In the United States of America, as in our country, there is some kind of uncertain attitude towards microloans. Many people believe that this is a good type of business financing, but some believe that they are designed to serve the lower strata of the population.
This may be due to the fact that it is officially considered that microcredit appeared in Bangladesh, where the founder of Grameen Bank, began to issue small loans to the rural poor about a decade ago. These measures eventually led to noble goals. There was an alternative to usurers, support for small businesses, the fight against poverty, the empowerment of women, and as a result, entire communities were raised. In 2006, won the Nobel Prize, and his concept spread throughout the world.
The moral of this story is that microloans in the United States are available for small businesses that do not have sufficient credit history or may be owned by women or minorities – groups of the population who, as a rule, do not have access to funding.
In fiscal year 2016, the US administration provided 4,472 microloans to small businesses totaling more than $ 60 million. About 40% of loans were issued to organizations owned by women and members of minorities. In addition, in 2016, more than 40% of microloans were closed, their terms were two years or less.
“Microloans are more focused on people who have difficulty accessing a traditional loan,” says director of a well-known foundation for microenterprise innovation. “Microfinance organizations are usually more flexible than banks. If someone has a short credit history or doesn’t have it at all, then MFIs are more willing to consider other factors, such as business cash flow. ”
The limit on a microloan in the United States is $ 50,000, and the average amount of such a loan is about $ 13.000. Enterprises can use this money to purchase the necessary equipment, consumables, furniture, machinery and other equipment. Microloans are issued for no more than 6 years and, as a rule, have rates below 10%. But if we talk about long-term loans, financing prices may bite.
First of all, the organization should have a business plan. For those who may have difficulty with its preparation, there are special centers for small business development that can help in writing a business plan.
MFIs typically request information about an enterprise, such as a tax return, bank statement, and others.
As in Russia, different microfinance organizations have different criteria for scoring their clients. Most often, they request a personal credit history of one of the participants in the business. Unlike banks, the CI score is more flexible, which makes it more likely to take a microloan. Studying personal data, the MFI concludes that the participant will treat their business as well as their own finances.
In the US, there is a specially appointed mediator for this. These non-profit organizations have extensive experience in the field of lending and can provide substantial assistance to small businesses.
On the official website of small business support, a catalog has been provided of creditor participants, which are located throughout the country. Without any difficulties, a company that wants to take a loan is registered on the site and answers simple questions about its business and its financial needs. After that, in a short time receives a list of MFIs that are most suitable for cooperation.
In addition to this site, there are several non-profit organizations that can provide information about MFIs. They differ in the interface and some terms of cooperation.
The company has well established itself, which connects credit organizations and potential borrowers on its Internet site. At the moment, through this site has already passed 936.5 million dollars in 82 countries. About 1.6 million borrowers are registered in the system. Of all loans issued, 97.1% were successfully repaid. There is one nuance of this site: sometimes you may need to attach relatives or friends to your business to get a loan.