Microfinance is a service providing small loans or other form of credit products to individuals and or businesses who do not have access to this type of capital or conventional banking solutions and allowing them to work on becoming financially independent.
Many individuals or small businesses in the developing world survive on basic or low income and microfinance is the solution that can help improve their living conditions and small businesses to progress their way to sustainability.
CAUTION: Borrowing more than you can afford to repay can lead to severe financial difficulties.
Microfinance products provide the opportunity for recipients to achieve some of their desires that would otherwise be unrealisable with their existing incomes. Here is how this service is beneficial:
- Access to credit for those who are overlooked in society or do not qualify for conventional banking products.
- Access to credit allows people to better provide for their families and or meet the cost of sales goals for small businesses.
- Offers manageable loan repayment rates as opposed to traditional banking products.
- Potentially, creates employment opportunities for small businesses with expansion as a result of accessing microfinance products.
- Reduces stress and contributes to overall good health for individuals, families, and small businesses with accessible financial solutions to help cushion their needs in dire times. This allows this group of individuals in society to feel like thy matter and restores their dignity.
In closing, some may look at microfinance as an enablement to a vicious cycle of poverty but, as Fincare we believe a happy and supported community leads to positivity when people feel they have adequate resources or solutions to change their lives for the better. And as the famous song by Scarface says… Money makes the world go round!
