. She has also found support to upgrade her business through the coaching for regeneration sessions, making and selling her own cheese for the quesadillas having her teenage daughter help her on the weekend and becoming in charge of one cow her father has agreed to lend her. Her husband now pays directly to local stores a monthly fixed amount to provide groceries, thus, she travels less often and carries less cash with her.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
We have no competence regarding our approach to local economic development, since our project does not grant money or technical assistance to our target groups, but spaces for joint analysis of local money flows and how they can benefit the local economy through behavioral changes and new business start ups, using already existing assets and networks. Regarding remittances, our competence are corporate agencies such as western union, which do not reach the local level that this proposal pursues regarding a local business network. Both instances therefore complement already existing efforts for strengthening local entrepreneurship
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What solution(s) does your initiative address to help emerging entrepreneurs and small businesses grow and thrive in underserved communities? (select all applicable)
Access to financing, Access to supply chains, Access to technology, Access to economic opportunity.
What has been the impact of your solution to date?
In a rural region in Honduras, in a two-year period, 140 new business startups were initiated, of which, 80% started without financial support, using already existing assets different to money. Also, local money flows were enhanced by 16%, towards more spending patterns within the communities engaged. Regarding remittances, in a rural region in Nicaragua, remittances spent through a local business network, received via mobile phone, generated a 10% multiplier effect in the local economy, improving access to financial services for the underserved and a 15% cost reduction regarding sending costs of remittances.Our proporsal makes a difference regarding its “assets based” approach, which generates higher sustainability and depends less on funds granted by external institutions.
What is your projected impact over the next 1-3 years?
In the next three years we hope that some organizations that have already been trained in this approach to local economic development (or are currently in that process) and received advisory from STRO - such as World Vision Honduras, FAO Honduras, the NGO CDH and the NGO REDES- are able to streamline the methodology in other regions and areas of their organizations (with or without STRO’s support). Moreover, we expect to expand the method towards new organizations (at least 10-20) in the region. Consequently, STRO will develop new training basic packages and offer tailor-made advisory services that will allow to reduce the costs of implementation of the model,(initial costs of advisory and supervision from STRO) while increasing its adaptability to local contexts and target groups.
What barriers might hinder the success of your project? How do you plan to overcome them?
The innovative character of the methodology poses a challenge, given that project officers are merely facilitators of local community mobilization and “coachers” of entrepreneurs (in case they request it), not advisors or experts that provide solutions to local communities. This shift demands openness towards a behavioral change from the project officers and a break-down of assistentialist patterns from communities. To overcome this, STRO provides close advisory and includes additional methodological “reinforcement” sessions to the basic training program,adapted to specific conditions of the target group. Regarding remittances administration,some countries have intricate regulatory processes for approval of our procedures. To overcome this,we advance legal work before start of the project
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Supervised practice of the LED methodology and tracking of businesses entering a local network for remittances administration.
Task 1
Institutional teams trained in our approach to local economic development
Task 2
Business network for remittances administration organized and set
Task 3
Awareness on the importance of local money flows has been developed by local population
Now think bigger! Identify your 12-month impact milestone
Local staff certified in our LED approach, new local businesses, enhanced local money flows, appreciation of local assets
Task 1
Institutional teams are able to replicate our approach to LED
Task 2
Business network for remittances administration in full operation
Task 3
Behavioral changes in respect to spending and investing patterns have taken place; new local businesses have been set.
Founding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
Through the first pilot implementation of the proposed methodology, we had several “aha” moments. One of them, in the words of the regional director of an implementing institution, was: “If I had known of this approach before, we would have streamlined it and used it in our programs for development a long time ago, given the sustainability it implies and assures”.A very valuable asset to us and indicator of the program`s potential is the opinion of our own clients, who have repeatedly expressed satisfaction regarding solidarity values, self esteem and use of already existing assets for new businesses proposed by the methodology. In the words of three APLN clients: “Every person has to find an activity to use what is already available” (Celia Cardenas, 26 years old)."I was scared, but I got the courage I needed,with my own effort I have moved one step further towards my goals”(Guillermo Martinez, 18 years old), "This is my vision and illusion, my enterprise."(Iris Muñoz, 37 years old)
read more↓↑ hide↑ hideTell us about your partnerships
The new economics foundation is our mentor in the proposed methodology, after undergoing an adaptation to the Latin American context. We maintain contact with NEF through monthly virtual meetings, along with different organizations who are implementing the methodology in Brazil, Israel, Mozambique and South Africa, to share lessons learned,techniques and ideas.
