In 2009, members of the bridge community created a microfinance lending team through Kiva, a microfinance website that connects donors with money to entrepreneurs in primarily developing nations. Microfinance refers to providing small loans to groups and individuals in developing countries to support their business initiatives. Money is directed through Kiva to local financial institutions that manage these small loans. Loan sizes could range from $2,500 to $10,000 depending on the size of the group.

Individual lenders on the bridge’s lending team pick specific people to give a minimum of $25 toward their loan. When the loan is funded from multiple lenders all over the world, the entrepreneur uses that to improve their business to enhance their quality of life and that of their family. Loans are paid back over the course of 1-2 years with a repayment success rate over 98%. As it is paid back, lenders can withdraw their money or re-lend it to someone else. Lenders make no profit on their loans.

Currently, the bridge’s lending team has made over 300 loans to individuals and groups in 50 nations around the world. New members are always welcome to join our lending team and you can check it out at: http://www.kiva.org/team/the_bridgemarkham.

How does microfinancing work?

Check out this video to see the impact of Kiva since they started up in 2005: