Private capital support is provided to the organization by guarantors in the
form of donations, philanthropic guarantees of lines of credit or notes payable with a financial institution or foundation. The philanthropic guarantors are comprised of accredited individuals, foundations, and organizations or institutions with assets which in turn will be used in the form of microloans to individuals to start businesses. The loan recipients, are individuals whom may be, but not limited to, mostly women and minorities, and may have, but not limited to, no credit history, no collateral and no formal education, but with microloans they can create and build small businesses.
Guarantors accept the risk of providing guarantees in exchange for achieving a social purpose and receive no compensation in exchange for their philanthropic guarantees. Our organization’s activities will actually “lessen” the
government’s burden when considering all of the circumstances by directly encouraging job creation and socio-economic development without additional expenditures of government funds.