Latest news with #Kiva
Fast Company
21-07-2025
- Business
- Fast Company
How financial inclusion is transforming displaced lives
Over 110 million people are displaced due to violence, persecution, and climate change, and access to financial services is often the key to rebuilding lives. Refugees and displaced populations face systemic barriers to financial inclusion, with traditional financial institutions often perceiving them as high-risk clients. But what if refugees are not only creditworthy but also vital contributors to economic stability? Over the past several years, innovative financial solutions have begun challenging this perception, proving that refugees can be a powerful force for local economic development. By overcoming biases and demonstrating the business case for refugee lending, organizations have shown that financial inclusion not only benefits refugees, but also host communities and broader economies. Prove the viability of refugee lending It is a widespread misconception that refugees are too risky to serve. Historically, refugees have been viewed as liabilities due to their lack of credit history, residency uncertainty, and perceived flight risk. Yet, research and pilot programs consistently show that refugees can, and do, repay loans at rates comparable to nonrefugee populations. For example, a 2016 pilot initiative provided risk-tolerant, crowdfunding-based loans to refugees, with a 96.39% repayment rate. This pilot demonstrated that refugees are viable candidates for financial services and set the stage for scaling such efforts with institutional support to meet the these demands in refugee populations. Impact-first capital: A new model for financial inclusion Building on early successes, institutional capital has proven effective in scaling refugee lending globally. By channeling impact-first institutional capital to financial service providers (FSPs) in refugee-hosting countries, these organizations can offer loans to refugees who would otherwise be excluded from formal financial systems. One such initiative, Kiva's Refugee Investment Fund (KRIF), invests in FSPs serving refugees, internally displaced people, impacted host communities, and populations at high risk of forced displacement. This model encourages a shift in perception; refugees are no longer liabilities, but valuable contributors to the local economy. Earlier this year, KRIF concluded a four-year investment period, reaching over $60 million in total investments to and for refugees and displaced populations around the world. KRIF deployed impact-first capital across 14 countries in the Middle East, East Africa, the Caucasus, and Latin America and has thus far directly supported 76,000 refugees (of which, 70% identify as women) with the funding they needed to rebuild their lives. Lessons learned: What works in refugee financial inclusion The success of refugee lending initiatives has provided valuable lessons. First, it is crucial to recognize refugees' adaptability. Contrary to assumptions, refugees are often highly resourceful and resilient. With the right financial tools, they can rebuild their lives and contribute significantly to local economies. Another key takeaway is the importance of flexible financial products and a supportive regulatory environment. Refugees may not have traditional credit histories, but they often have strong social networks, market knowledge, and a willingness to repay loans. Many of Kiva's partners have found that adjusting existing products offered by FSPs, rather than creating entirely new ones, can make a significant difference in serving refugees. Flexible repayment terms or microloans for small businesses are particularly effective. Hiring local staff from refugee communities has also been cited as integral to the success of FSPs refugee lending programs. One partner in Chile noted that they 'quickly saw that the level of empathy, as a result of knowing exactly the situation our potential [refugee] clients found themselves in, was crucial to being successful.' This approach helps navigate cultural barriers, ranging from language to mindset, and strengthens relationships with clients. Finally, institutional investors play a crucial role in driving systemic change. Traditionally, private investors have overlooked refugees as a viable market. However, impact-first capital is proving that there is both social and financial value in serving these populations. By demonstrating refugees' creditworthiness, these funds are helping to build a new market for refugee lending and inspiring other investors to consider the potential of displaced populations. The importance of capacity building in refugee lending While institutional capital is essential, it's not the only ingredient needed for successful refugee lending. For FSPs to effectively serve refugees, they must have the right tools, training, and infrastructure in place. Capacity-building efforts, such as support for developing tailored loan products and improving outreach and services, are crucial for the success of refugee lending programs. A notable example comes from Uganda, where refugees in the Kyangwali settlement faced significant challenges accessing financial services due to the distance to the nearest branch office. With the support of an impact-first investment, UGAFODE Microfinance established a local sales center within the settlement, drastically improving accessibility. This investment also enabled UGAFODE to scale its operations and serve a growing refugee population. This partnership illustrates how building the capacity of local financial institutions creates long-term solutions to financial exclusion. A vision for the future The journey toward financial inclusion for refugees is not just about providing loans, it's about transforming the narrative around displaced populations. By proving that refugees are economically viable and valuable contributors to their local economies, innovative financial models are challenging long-held biases and opening new opportunities for both refugees and the communities that host them. If initiatives like KRIF become more widespread, refugee lending could help redefine global lending practices and create a more inclusive global financial system. Refugees would gain access to the services they need to rebuild their lives with dignity, and host communities would benefit from the economic growth driven by refugee entrepreneurship. As the world faces unprecedented levels of displacement due to conflict, persecution, and climate change, the need for innovative financial solutions is urgent. The lessons learned from early refugee lending programs provide a roadmap for creating lasting, meaningful change and a future where financial inclusion is a right for all.
