Investing in the Missing Middle:
World Vision and our microfinance arm, Vision Fund International (VFI), have been providing microloans (up to $5,000) to families and small business in the developing world since 2003. We have a strong track record of success with over 1.4 million loans issued and a 97.4% repayment rate. Small businesses have limited access to capital beyond what's available from micro financing organizations making it incredibly difficult to grow.
Small and Growing Businesses (SGBs) in developing countries are key drivers of equitable economic growth and social development. They are growth-oriented businesses that employ between 5 and 250 people. They create stable, formal sector employment in local communities and catalyze local value chains. They give women and youth the chance to earn fair wages and seize new opportunities. What’s more is that SGBs deliver vital goods and services to their communities. When SGBs thrive, they help emerging economies achieve their long-term development goals, reduce poverty and inequality, and play a major role in transforming lives. However, although they are vital to the health and strength of emerging economies, there is a critical lack of financing and credit available to them. In fact, the total unmet capital need of SGBs in these countries is estimated at $2 trillion USD.
The World Vision Small and Growing Business Fund gives investors the opportunity to support entrepreneurs with powerful tools for growth, to empower economic equality and strengthen economies in developing countries. It’s an opportunity to make a unique social impact while earning a return on your investment.