Did you know that family circles are a better business solution for local small scale development programs? Did you also know that group financing is also an effective strategy for community based micro loans?
Savings Loans Association (SLA) is currently embarking on giving small micro loans to group members as opposed to individual micro loans. Members of the group (on an average, a group has 5-10 members) are responsible for issuing smaller loans to each member group. There are a number of advantages to this strategy:
1) The group is responsible to ensure that all monies received are returned for to SLA so that others can also borrow and improve economic livelihoods.
2) Savings, and rational decision skills are empowered among members.
Savings Loans Association will officially embark on the first group micro finance to a group of 8 members this coming month (June 2009)
Monday, May 25, 2009
Friday, May 1, 2009
Group Loans-A solution for micro credit Programs
Savings Loans Association with the support of a Dutch organization has embarked on a unique strategy to ensure that all micro loans given for community and household empowerment are utilized and returned continue the development intervention. How does this approach work?
1) The community identifies a project that would generate income to support individual households and community in general
2) The community members select individuals to join the groups comprising of 5 members per grou
3) SLA provides a block fund (micro loan) to the group
4) Each member of the group receives an average of $100-$250 micro loans and all payments to SLA is made as a group-If one defaults, the group has to meet the requirements for defaulting.
The advantage of this process allows individual members in the group to comply and ensure that all payments are done and on time-otherwise if not, the group is asked to pay a fine.
All members of the group feel ownership of the group project and individual household are empowered to sustain their lives.
1) The community identifies a project that would generate income to support individual households and community in general
2) The community members select individuals to join the groups comprising of 5 members per grou
3) SLA provides a block fund (micro loan) to the group
4) Each member of the group receives an average of $100-$250 micro loans and all payments to SLA is made as a group-If one defaults, the group has to meet the requirements for defaulting.
The advantage of this process allows individual members in the group to comply and ensure that all payments are done and on time-otherwise if not, the group is asked to pay a fine.
All members of the group feel ownership of the group project and individual household are empowered to sustain their lives.
Wednesday, March 25, 2009
Scaling up our work
With the current economic global crisis, to access funding for programs is a huge challenge that many local/small organizations like SLA is currently facing. Fortunately enough, we have been lucky to be blessed by our faithful partners-SLA has just recently been granted funds to help us scale up our HIV/AIDS home Based Care Program and micro loans. In the coming quarter, we will continue to provide additional micro loans to 10 more families who have been impacted by chronic poverty and HIV/AIDS.This means, 10 more families will be able to make additional money and improve economic livelihoods for their famiy members-
In addition, we will continue to provide the love, care and support for families with terminally ill patients for an additional 15 homes. In this regard, children who were concerned about their bleak future will now have something to smile about.
For more information about these program and our new sponsors from Netherlands, please contact us and/or coninue to visit our website. For those faithful partners and donors we graciously thank you for your continued support!!
In addition, we will continue to provide the love, care and support for families with terminally ill patients for an additional 15 homes. In this regard, children who were concerned about their bleak future will now have something to smile about.
For more information about these program and our new sponsors from Netherlands, please contact us and/or coninue to visit our website. For those faithful partners and donors we graciously thank you for your continued support!!
Saturday, February 14, 2009
Can $50 really change the life of a Zambian woman?
Many critics argue that donating a $50 to a micro credit organization can not in reall terms make any difference in the life of an ordinary person in Zambia.
Savings Loans Association Home Based Care www.sloansassociation.org is a loca organization that proves right that a small donation of $50 can in deed make a huge difference.
Josephine Nkandu is one such lady who after the lose of her job as cleaner lost hope of finding another job in Zambia's crippling economy affected by the global financial crisis. For many months, Josephine struggled to look after her four children pus husband who was out of employment due to midical conditions.This was a nightmare for Josephine!
Savings Loans Association gave Josephine a small loan of $50 (250,000 Kwachas) to start a small business selling daily basic needs such as sugar, oil and bread. On an ordinary day, she made an average profit of $8. Josephine recieved financial and business basic training from Savings Loans Micro enterprise training programs and she was able to manage her finances diligently. She has now expanded her business with a capital of $350 and hopes to do even better in the near future.
This is one typical example of how "small loans" can make a difference in the lives of people who would do so well if given a chance and training to manage their income.
For more information about Josephine and her story you can contact US
Savings Loans Association
www.sloansassociation.org
Savings Loans Association Home Based Care www.sloansassociation.org is a loca organization that proves right that a small donation of $50 can in deed make a huge difference.
Josephine Nkandu is one such lady who after the lose of her job as cleaner lost hope of finding another job in Zambia's crippling economy affected by the global financial crisis. For many months, Josephine struggled to look after her four children pus husband who was out of employment due to midical conditions.This was a nightmare for Josephine!
Savings Loans Association gave Josephine a small loan of $50 (250,000 Kwachas) to start a small business selling daily basic needs such as sugar, oil and bread. On an ordinary day, she made an average profit of $8. Josephine recieved financial and business basic training from Savings Loans Micro enterprise training programs and she was able to manage her finances diligently. She has now expanded her business with a capital of $350 and hopes to do even better in the near future.
This is one typical example of how "small loans" can make a difference in the lives of people who would do so well if given a chance and training to manage their income.
For more information about Josephine and her story you can contact US
Savings Loans Association
www.sloansassociation.org
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