Newsweek
02-07-2025
- Business
- Newsweek
How USWNT Supported Female Entrepreneurs After Winning Equal Pay Battle
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Three years ago, the U.S. Women's National Soccer Team reached a historic collective bargaining agreement with the U.S. Soccer Federation that guaranteed equal pay and better working conditions for both the women's team and the men's team. As the women's soccer players fought for equitable working conditions, they also found a profound way to give back by funding a program to support female entrepreneurs. "That economic justice fight is something that's a bit of an extension of our pay equity fight," Tierna Davidson, USWNT center back and current president of the USWNT Players Association, told Newsweek. "We wanted to partner with someone that was established in that space and could help us help small businesses get on their feet, whether it was starting or continuing to invest in their business." That partner was Kiva, the social venture firm that provides microloans to women and minority-owned businesses across the world. Through Kiva, the Players Association set up a revolving loan fund and a crowdfunding platform to allow women's soccer fans to support female entrepreneurs around the country. To date, over 5,100 businesses have received loans through this program, totaling $400,000. The initiative won a Gold Halo Award in 2023 for its social impact success and has a goal to lend out $2.5 million as the revolving fund grows. Davidson, who plays professionally for the National Women's Soccer League's Gotham FC, won a gold medal in the 2024 Olympic Games on Team USA and was also on the bargaining committee as the USWNT Players Association sought out its new contract in the wake of the 2019 lawsuit that kicked off the fight for equal pay. She was one of the youngest players on the 2019 squad that won Team USA's fourth World Cup as fans called attention to the players' cause with chants for equal pay. U.S. Women's Soccer center back Tierna Davidson, 26, is the president of the USWNT Players Association. U.S. Women's Soccer center back Tierna Davidson, 26, is the president of the USWNT Players Association. Getty Images "Every conversation with U.S. Soccer's legal team, we always had at least one player represented on it," Annie Reid, director of Strategic Partnerships and Business for the USWNT Players Association, told Newsweek. "They were really, really involved." Stars like Megan Rapinoe and Alex Morgan fought for equal pay, even though their careers would end before the majority of the improvements in pay and working conditions took place. "With that win, that was a long time coming, players started to think about ... Where else do we want to have impact? There's a variety of ways that we at the Players Association, with our players, have worked to have that impact," Reid said. Reid shared that the larger economic justice mission also includes improving access to youth sports, where pay-for-play can prevent people from earning opportunities in sports, and driving equal pay for female athletes around the world. "Looking at the steps that other national teams have taken with their own women's teams to improve their working conditions [and] improve their pay to more model their men's side is so important," Davidson said. "That was such a large part of the battle as well as understanding that it wasn't just for us, but it was for national teams globally. We've seen that drastically improve over the past couple of years. It's super evident, too, in how competitive the women's game is." They've also improved the moneymaking potential of the name, image, and likeness of their players by driving sales of merchandise. Despite ongoing pay inequality globally, women's teams around the world have also pushed for better pay and working conditions as a result of USWNT's success. "These women are using their platform to talk about gender equity, economic justice, equal pay. These are all systemic problems, not just in sports, but throughout many different industries," Tess Murphy, director of corporate partnerships for Kiva, told Newsweek. "They understood what economic justice and empowerment meant for them, and they wanted to extend that opportunity to other women around the country." Six months after the signing of this collective bargaining agreement, the U.S. House