Stories

LISC-Kiva Crowdfunded Microloans

4.08.2020

LISC and Kiva are partnering together to expand financial opportunities for Indianapolis entrepreneurs and small business impacted by COVID-19. Through Kiva, an online loan crowdfunding platform, small businesses can access 0% interest loans of up to $15,000. New borrowers may access a grace period of up to 6 months for greater financial flexibility during this time. Kiva loans are crowdfunded by people around the world who lend as little as $25 to support small businesses. With a Kiva loan, borrowers can keep their doors open and pay employees and purchase inventory for when business resumes. Kiva empowers current customers and the local community to support small business.

LISC Indianapolis Kiva Fund

How it works:

  1. LISC invests in Kiva Loan Match Fund: With the support of local funders, LISC raises grant dollars to deploy to Kiva borrowers.
  2. LISC onboards local partners as Kiva “trustees”: LISC staff work alongside CDCs, incubators and technical assistance providers to become designated trustees who help small businesses apply for Kiva loans.
  3. Borrowers apply for a loan with the endorsement of a LISC Trustee: By working with a designated LISC trustee, borrowers get one-on-one support throughout the application and crowdfunding process. Trustees endorse the borrower’s loan and enable the business to qualify for LISC’s 1:1 matching fund.
  4. LISC match fund activates: LISC matches incremental loan amounts 1:1 as they are made to a Kiva borrower. For example, when an individual Kiva lender contributes $25 towards a Kiva campaign, LISC provides an additional $25 towards the loan goal. A borrower must be endorsed by a registered LISC Trustee and will need to reach the campaign goal in order to access the Kiva loan funds.

Borrower Eligibility:

Terms subject to change. All loans are subject to approval by Kiva.

Visit www.kiva.org/borrow to start your application. For more information and to ensure your eligibility for the LISC match, contact Geoffrey Jones at indianapolis@local.kiva.org.

Click here to view the flyer.