The Federal Financial Institutions Examination Council has indicated a drop in small business lending by 30 percent in recent years. This has given rise to the need for microfinance – that is a practice of responsible lending to small businesses. It is a proven fact that microfinance has the ability to ignite a lasting change.
‘Opportunity Fund’ and the ‘ACCION U.S. Network’ are two microloan providers and they maintain an average loan size of over $7,000. On acquiring loans business survival rate increases two-fold, repayment rate too increases and local job creation finds a boost. “It’s no wonder that demand for our microloans has nearly doubled since 2010,” says Eric Weaver, Opportunity Fund founder and CEO.
The future of US microfinance will be discussed on May 23rd & 24th at the 2011 Microfinance USA Conference by nation’s top practitioners, investors and researchers. Microfinance provides a financing mode and people can trust it, as it is an integrated, inclusive and reliable financial sector.
Microfinancing meets a critical need as it enables small business owners access capital, find valuable business training and make their way to mainstream of the industry.
‘Microfinance USA 2011’ will shape the future of US micro-finance industry. The conference will see Kiva, Opportunity Fund, and ACCION International ask other US micro lenders to join hands with them as endorsers of microloans to small businesses. This is a global effort for uniting micro lenders with the common goal to provide small enterprises with respectful, transparent and prudent financial services.
This article was submitted by Rohit Arora, co-founder of Biz2Credit. Biz2Credit is a small business marketplace that connects entrepreneurs with financing options and advice to grow their business. Send all questions to