Photo Caption: Osmana (left) began her shop after her granddaughter Ruth's (right) parents passed away. She felt she needed to support Ruth's education, and with NEO's help in building her business, Ruth is finishing her degree!
Since 2009 we have extended nearly 1000 loans through community-based micro-lending for every imaginable type of entrepreneurial endeavor, nurtured relationships with the borrowers, and watched the changes in their lives. In 2017, having thoroughly tested and validated our lending model, our lending program became an official Nicaraguan non-profit, opening the doors for us to extend the lowest-cost loans to the poorest entrepreneurs through local partner organizations around the country. And in 2022 we became an officially Nicaraguan-licensed microfinance entity ensuring compliance with strict government regulations for the industry.
How are we different? Not only are our interest rates the lowest in the country, but we are also the only institution with flexible repayment terms. We offer free business training and coaching to our borrowers, giving them the tools they need to not only pay back their loan (and build a credit rating) but also grow their businesses and their income! It works!
Our program is designed to:
- Benefit our partners by broadening and deepening relational networks and creating growth within their organizations;
- Dignify the poor, allowing them to improve their own lives in the context of relational support;
- Create community transformation at the grassroots level;
- and Pay-back! Because each borrower pays a small fee for their loan, with each lending cycle we have more resources available. Our program does untold good AND creates a financial return that goes toward covering local admin expenses — allowing your gifts to go directly to microloans.
Recently we gathered a group of 25 micro-loan recipients. They went around the circle and told their stories. Each one reminded us that these loans actually change lives! In her own way, each entrepreneur said, "Thank you for giving me hope and opportunity! Thank you for trusting me!"
