Small Loans, Big Impact

We all know the global economic outlook isn’t good these days, and in times like this it’s more important than ever to reach out to those in need, but it can be hard to know where to begin. That’s where Kiva steps in: connecting lenders with hard-working entrepreneurs from impoverished countries. This isn’t just sending a cheque off to a large organization where you’re never quite sure who benefits from your donation. Instead Kiva allows lenders to browse profiles on the site, choose who they want to lend to, learn the story of the entrepreneur and about the business he or she is creating, and then decide how much to lend. Donations can be as little as $25 and the loan cycle is typically six months to a year when the loan is then repaid. The company creates a personal connection between lenders and entrepreneurs, allowing lenders to witness the impact of their loans through email journal updates. (Daily Grommet made a loan to grocer Tuhfa Rahmatova from Tajikistan, who wants to add more variety to her offerings—we can relate! See her progress here. Kiva, the first micro-lending website, was founded by Matt and Jessica Flannery after the couple spent time in East Africa and recognized the impact small loans to local business owners could make. It’s innovation like this that just may help turn the economy around.

Kiva

World's First Microfinance Lending Platform

Small Loans, Big Impact

We all know the global economic outlook isn’t good these days, and in times like this it’s more important than ever to reach out to those in need, but it can be hard to know where to begin. That’s where Kiva steps in: connecting lenders with hard-working entrepreneurs from impoverished countries. This isn’t just sending a cheque off to a large organization where you’re never quite sure who benefits from your donation. Instead Kiva allows lenders to browse profiles on the site, choose who they want to lend to, learn the story of the entrepreneur and about the business he or she is creating, and then decide how much to lend. Donations can be as little as $25 and the loan cycle is typically six months to a year when the loan is then repaid. The company creates a personal connection between lenders and entrepreneurs, allowing lenders to witness the impact of their loans through email journal updates. (Daily Grommet made a loan to grocer Tuhfa Rahmatova from Tajikistan, who wants to add more variety to her offerings—we can relate! See her progress here. Kiva, the first micro-lending website, was founded by Matt and Jessica Flannery after the couple spent time in East Africa and recognized the impact small loans to local business owners could make. It’s innovation like this that just may help turn the economy around.
Philanthropy
Social Enterprises

Grommet Launch Conversation

Grommet Launch Conversation

  • Matt
    Matt

    Kiva.org is the world's first online person-to-person micro-lending website, and our mission is to connect people through lending for the sake of alleviating poverty.

    After witnessing microfinance first-hand in Africa, I really wanted to create a way where everyday people could lend to hard-working entrepreneurs across the globe, using technology as a tool to connect lenders and borrowers. Today Kiva has over 400,000 lenders who have facilitated almost $60 million in loans to entrepeneurs in 44 countries. It’s amazing to be part of such a large global network of people working together to affect poverty one loan at a time.

  • Kathie
    Kathie
    2/11/2009 12:16 PM

    This is a fantastic idea. I will definitely share this one.

  • Jules
    Jules – Grommet Team
    2/11/2009 12:17 PM

    People sometimes experience a little whiplash in their Daily Grommet experience. “Hey what are you guys doing? Monday it was a jewelry kit. Tuesday it was chicken soup. Now today you are encouraging people to make loans to people halfway across the world.”



    There is a method to our madness. First, when we think about innovation and wonderful stories, we see them as extending to all kinds of products and services, and we want to reflect that in what we feature. Second, we think it’s a lot more interesting to not know what to expect from us on any given day. Third we always mix in days which are not “commercially oriented”, like Kiva, because what is the point of building a business if you don’t give back and do some good? We just have to help where we can.



    I am totally pumped up about Kiva….techies know about it, but lots and lots of other people don’t. So we are spreading the good word. I really did find it totally compelling to search for “my” loans. I wanted to find women doing stuff that men usually do…like construction, and being a butcher. You can pursue whatever angle or geography or gender you like, in choosing your loan. Have at it!

  • Katherine
    Katherine
    2/11/2009 12:32 PM

    We've received Kiva Loan gift cards for the past two Christmas' from family. It's a perfect and meaningful gift because we have no need for ANYTHING material. It's amazing how far a small amount of money can go in other countries. To loan that small amount of money to someone who is investing it in a business that will continue to make the money grow for them and their community is amazing and absolutely the right way to help. We've actually had two of our loans fully repaid and been able to re-loan that same money again! My hats off to KIVA for TRULY putting something together that will make a positive difference in the world!

  • Carrie
    Carrie
    2/11/2009 12:53 PM

    I love the idea of a Kiva gift certificate -- good thinking!

