In our pursuit to help teams reach their goals, we are proud sponsors of Tear Funds Microenterprise Project. We regularly make a donation to this exciting project.

What is Microenterprise?
Microenterprise is the provision of small, fair credit loans to the poor to establish small businesses. As these loans are repaid, they are loaned again, creating a sustainable cycle of development. No hand outs, just a hand up.

Is it effective?
Microenterprise is one of the most effective ways to lift families out of poverty in developing countries. Loans from as little as $100 transforms lives. The Microenterprise programme has been running for almost 20 years with loan repayment rates of 98%, creating tens of thousands of jobs. As businesses take start to grow, the first to benefit are the children.

How does it work?

Many of the world’s poor are self-employed. They sell and raise livestock, run market stalls, produce handicrafts and recycle rubbish. The major problem these enterprising poor face is their lack of working capital. In many countries the formal financial sector does not extend to the poor. These people are left to raise credit from informal moneylenders, who charge exorbitant interest rates, sometimes as high as 3000% per annum. Microenterprise seeks to address this problem by extending small, fair credit loans, (typically $100 to $200) and other financial services to poor borrowers for income generating, self-employment projects. This allows the poor to improve their standard of living for themselves, their families, and their communities.   For more information see www.tearfund.org.nz