Kiva+Loans

Loan #1 KIVA – Loan Justification Your Name:

Potential Recipient URL [] Name: Tengku Anika Country: Ecuador Type of Loan: Foodstuffs

Criteria

1. Risk

 Borrower (Credit history/Personal character): Vision Fund

 Field Partner (Risk Rating, Delinquency Rate, Default Rate): Risk Rating: 40% Delinquency Rate: 0.00% Default Rate: 0.00%

 Country Risk (Economic, Political, Natural Disaster) Economic: Largest economy in south-east Asia, and is one of the emerging market economies of the world. The country is also a member of the G-20. Political: Becoming more and more stable. Natural Disaster: The country is susceptible to Tsunamis and Volcanoes.

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">2. Business Plan - Small Business Start Ups

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Potential for success: According to the description, Tengku’s business is highly successful, and the only thing holding her back is capital in order to increase the space for her business. The fact that this occupation went from her hobby to a full-fledged business suggests that it is highly successful.

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;"> Potential for sustainability: This business is very sustainable as people will always need to buy clothes, and she buys cloth from local merchants/

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;"> Potential for regional economic benefit: Tengku’s business supplies the populace with well-made clothes and creates a demand for cloth and other raw materials needed for clothes.

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">3. Borrower

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;"> Perceived level of need: In order to make this business more successful, she needs more capital.

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Financial responsibilities/commitments of individual: She is responsible for her 4 children.

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">4. Summary:

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Tengku Anika seems to be a mother who is very hardworking and intelligent; she has been in business for over 27 years and must know what she is doing; she has been able to make her hobby a business. Helping Mrs. Anika would help a fledgling business while providing economic benefits to the region as she would be buying raw materials from farmers and providing a reliable source of clothing for consumers. The borrower is not all that trustworthy, but Indonesia is a country which seems slightly dangerous; it has active volcanoes and a poor economy. Overall, however, this seems like an intelligent investment.

<span style="font-family: 'Times New Roman',serif;"> Loan #2 <span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">KIVA – Loan Justification Your Name:

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Potential Recipient URL: [] <span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Name: Delia Andrea <span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Country: Ecuador <span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Type of Loan: Foodstuffs

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Criteria

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">1. Risk

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;"> Borrower (Credit history/Personal character): Fodemi

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;"> Field Partner (Risk Rating, Delinquency Rate, Default Rate): <span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Risk Rating: 70% <span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Delinquency Rate: 0.00% <span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Default Rate: 0.00%

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;"> Country Risk (Economic, Political, Natural Disaster) <span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Economic: Ecuador has a terrible economy which is shrinking <span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Political: There is tension between the president and Ecuadorians because of the economy; but it is largely peaceful. <span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Natural Disaster: There is an above average chance of a volcano explosion occurring.

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">2. Business Plan - Small Business Start Ups

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Potential for success: This food stand has the potential to be very successful given its position in a highly touristic city and the fact that Delia has been in this place for the past three years, so she must know the local needs and wants.

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;"> Potential for sustainability: a food stand that buys its produce organically has a high sustainability, and people will always be in need of food, so demand will always be present.

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;"> Potential for regional economic benefit: Having an extra demand for food will help farmers gain a better livelihood as they will have clients, and the clients of this food stand will be able obtain a secure source of food.

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">3. Borrower

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;"> Perceived level of need: In order to be able to pay for her children to go to university, she must expand her business.

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Financial responsibilities/commitments of individual: She is responsible for her children.

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">4. Summary:

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Delia Andrea seems to be a mother who is very hardworking on intelligent; she has been in business for over 3 years and must know what she is doing. Helping Mrs. Andrea would give regional economic benefits to the region as she would be buying crops from farmers and providing a reliable source of food for consumers. The borrower seems trustworthy enough, but Ecuador is a country which seems slightly dangerous; it has active volcanoes and a poor economy. Overall, however, this seems like an intelligent investement.

<span style="color: black; font-family: 'Times New Roman',serif; font-size: 12pt;">Source: @http://future.state.gov/where/stories/countries/44262.htm

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