  • kimberly
    kimberly
    2/11/2009 2:09 PM

    I LOVE Kiva.org!! I gave $25 Kiva gift certificates to each of my 3 girls for Christmas and had them choose who to loan their money to. We then looked up the location of the world map and then get updates about each of their chosen people. This has been a great learning/ service project for our family about ways to help others around the world! Way to go Daily Grommet for highlighting this one.

  • Jeff
    Jeff
    2/11/2009 3:55 PM

    Great highlight today! As a returned Peace Corps volunteer, I am a big believer in this sort of direct impact work. I've also seen the challenges of working in very poor conditions that drive up the level of fraud. So, the default rate of 2.5% for Kiva's past $21 million in loans is just amazing! 2.5% would be very respectable overhead rate for most charities, and with Kiva there isn't that additional overhead, so I've just joined. Keep these kinds of grommets coming on a regular basis! :)

    (I pasted in the link I found for Kiva's "Risk and Due Diligence" page)

  • Ben
    Ben
    2/11/2009 4:28 PM

    Thanks to everyone in the Daily Grommet community for the kind words!

    It's great to see such enthusiasm for Kiva's mission here, and we appreciate all of your help in spreading the word.

    We don't have a marketing budget at Kiva, so it's really these sorts of person-to-person recommendations that are responsible for Kiva's continued growth!

  • Melissa
    Melissa
    2/11/2009 11:03 PM

    I've lived all over the world during the last 15 years, and our family really likes this organization. They do good work, and we've made quite a few loans.

  • Christine
    Christine
    2/11/2009 11:50 PM

    Kiva's a great site! A friend "gave" us Kiva credits as a wedding gift over 2 years ago and we've been making Kiva loans ever since - the money gets repaid and we pick a new person to loan it to - we love it! Great feature, Grommet!

  • Wendy Wallach
    Wendy Wallach
    2/11/2009 11:58 PM

    Great idea and so relevant to our troubled times.

    madamerkf at aol dot com

  • Andrea
    Andrea
    2/12/2009 8:35 AM

    This is some great reading! Great idea and it is wonderful to see organization doing this kind of thing!

  • Jules
    Jules – Grommet Team
    2/16/2009 9:23 PM

    My college roommate Anne was visiting this past weekend and she brought us a Kiva gift certificate as a host/hostess gift. I'm thrilled! Can't wait to grab a couple of my kids and let them pick an entrepreneur to help.

  • Jeffrey C
    Jeffrey C
    12/21/2009 11:30 PM

    Not sure if it is still relevant to leave a message here but wanted to say that I'd joined Kiva back in February and my loan to a small shopkeeper in Benin has been fully repaid. Thus I can now re-loan that money to a new person. Great organization to check out during this holiday season and you can loan as little as $25. Happy Holidays everyone!

  • Warna
    Warna
    2/12/2012 11:28 AM

    Love Kiva! I am on my third loan. I gtiefd my grandfather with some Kiva credit a few years ago and he has kept it up to eight.

  • Katherine
    Katherine – Grommet Team
    12/22/2009 8:54 AM

    @Jeffrey - these are ongoing message boards so you can stop back at any time with a comment or question. Thank you for sharing your positive experience with your KIVA loan with us!

  • Terry Reed
    Terry Reed
    10/26/2011 7:07 AM

    Dear Matt, since your essay above mentioned "across the globe" I am assuming it includes the USA, too. My friend and I have a great idea for recycling jeans as new fashion wear. We don't need much to start with, enough to create test products to see if we have a market. Do you microfinance in the USA?

  • Katherine
    Katherine – Grommet Team
    10/26/2011 10:28 AM

    @Terry Reed: I found this at their website. Best of luck to you:

    Kiva does not process loan applications, but if you would like to apply for a loan, you can contact the Kiva Field Partner (microfinance institution) in your local area. A list of Kiva's Field Partners can be found on the Field Partners page: http://www.kiva.org/partners

    If you do not find a Microfinance Institution near you, please try the Mix Market, which is a great website that collects data on microfinance institutions around the world. Please refer to their website at http://www.mixmarket.org

    Please note that Mix Market is an information service and does not provide funding. Also note that Kiva does not participate or have a say in which businesses are selected by our Field Partners.

  •  Cirvalina Longboy
    Cirvalina Longboy
    10/3/2012 2:31 PM

    You are a genius. We need money to finance a community center in our poor barrio inthe township of San Nicolas Ilocos Norte, Philippines. We have collected almost $4,000 to build it but we need $10,000 to build and furnish it. We need a minimum of $6,000. Habitat for Humanity-Philippines is our partner. You can be asured that we will pay it back. We are looking for donors for a goos cause also.

