Mini Factory Group
Her family is a low-income household in the village. Moreover, the market need is low in this region. The main hardship that Lý faces is lack of capital. She is requesting a loan to purchase metal and supplies to maintain the metal shop.
In 2016, Lý joined Thanh Hoa microfinance institution to improve her business. Lý has successfully repaid two loans from Thanh Hoa microfinance institution. She is the group leader of the 01 Thôn Bùi, Tiến Lộc, which consists of seven members.
With her business profit, Lý hopes for her family to be healthy and happy, to maintain a successful business, and to travel for vacation within the country.
About Thanh Hoa Microfinance Institution Limited Liability (Thanh Hoa MFI)
Thanh Hoa MFI works to provide credit to women and their families in the central Vietnamese province of Thanh Hoa, one of the poorest regions of the country. The institution’s target clients are poor and low-income women who have the ability to work but lack the capital. Accordingly, Thanh Hoa MFI prioritizes single mothers, low-income women with children who have dropped out of primary school, and Viet Nam’s poorest women who cannot access any formal financial services.
This is a Group Loan
In a group loan, each member of the group receives an individual loan but is part of a larger group of individuals. The group is there to provide support to the members and to provide a system of peer pressure, but groups may or may not be formally bound by a group guarantee. In cases where there is a group guarantee, members of the group are responsible for paying back the loans of their fellow group members in the case of delinquency or default.
Kiva’s Field Partners typically feature one borrower from a group. The loan description, sector, and other attributes for a group loan profile are determined by the featured borrower’s loan. The other members of the group are not required to use their loans for the same purpose.