of Representatives passed the Equal Pay for Team USA Act, guaranteeing equal pay for men and women across all Olympic sports. Senator Maria Cantwell, D-Wash., who co-sponsored the bill with Sen. Shelley Moore Capito, a signal of the broader impact of the USWNT's battle. "I ... want to thank heroes like Megan Rapinoe and Alex Morgan, who brought that case against U.S. Soccer," Cantwell said. "U.S. women's soccer led the charge after winning the World Cup and making it clear to everyone that women athletes deserve equal pay." Kiva's data suggests that female small-business owners have a high community impact but are underserved in access to funding. These loans help them make key investments in starting or growing their business. Jimbi Mboob's salon in Madison, Wisconsin. Jimbi Mboob's salon in Madison, Wisconsin. Kiva One such business owner is Jimbi Mboob, who owns Smiling Coast Beauty Salon in Madison, Wisconsin. Through Kiva and its USWNT partnership, she secured a $14,500 loan to double the size of her store, make interior improvements and invest in social media for marketing. "My credit wasn't that great, and I have four kids," Mboob said. "Resources were limited. If I could get the resources to start up, getting my own chairs and booths, it will be better. So I used that to buy chairs and space that I rented for a few months just to get me on track." Mboob shared that she's hiring people to help them get into the field of braiding and has also hosted community events, including a Juneteenth youth function that centered around hair care. She said that she would have never had the opportunity to expand her presence or give back without this loan. "It's a lot to deal with, but through these little resources ... I'm able to get more clients coming in through my door, and I'm able to extend that [work opportunity] to other women like me," Mboob said. "I feel like I'm not only benefiting, those people benefit, too, and the community that I'm serving benefits." The USWNT-Kiva partnership focused on supporting small businesses in cities where they were playing. They've also set up a small business fund for businesses impacted by the wildfires in Southern California. Many USWNT members, like Morgan, have their own business ventures. Their challenging personal experiences in the marketing and sponsorship world, despite being popular pro athletes, helped them realize the need to boost women-owned businesses, especially because they do not get as much funding or support from the financial services industry. "Even with their name and the money that they have, they saw that there is a tougher time for a business to get off the ground, particularly for women and for BIPOC owners. They have experienced that themselves," Reid said, emphasizing that challenges earning branding and sponsorship deals for the USWNT Players Association and its members is another example of the business barriers that the players faced. "Their thought is, If I'm experiencing this as the known name that I have, what is that like for your average person?" The players embraced the larger impact they had the potential to make. "We understood that the fight for pay equity was not just for us," Davidson said. "It's not just for our own benefit, but it's also for the benefit of many women out there, of many individuals looking to us as an inspiration." For Davidson, the responsibilities of being on the bargaining committee and now president of the USWNTPA are certainly a lot to add to a professional athlete's loaded schedule, but she said she fell in love with learning about the work that goes on behind the scenes to operate a high-level sports team. "It was really interesting to be able to look under the metaphorical hood of the PA and of the Federation and kind of see the inner workings that didn't have to do so much with soccer but a little bit more of the logistical side of things and understanding how much work goes into planning," Davidson said. "I take it as a responsibility, but I also get a lot of joy from it." "They really wanted to use their platform of both their name ... but also their social media platform and their wide reach to tell this story of economic empowerment and of how hard it is to be a woman-owned small business," Murphy said. The USWNT has a friendly matchup against Canada on July 2 in Washington, D.C., kicking off at 7:30 p.m.
