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Spring, 2013

US Trustee Introduction

Introductory
Presentation

Welcome to Kiva
Kiva is a non-profit, based in San Francisco,
that enables individual lenders to crowd-fund
person-to-person loans to individual
borrowers around the world.
Kiva made its first loan in Uganda in 2005,
and has since made over one million loans in
70 countries.

How Kiva works

1

Kiva has
almost a
million
lenders

2 these lenders
visit
the Kiva
website

Adding a number of
$25 loan shares
together can make
up a significant
loan

Lenders

over time, as
the Entrepreneur
repays the loan,
the $25 loan
shares are
returned to the
lenders, who can

And make a $25

loan to an
entrepreneur around
the world.

Kiva Partner
4

in the typical
Kiva model,
these loans are
administered by
Kivas partners

Entrepreneur

Significant Momentum Since Our Start

United States

Ukraine
Mongolia
Moldova
Bulgaria
Kyrgyzstan
Armenia
Bosnia
Turkey
Azerbaijan Tajikistan
Lebanon
Iraq Afghanistan
Palestine
Nepal
Pakistan
Mali

Haiti
Dominican
Burkina Faso
Republic
Guatemala Honduras
Senegal
El Salvador
Benin
NigeriaSouth Sudan
Sierra
Nicaragua Costa Rica
Uganda
Leone
Columbia
Liberia
Ghana Togo
Cameroon
Ecuador
Kenya
Congo RepublicRwanda
Tanzania
DRC
Peru
Burundi
Bolivia
Mozambique
Paraguay
South Africa

Mexico

Philippines
Cambodia
Vietnam
Sri Lanka
Indonesia
Samoa

Chile

1,000,000
Lenders

$480,000,0 1,140,000
99%
00
Entreprene Repayment
Loans
urs
Rate

Meet Victor

Victor could not get a business loan from

a bank or MFI

but
but he
he received
received a
a $5,000
$5,000 Kiva
Kiva
Zip
Zip loan
loan in
in December
December 2011
2011 from
from
67
67 people
people on
on Kiva
Kiva

Personal Story
My name is Victor, I am soon to become business owner with my partner
Abel, in the opening of our coffee shop Cafeto in San Francisco. We are
seeking financing options to help us in our last efforts to launch this
lifelong dream in providing a better way of life and future for my family.
I was born in a very poor and numerous family in Cordoba, Mexico, and
was forced to start working at the age of 9 to help provide for the family. I
had to abandon school to emigrate from my home town to Mexico City,
where I thought I would find better employment and more money for my
family; but with my low level of education my options were limited.
In my continuous quest of a better life I moved to North Carolina in 2001,
working in whatever type of job came in hand. I remember the first time I
got paid $120.- dollars, it seemed like an immense fortune to me. I had
never had so much money in my life. Luckily ten years ago someone
introduced me to a Coffee Shop owner through my church; at this place I
finally found a good place to be for many years. This job gave me the
opportunity of a consistent and reliable income and the opportunity to

Victors
Victors
67
67
lenders
lenders

These 67 lenders were able to express

their support to Victor, and hear
updates from him on his progress

Lenders expressing
encouragement, providing
business advice, and even
becoming customers

And Victor updating

them on how the Zip
loan helped him to
launch his coffee shop
Hello
Hello to
to all
all
my
my
Cafeto.

lenders!
lenders! II just
just
wanted
wanted to
to say
say aa
huge
huge thank
thank you
you
to
to all
all of
of you
you for
for
lending
lending me
me this
this
money
money and
and
allowing
allowing me
me to
to
launch
launch Cafeto!
Cafeto!
We
We have
have hired
hired 5
5 people,
people,
so
so we
we have
have created
created 5
5
jobs!
jobs!
Thank
Thank you
you to
to all
all for
for
trusting
trusting me
me and
and helping
helping
me
me pursue
pursue my
my American
American
dream!
dream!

Victor was able to access a Zip loan

because of MEDA

Victor has now repaid his first loan

And fundraised for a second, larger

loan

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Promising Early Results

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There are over 400 US loans posted to the Zip

website
These loans are made possible by 220 trustees in
35 states
These loans have been crowd-funded by over
15,000 lenders, who have posted thousands of
messages of support and encouragement to the
borrowers they are funding
Kiva has had some great media coverage and
was even endorsed by Former President Bill Clinton,

What is a Trustee?
It is the responsibility of trustees to do three things:
1) Find eligible borrowers for a Kiva Zip loan
2) Publicly endorse them on the Kiva Zip website
3) And provide ongoing support throughout the
loan term

Trustees have no money at risk if a borrower they

endorse does not repay, but their reputation is tied to
borrowers performance.

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Whats in it for trustees?

Empower

Engage

Promote

Fundraise

Enable your clients to engage with their

crowd of lenders, and access interest-free
capital they otherwise could not.
Engage with Kivas network of a million
lenders. Showcase your impact and build
awareness of your organization.
Benefit from the positive publicity and PR
that collaboration with Kivas brand can
bring.
Demonstrate tangible impact to potential
funders in terms of loans endorsed,
revenue generated, and jobs created.

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What the loans look like

0% interest
Business loans
Small size first loan can
be up to $5k; subsequent
loans up to $20k
Up to 24 months term
Grace periods available
for agriculture and startup loans
Repayments made in
regular weekly or monthly
installments
Disbursals and
repayments

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The Process

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Once a trustee has identified a borrower they want to endorse, there

are five principal steps before the borrower can begin fundraising
for an interest-free, crowd-funded loan on the Kiva Zip website:
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2
Trustee
application

Trustee fills out

an application
form, explaining
why they want to
be a trustee
This is a onetime, online
form, and takes
only about 30
minutes to
complete

3
Trustee
endorsement

4
Loan
application

5
Trustee
review

For every
borrower they
endorse, a
trustee writes a
trustee
endorsement

When the trustee

has submitted the
endorsement, the
borrower completes a loan
application

Once the loan

application is
submitted, the
trustee gets a
chance to review the loan

An endorsement is only a
few questions
long and takes
only about 10
minutes to
complete

This is a longer
application form,
and can take a
couple of hours to
fill out. Again, it is
all online to make
life easier!

The trustee can

approve it if
they are happy
with it, or
suggest changes if they
prefer

Kiva Zip team

review
Finally, the Kiva
Zip team will
review the loan,
before posting it
to the website to
begin fundraising
From there, most
loans take about
3-4 weeks to fully
fund

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Please join the Philadelphia Department

of Commerce!
To learn more about Kiva Zip please visit:
zip.kiva.org
For more information on commerce
department programs please contact:
casey.botticello@phila.gov