Kiva - Loans that Change Lives

Small Loans, Big Impact

We all know the global economic outlook isn’t good these days, and in times like this it’s more important than ever to reach out to those in need, but it can be hard to know where to begin. That’s where Kiva steps in: connecting lenders with hard-working entrepreneurs from impoverished countries.

This isn’t just sending a cheque off to a large organization where you’re never quite sure who benefits from your donation. Instead Kiva allows lenders to browse profiles on the site, choose who they want to lend to, learn the story of the entrepreneur and about the business he or she is creating, and then decide how much to lend. Donations can be as little as $25 and the loan cycle is typically six months to a year when the loan is then repaid. The company creates a personal connection between lenders and entrepreneurs, allowing lenders to witness the impact of their loans through email journal updates. (Daily Grommet made a loan to grocer Tuhfa Rahmatova from Tajikistan, who wants to add more variety to her offerings—we can relate! See her progress here.

Kiva, the first micro-lending website, was founded by Matt and Jessica Flannery after the couple spent time in East Africa and recognized the impact small loans to local business owners could make. It’s innovation like this that just may help turn the economy around.

— Jennifer K.

• Kiva is a 501©(3) non-profit organization, incorporated in November 2005.
• “Kiva” is a Swahili word which means “unity” or “agreement.”
• Kiva is the world’s first online micro-lending platform.
• Kiva was co-founded by Matt and Jessica Flannery, when they were 28 and 27 respectively.
• PayPal provides Kiva with free payment processing.
• Kiva’s is the first account at PayPal with a free payment processing agreement.
• The minimum amount that can be loaned to an entrepreneur on Kiva is $25.
• Kiva partners with microfinance institutions around the world, referred to on the Kiva website as Field Partners.
• Recipients of a Kiva Loan are referred to as “entrepreneurs;” contributors to a Kiva Loan are referred to as “Kiva Lenders.”
• Anyone with an email address can create a Kiva Account.
• Anyone who can make payments using a credit card or PayPal account can be a Kiva Lender.
• Currently, Kiva Lenders can only receive 0% interest on their loan. Kiva hopes to allow Field Partners to offer non-zero interest rates to Kiva Lenders soon.
• Kiva is headquartered in San Francisco, CA.
• Kiva currently employs 24 full-time and 9 part-time staff members.