    Cirvalina Longboy

    808-421-7381

  • Cirvalina
    Cirvalina
    10/24/2012 1:02 PM

    Please contribute to this worthy cause. The community will hold its life learning seminars there; the small entrepreneurs using the skills they learn, will pay a small fee to use the center to market their products. The money collected for the use of the community center will help payback the loan. A volunteer treasurer for the community center will collect the fee and pay back the loan. The management of the money collected will be an application of one of the skills they'll learn.

  • Cirvalina
    Cirvalina
    10/24/2012 1:04 PM

    Donations from former residents of the poor barrio who are now living in the United States will help payback the loan. Please help us.

The launch day conversation has ended. Please direct further questions about this Grommet to our Community Experience Team.

 

Kiva

World's First Microfinance Lending Platform

Small Loans, Big Impact

We all know the global economic outlook isn’t good these days, and in times like this it’s more important than ever to reach out to those in need, but it can be hard to know where to begin. That’s where Kiva steps in: connecting lenders with hard-working entrepreneurs from impoverished countries.

This isn’t just sending a cheque
off to a large organization where you’re never quite sure who benefits from your donation. Instead Kiva allows lenders to browse profiles on the site, choose who they want to lend to, learn the story of the entrepreneur and about the business he or she is creating, and then decide how much to lend. Donations can be as little as $25 and the loan cycle is typically six months to a year when the loan is then repaid. The company creates a personal connection between lenders and entrepreneurs, allowing lenders to witness the impact of their loans through email journal updates. (Daily Grommet made a loan to grocer Tuhfa Rahmatova from Tajikistan, who wants to add more variety to her offerings—we can relate! See her progress here.

Kiva, the first micro-lending website, was founded by Matt and Jessica Flannery after the couple spent time in East Africa and recognized the impact small loans to local business owners could make. It’s innovation like this that just may help turn the economy around.
Read More Read Less
Kiva - Loans that Change Lives

Grommet Launch Conversation

  • Matt
    Matt

    Kiva.org is the world's first online person-to-person micro-lending website, and our mission is to connect people through lending for the sake of alleviating poverty.

    After witnessing microfinance first-hand in Africa, I really wanted to create a way where everyday people could lend to hard-working entrepreneurs across the globe, using technology as a tool to connect lenders and borrowers. Today Kiva has over 400,000 lenders who have facilitated almost $60 million in loans to entrepeneurs in 44 countries. It’s amazing to be part of such a large global network of people working together to affect poverty one loan at a time.

  • Kathie
    Kathie
    2/11/2009 12:16 PM

    This is a fantastic idea. I will definitely share this one.

  • Jules
    Jules – Grommet Team
    2/11/2009 12:17 PM

    People sometimes experience a little whiplash in their Daily Grommet experience. “Hey what are you guys doing? Monday it was a jewelry kit. Tuesday it was chicken soup. Now today you are encouraging people to make loans to people halfway across the world.”



    There is a method to our madness. First, when we think about innovation and wonderful stories, we see them as extending to all kinds of products and services, and we want to reflect that in what we feature. Second, we think it’s a lot more interesting to not know what to expect from us on any given day. Third we always mix in days which are not “commercially oriented”, like Kiva, because what is the point of building a business if you don’t give back and do some good? We just have to help where we can.



    I am totally pumped up about Kiva….techies know about it, but lots and lots of other people don’t. So we are spreading the good word. I really did find it totally compelling to search for “my” loans. I wanted to find women doing stuff that men usually do…like construction, and being a butcher. You can pursue whatever angle or geography or gender you like, in choosing your loan. Have at it!

  • Katherine
    Katherine
    2/11/2009 12:32 PM

    We've received Kiva Loan gift cards for the past two Christmas' from family. It's a perfect and meaningful gift because we have no need for ANYTHING material. It's amazing how far a small amount of money can go in other countries. To loan that small amount of money to someone who is investing it in a business that will continue to make the money grow for them and their community is amazing and absolutely the right way to help. We've actually had two of our loans fully repaid and been able to re-loan that same money again! My hats off to KIVA for TRULY putting something together that will make a positive difference in the world!

  • Carrie
    Carrie
    2/11/2009 12:53 PM

    I love the idea of a Kiva gift certificate -- good thinking!

  • kimberly
    kimberly
    2/11/2009 2:09 PM

    I LOVE Kiva.org!! I gave $25 Kiva gift certificates to each of my 3 girls for Christmas and had them choose who to loan their money to. We then looked up the location of the world map and then get updates about each of their chosen people. This has been a great learning/ service project for our family about ways to help others around the world! Way to go Daily Grommet for highlighting this one.

