Photo Caption: Osmana (left) opened her shop after Ruth’s (right) parents passed away so she could help support Ruth’s education. With help growing the business, Ruth has continued toward finishing her degree.
Since 2009, we have provided nearly 1,000 community-based loans in Nicaragua for a wide range of small enterprises. Over time, we have built close relationships with borrowers and watched those loans create meaningful changes in family income, stability, and opportunity. After carefully testing and refining our approach, the lending program became an official Nicaraguan nonprofit in 2017, which allowed us to extend lower-cost loans to entrepreneurs through local partner organizations across the country. In 2022, we also became a licensed Nicaraguan microfinance entity operating under the country’s formal regulatory framework.
How are we different? Our program stands apart because our interest rates remain among the lowest in the country, and borrowers also benefit from flexible repayment terms. We also provide free business training and coaching so borrowers have support not only to repay successfully and build credit, but also to strengthen their businesses and increase income. That model works.
Our program is designed to:
- Strengthen our partners by expanding trusted relationships and helping their local work continue to grow;
- Honor the dignity of people in poverty by giving them practical tools to improve their own lives with relational support;
- Encourage community-level change that begins at the grassroots;
- and Recycle capital. As borrowers repay a small fee with their loans, each lending cycle helps create additional resources for future lending. This model creates real impact while also generating support for local administrative costs, allowing donated funds to stay focused on lending.
At a recent gathering, 25 borrowers shared their experiences one by one. Their stories were different, but the message was consistent: access to these loans has created real opportunity and renewed confidence. "Thank you for giving me hope and a new chance. Thank you for believing in me."
