I opened Java Break 15 years ago with the help of my family. I didn't have access to a bank loan because of my lack of credit, but my parents believed in me and my idea for a cafe in downtown Lawrence. They lent me the $6000 I needed in order to fulfill my dream of opening my own business. With extremely hard work, long hours, creative problem solving, and the great help of my early employees, I repaid the loan with interest, on time, and in full.
I was blessed to have a family that believed in me and was able to help fulfill my dream of entrepeneurship. Most others are not so lucky. Many people in this world are extremely hard-working, creative, smart and have an idea for a business that they are willing to bust their butts for. However, access to traditional lending methods in order to make these ideas a reality simply are not an option. This is where microlending steps in.
What may seem like a small amount to us, makes a huge difference in a developing country. Being able to buy another loom increases production of the fabric you weave. Being able to hire employees assembles more of the shoes you manufacture by hand. Being able to buy a kiln and some glazes doubles the amount of clay pottery you craft. This all makes a huge impact on the lives of the borrower and his/her family. A marked increase in the standard of living, and the ability to save for the future are two of the most obvious effects, but the effect on the entire community is even greater. Jobs are created, more money is lent with the repaid loans of earlier borrowers, and the successful entrepeneurs provide money for improved sewage, electrical, and other things that make the lives in the village better for everyone.
Below is a case study of one such entrepeneur. We encourage you to visit microplace.com and kiva.org in order to learn more about how these programs are lifting individuals and communities out of poverty while promoting responsibility and self-reliance. After all, give a man a fish and he'll eat for a day. Teach a man to fish and he'll eat for a lifetime.
We will be posting in this section which loans we're investing in and how much we've invested with your help and generous tips.
BTW, the repayment rate on these loans approaches 98-99%.
This is one example of how micro finance is helping communities around the world make better lives for themselves. We ask you to visit microplace.org to learn how easy it is to invest in people's hard work and their quest for a brighter future for their families and communities. Java Break and her crew have chosen to invest and we hope you see the value too.
