What Microfinance is, How it works, and How it can help

people overcome poverty

How it Works

How does Microfinance work?

Microfinance is when someone wants to start a business, and seeks out for someone who will loan them financial help. Its actually very simple. Believe it or not one little loan can go a long way.

By loaning to one entrepreneur you could change their life for free.

How it Works Someone who wants to earn money or make a

difference in their community by starting a business can go to a microfinance officer and ask for a loan

Then if the loan is granted they become an entrepreneur and will be put on a website such as Kiva

Once they are on the website then people can loan to them

So when someone loans to them through the website they can use the loan to start up their business

As soon their business is up and running and they have made enough money they will pay back your loan plus any added interest

How it Helps

Entrepreneurs like Salifu Hassana can use the money they make from their business to:

Create a better life for and support their family

Send their kids to school

and Help the community

Changing one person’s life in a developing country like Ghana can help make even greater changes for the people around them.