Implementing partner organizations have been: World Vision/ Honduras, the NGO REDES in El Salvador, FAO and the Human Development Center (CDH in Spanish, funded by NGO CESAL) in Honduras, and the cooperative “20 de abril” in Nicaragua
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
Needs: collaboration and networking are at the base of the proposed methodology, in order to generate alternatives for promotion of sustainable local economic development. Also, innovation and ideas to overcome difficult contexts are in high demand. Offers: STRO is strongly focused on innovation, which we share in collaborative schemes.We have a wide network that serves as a marketing strategy.
Approximately 25 words left (140 characters).
The rampant need for Person's with Disability to gain access to a decent job is what I am trying to solve.But because of poverty,lack of Government support a lot of talented PWDs could not work.
All over the world we are faced of lots of opportunities waiting to alleviate povert,improve the Human Soul and help satisfy the mind.
Created on 08/27/2012 by gina.cappuccitti
We improve the standard of living of poor women in rural Honduras with micro-credit and education. Loans are used to promote financial independence.
Organization: Adelante Foundation
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Is your organization a
Non‐profit/NGO/citizen sector organization
How long has your organization been operating?
More than 5 years
Has the organization received awards or honors? Please tell us about them
We have been recognized by the Grameen Bank as an official Replicator of their lending methodology.
In 2010, we also received a Certificate of Transparency from Mix Market and Redcamif and have continued to provide both these organizations with our indicators each year. We have received a Four Diamond rating the past two years from Mix Market.
In 2011 we submitted our Institutional Action Plan to the Micro Summit Campaign and are maintaining active membership with them.
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read more↓↑ hide↑ hideSelect the stage that best applies to your solution
Established (past the previous stages and has demonstrated success)
How long have you been in operation?
Operating for more than 5 years
Which of the following best describes the barrier(s) your innovation addresses? Choose up to two
Access, Equity.
The Need: What problem are you trying to solve?
In Honduras, 67% of the country's 8.2 million population lives below the poverty line while the country has one of the most unequal income distributions in the world. Hondurans suffer from underemployment rates of over 50%.
Rural Hondurans face poverty with much greater prevalence than urbanized Hondurans. Just under half of Hondurans live in rural areas but 72% of the rural population lives in poverty. The neglect that rural Hondurans endure from government results in continued poverty in rural communities. Further, studies have found women to experience poverty more intensely than men, leaving women to hold the greatest burden.
The Solution: What is your solution? Be specific!
Adelante focuses its integrative microfinance-education program in rural areas of Honduras and over 99% of clients are women. We provide them with small loans to invest in their micro-businesses so that they and their families can enjoy an improved standard of living. Our combination of small business loans and business development education ensures our clients become successful micro-entrepreneurs.
The majority of our loan pool is dedicated to our solidarity group loan product. Clients do not need to own a home or have another form of collateral; instead the pressure involved in the solidarity group loan structure affords eligibility to those who need it most. Once a client develops a solid credit history they become eligible for individual business and home improvement loans.
The Model: Walk us through a specific example of how your solution makes a difference; include your primary activities
Aida Zulema is an example of one Adelante client who has seen a dramatic increase in economic opportunities since taking out her first loan five years ago. Although her children are older, she is now responsible for raising two grandchildren as her own and is also partially responsible for three more.
With the help of Adelante, Aida began her own convenience store after selling lottery tickets in local communities for more than 25 years. Although she continues to travel to sell lottery tickets on the weekends, she is grateful that she and her husband have a steadier source of income with the grocery store. Her husband helps her with the store and also grows vegetable crops to feed his family.
Her first loan was for about $26.00 and her eleventh, most current loan, is for about $633.00. The growth that Aida has experienced demonstrates that many women only require very small loan amounts in order to get started on a successful business venture and expand the economic opportunities for their family.
