The alternative to the alternatives
The Microloan program flips the traditional lending model and bases lending on trusted relationships between partner organizations – such as nonprofits, community organizations, and educational institutions – and individuals in the communities they serve. While character-based, community circle micro-lending is not new, especially internationally, the practice of offering loans through member organizations versus a traditional banking institution is a largely untried model in the United States.
This program has been called “the alternative to the alternatives” as it does not require credit, collateral, or status; and shifts the decision-making authority to community organizations, nonprofits, and institutions based on character, goals, and determination – so entrepreneurs can build businesses that succeed.