What is a micro loan

Very small loans ($50-$300) that help poor women start small business to create a sustainable income. Salaries or wage paying jobs are scarce in many developing countries. Up to 80% of such populations derive their incomes from self-employment. To survive, they must create their own jobs by starting tiny businesses or micro-enterprises. However, in many instances entrepreneurs lack the capital to initiate or grow their businesses. Small micro credit loans can provide that money. These loans are used to start a business or “micro-enterprise” to support their families’ basic needs. These “micro-entrepreneurs” make food, sew clothes, mend shoes, or sell vegetables and fruit in the street- anything to put food on the table.

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carolyn.corwin@greatercontribution.org