Aida’s story is only one from the over 6,000 clients Adelante currently serves and 54,983 clients since beginning in 2000.
The Marketplace: Who are your peers and competitors? Identify others also working to address the needs you are and what differentiates you from them. What challenges could these players pose to your success or growth?
Adelante's competition includes 23 other microfinance institutions that operate within Honduras. We take pride in maintaining our focus on poor rural women, who have less access to economic advancement than others in Honduras.
Due to our own commitment to maintaining our mission, Adelante considers it to be a disadvantage to us and to all microfinance institutions when one institution operates irresponsibly. This behavior reduces the confidence that we have built in our own clients and the overall perception of microfinance around the world.
This Entry is about (Issues)
read more↓↑ hide↑ hideFounding Story: We want to hear about your "Aha!" moment. Share the story of where and when the founder(s) saw this solution's potential to change the world.
On October 28, 1998, Honduras suffered from its greatest national catastrophe when Hurricane Mitch made landfall on the Honduran northern coast. The hurricane resulted in leaving 51% of the population homeless, a total of $3.8 billion in damages and the ruin of 90% of banana crops and 70% of total crops. The devastation that the country had become faced with was what inspired Tony Stone, a Stanford graduate, to return to Honduras. Tony spent most of his childhood in La Ceiba and upon arriving back to the country, Tony found that the rural areas of Honduras had been largely ignored despite facing greater poverty rates than urban areas. Adelante was then established in 1999 and began its first loan disbursements on September 14, 2000.
Please describe the goal of your initiative; outline what you are trying to achieve
Adelante's mission is to improve the standard of living of the rural poor of Honduras through micro credit and education. We achieve this by providing rural women with small loans which they can invest in their own micro businesses. Adelante believes that small loans into the businesses of female micro entrepreneurs supplemented by regular business education will empower rural Honduran women with the necessary economic tools to move their families forward.
Which barrier(s) to financial inclusion does your solution seek to address? (select all applicable)
Physical and other accessibility obstacles that prevent communities from reaching financial services, The lack of affordable financial products tailored to the needs of underserved and excluded communities,, Other (Please describe below).
If you selected 'other' above, please specify which other barriers to financial inclusion you solution seeks to address:
Lack of access to educational opportunities that teach rural Honduran women how to run their small businesses.
For which underserved or excluded communities will your solution create access to valuable, affordable, secure and comprehensive financial services?
Adelante serves poor women in rural Honduran communities in Honduras. We work in several areas in which underserved minority groups including the Lenca, Ch'orti' and Garfiuna live. With greater funding, Adelante would be able to expand into other rural areas of Honduras which we have not yet been able to reach. The majority of Honduran microfinance institutions focus primarily within urban areas. This means that any further expansion will allow us to provide small loans for women who have not yet been able to secure financing through other sources, given their geographical location.
Could your solution work in other geographies or regions? If so, where?
Adelante’s lending methodology is based on the Grameen Bank of Bangladesh, which was developed over 30 years ago. Our institutional indicators over the last decade reflect our dedication and success at serving the rural poor. Our lending methodology could be applied to other regions in the world where there are underserved rural communities.
If your solution is dramatically successful, how will things be different in 10 years?
In ten years Adelante will consider itself successful if we have been able to expand into excluded and underserved rural communities of Honduras that we have not yet reached. We currently have five branch offices that serve eight Honduran departments (states): Colon, Atlántida, Islas de la Bahia, Cortes, Yoro, Intibucá, La Paz, and Choluteca.
In 10 years, we will see improvements in the standard of living of the clients with whom we work and will be able to provide financing to larger numbers of rural Honduran women. This will result in greater access to business education and economic opportunities for rural Honduran communities.
In 10 years, we will see improvements in the standard of living of the clients with whom we work and will be able to provide financing to larger numbers of rural Honduran women. This will result in greater access to business education and economic opportunities for rural Honduran communities.
What will have had to have changed to make this happen?
In order to be successful in expanding our reach and impact, we will need greater sources of funding. Although Adelante is operationally self-sustainable (from the revenue generated from interest paid on our loans), we need infusions of capital to expand our loan pool significantly and thus bolster our overall impact level.