  • Jeff
    Jeff
    2/11/2009 3:55 PM

    Great highlight today! As a returned Peace Corps volunteer, I am a big believer in this sort of direct impact work. I've also seen the challenges of working in very poor conditions that drive up the level of fraud. So, the default rate of 2.5% for Kiva's past $21 million in loans is just amazing! 2.5% would be very respectable overhead rate for most charities, and with Kiva there isn't that additional overhead, so I've just joined. Keep these kinds of grommets coming on a regular basis! :)

    (I pasted in the link I found for Kiva's "Risk and Due Diligence" page)

  • Ben
    Ben
    2/11/2009 4:28 PM

    Thanks to everyone in the Daily Grommet community for the kind words!

    It's great to see such enthusiasm for Kiva's mission here, and we appreciate all of your help in spreading the word.

    We don't have a marketing budget at Kiva, so it's really these sorts of person-to-person recommendations that are responsible for Kiva's continued growth!

  • Melissa
    Melissa
    2/11/2009 11:03 PM

    I've lived all over the world during the last 15 years, and our family really likes this organization. They do good work, and we've made quite a few loans.

  • Christine
    Christine
    2/11/2009 11:50 PM

    Kiva's a great site! A friend "gave" us Kiva credits as a wedding gift over 2 years ago and we've been making Kiva loans ever since - the money gets repaid and we pick a new person to loan it to - we love it! Great feature, Grommet!

  • Wendy Wallach
    Wendy Wallach
    2/11/2009 11:58 PM

    Great idea and so relevant to our troubled times.

    madamerkf at aol dot com

  • Andrea
    Andrea
    2/12/2009 8:35 AM

    This is some great reading! Great idea and it is wonderful to see organization doing this kind of thing!

  • Jules
    Jules – Grommet Team
    2/16/2009 9:23 PM

    My college roommate Anne was visiting this past weekend and she brought us a Kiva gift certificate as a host/hostess gift. I'm thrilled! Can't wait to grab a couple of my kids and let them pick an entrepreneur to help.

  • Jeffrey C
    Jeffrey C
    12/21/2009 11:30 PM

    Not sure if it is still relevant to leave a message here but wanted to say that I'd joined Kiva back in February and my loan to a small shopkeeper in Benin has been fully repaid. Thus I can now re-loan that money to a new person. Great organization to check out during this holiday season and you can loan as little as $25. Happy Holidays everyone!

  • Warna
    Warna
    2/12/2012 11:28 AM

    Love Kiva! I am on my third loan. I gtiefd my grandfather with some Kiva credit a few years ago and he has kept it up to eight.

  • Katherine
    Katherine – Grommet Team
    12/22/2009 8:54 AM

    @Jeffrey - these are ongoing message boards so you can stop back at any time with a comment or question. Thank you for sharing your positive experience with your KIVA loan with us!

  • Terry Reed
    Terry Reed
    10/26/2011 7:07 AM

    Dear Matt, since your essay above mentioned "across the globe" I am assuming it includes the USA, too. My friend and I have a great idea for recycling jeans as new fashion wear. We don't need much to start with, enough to create test products to see if we have a market. Do you microfinance in the USA?

  • Katherine
    Katherine – Grommet Team
    10/26/2011 10:28 AM

    @Terry Reed: I found this at their website. Best of luck to you:

    Kiva does not process loan applications, but if you would like to apply for a loan, you can contact the Kiva Field Partner (microfinance institution) in your local area. A list of Kiva's Field Partners can be found on the Field Partners page: http://www.kiva.org/partners

    If you do not find a Microfinance Institution near you, please try the Mix Market, which is a great website that collects data on microfinance institutions around the world. Please refer to their website at http://www.mixmarket.org

    Please note that Mix Market is an information service and does not provide funding. Also note that Kiva does not participate or have a say in which businesses are selected by our Field Partners.

  •  Cirvalina Longboy
    Cirvalina Longboy
    10/3/2012 2:31 PM

    You are a genius. We need money to finance a community center in our poor barrio inthe township of San Nicolas Ilocos Norte, Philippines. We have collected almost $4,000 to build it but we need $10,000 to build and furnish it. We need a minimum of $6,000. Habitat for Humanity-Philippines is our partner. You can be asured that we will pay it back. We are looking for donors for a goos cause also.

    Cirvalina Longboy

    808-421-7381

  • Cirvalina
    Cirvalina
    10/24/2012 1:02 PM

    Please contribute to this worthy cause. The community will hold its life learning seminars there; the small entrepreneurs using the skills they learn, will pay a small fee to use the center to market their products. The money collected for the use of the community center will help payback the loan. A volunteer treasurer for the community center will collect the fee and pay back the loan. The management of the money collected will be an application of one of the skills they'll learn.

  • Cirvalina
    Cirvalina
    10/24/2012 1:04 PM

    Donations from former residents of the poor barrio who are now living in the United States will help payback the loan. Please help us.

The launch day conversation has ended. Please direct further questions about this Grommet to our Community Experience Team.