Time Business News
23-05-2025
- Business
- Time Business News
Modern-Day Financing: Types and How the Stock Market Plays a Role
Financing is critical in helping individuals and companies grow in the modern business world. Whether you're starting a small business, expanding an existing company, or investing for the future, understanding the different types of financing is essential. Today's financing methods are more diverse than ever, thanks to technology, global markets, and financial innovations. Among these methods, the stock market also plays a decisive role in helping companies and investors reach their financial goals. In this article, we'll explore the main types of financing in the modern world, along with how the stock market fits into the big picture. Using your savings is one of the most basic forms of financing. People often use personal funds to start small businesses, invest, or manage short-term expenses. Pros: No debt or interest payments Complete control over your money Cons: Risk of losing personal funds May not be enough for large projects Modern Tip: Many entrepreneurs start with savings before seeking external financing. Traditional bank loans remain one of the most common ways to finance a business or personal project. Banks lend money at a fixed or variable interest rate, and the borrower repays it over time. Examples: Business loans Personal loans Mortgage loans Auto loans Banks and financial institutions are often listed on stock exchanges. When they grow and profit from lending, their stock prices can rise, providing returns for investors who own those shares. Credit cards and credit lines provide flexible access to funds. Many small business owners and freelancers rely on these for short-term needs. Pros: Quick access to funds Helpful in managing cash flow Cons: High interest rates if not paid quickly Can lead to debt if used carelessly Equity financing means selling a part of your business in exchange for capital. This method is standard among startups and high-growth companies. Who provides equity financing? Angel investors (wealthy individuals) Venture capitalists (VCs) Friends and family Crowdfunding investors When companies grow big enough, they might raise funds through an Initial Public Offering (IPO), which is when they list their shares on a stock exchange. Once public, anyone can buy shares and become a part-owner through reliable equity investment platforms, allowing individuals to participate in a company's growth and profits. This move helps the company raise more money and allows early investors to cash out their profits. Besides traditional banks, many other sources now offer loans and credit: Microfinance institutions offer small loans to individuals, especially in developing countries. Online lenders like LendingClub or Kiva offer fast digital loans. Peer-to-peer (P2P) lending platforms connect borrowers directly with lenders online. These modern options provide easier access to financing, especially for small entrepreneurs and startups. Crowdfunding platforms like Kickstarter, GoFundMe, and Indiegogo allow individuals to raise money from the public. Supporters can donate or pre-order a product to help fund the idea. Types of crowdfunding: Donation-based Reward-based Equity-based Equity crowdfunding is growing in popularity and is closely related to the stock market, as investors can own small stakes in early-stage companies, similar to buying stocks in a public firm, but at an earlier phase. Governments worldwide provide financial help through grants, low-interest loans, and subsidies to support local businesses, especially in areas like farming, education, and clean energy. Pros: No need to repay grants Encourages innovation and employment Cons: Often hard to qualify for Requires detailed paperwork and accountability Trade credit is when suppliers allow businesses to buy goods or services now and pay later, usually within 30 to 90 days. This helps companies to manage cash flow without needing immediate funds. Example: A clothing retailer receives inventory in January and agrees to pay the supplier in March after making sales. Trade credit is a standard and informal method of financing in daily business operations. Businesses can lease them over time instead of buying expensive equipment or property. This spreads out payments and preserves cash. Types: Equipment leasing Vehicle leasing Hire-purchase agreements Construction, transport, and IT companies often use leasing to manage resources efficiently. The stock market plays a significant role in modern financing for large corporations, governments, and investors. How businesses use the stock market: Raise capital by selling shares to the public (equity financing) Build credibility and visibility as a public company Raise funds through bonds (debt securities sold to investors) How investors benefit: Buy shares to own a portion of successful companies Earn dividends and profits as the company grows Sell stocks at a higher price than bought for capital gains Example: A company like Apple issues shares on the stock market. Investors buy those shares, giving Apple money to fund innovation, research, or expansion. As Apple grows, investors benefit through rising stock prices and dividends, so many use trusted stock analysis sources to make informed investment decisions. Although still new and risky, cryptocurrencies and DeFi platforms are changing how people think about financing. Examples: Raising money through Initial Coin Offerings (ICOs) Using blockchain-based loans and savings accounts While this is not mainstream, some businesses and individuals are exploring crypto as a new financing tool. Financing in modern times is more flexible and diverse than ever before. From traditional bank loans to modern equity crowdfunding and stock market investing, there are many ways for individuals and businesses to get the funds they need. The stock market plays a central role in this financial ecosystem, helping companies grow and allowing investors to share in their success. Whether you're an entrepreneur seeking capital or an investor looking for returns, understanding modern financing options can help you make smarter financial decisions. By combining knowledge of both old and new financing methods, you can better navigate the opportunities of today's fast-changing economy. TIME BUSINESS NEWS
Yahoo
27-01-2025
- General
- Yahoo
Pet of the Day: Kiva is a Hurricane Helene survivor looking for a home
STOKESDALE, N.C. (WGHP) — Meet Kiva our FOX8 Pet of the Day! If you're interested in adopting Kiva or any other pets at Red Dog Farm, please call (336) 288-7006 or visit the . Red Dog Farm is based in Stokesdale. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