What has been the impact of your solution to date?
Since September 2000 Adelante has disbursed over 74,300 loans to more than 54,983 clients. These loans total over 9.3 million dollars. Without these loans, many women would have never been able to improve their families’ standard of living through the application of small business loans.
Our clients know well that our impact goes beyond statistics on loan disbursements. Teresa Rivera, a client from Atlantida recently told us, "What’s good about Adelante is that it’s not just an economic help, but the educational presentations too, they help us to manage our businesses better." The business education that the Credit Officers provide gives our clients invaluable lessons on managing their businesses which is particularly important to those who were not able to complete or attend secondary school.
What is your projected impact over the next five years?
We will continue growing our current three loan products while expanding into other products and services including educational (for clients’ children), agricultural and fixed asset loans, micro-insurance, micro-pensions, mobile banking and more advanced business development education.
We expect to create partnerships to offer loans for value-added services including water purification systems, solar or hydro-electricity and high-efficiency stoves.
We plan to target high-achieving recipients of our education loans with opportunities to begin their own businesses in specialized trades. This is to combat the lack of opportunities for young people that often lead them to turn to crime to make a living.
What barriers might hinder the success of your project? How do you plan to overcome them?
We have been operationally self-sustainable since 2010 due to our high repayment rates and by expanding loan pool with interest paid. However, we plan to expand loan pool to more than what we could do individually. We continue to seek out new avenues of funding, particularly with grants. We expect to continue to receive high repayment rates because of the entrepreneurial education we provide our clients at their bi-monthly assembly meetings and their regular contact with Adelante Credit Officers. The insecurity and corruption are destabilizing factors within Honduras, making our work more difficult and dangerous, although not impossible, to fulfill.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
Expand our loan pool for the home improvement loan allowing more of our clients to have a measurable positive impact on their st
Task 1
Secure at least $45,000 in outside funding to be invested in the home improvement loan in the next six months.
Task 2
Identify 15 clients per month with excellent repayment histories to be recipients of the loans.
Task 3
Evaluate the clients and disburse the loans.
Now think bigger! Identify your 12-month impact milestone
By the end of 12 months we hope to see measurable results demonstrating success in fulfilling our social mission.
Task 1
Carry out the second round of Progress out of Poverty Index surveys to measure improvement in the standard of living of our cli
Task 2
Compare results to the baseline data gathered in 2011.
Task 3
Analyze data to determine whether we are having a measurable impact or, if not, determine our weaknesses and adjust accordingly.
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Current and past funders include Grameen Foundation, Whole Planet Foundation, Women's Empowerment International, and Rotary Foundation. We are pursuing grants with Proctor and Gamble Alumni Foundation, Henry Niles Foundation and others.
We are affiliated with Mix Market, Redmicroh and Redcamif. These partnerships allow for staff training and interaction with our peers in related organizations in the region. Our results are reported to them quarterly and included in analyses of trends in the regional microfinance industry.
Are you currently targeting other specific populations, locations, or markets for your innovation? If so, where and why?
Adelante's focus is on poor women in the rural areas of Honduras. We are always willing to expand into other rural areas of the country that we have not yet begun work in when funding is available to do so.
Specifically, we would like to expand into the western departments of Lempira, Ocotepeque, and Copan where poverty is extreme and there is a dearth of financial services for our target population.
What type of operating environment and internal organizational factors make your innovation successful?
Our operational self-sufficiency since 2010 has enabled us to be in charge of our own success. We have been able to reach out to distinct communities around Honduras by investing our resources into traveling to rural areas without previous access to financial services. Adelante Credit Officers typically come from the areas in which they work, allowing them to have a strong familiarity with the communities’ needs. We provide incentives to our Credit Officers to grow their loan pool while maintaining high repayment and client retention rates.
Please elaborate on any needs or offers you have mentioned above and/or suggest categories of support that aren't specified within the list
We utilize the Progress out of Poverty Index and will soon begin our collaboration with the Social Performance Task Force. We are open to providing information to other organizations to develop mutually beneficial relationships. In addition we maintain affiliation with Mix Market, Redmicroh and Redcamif.
