Global Microcredit: An Economic Solution to Improving Women’s Human Rights

Wisconsin Women’s Business Wisconsin Women’s Business Initiative CorporationInitiative Corporation

March, 2005

Sherry Saiki

West Allis Program Director & Loan Officer

Wisconsin Women’s Business Wisconsin Women’s Business Initiative CorporationInitiative Corporation

• Statewide economic development organization

• 501(c) 3; founded 1987

• Offices in Milwaukee and Madison

• Local, Regional, National and International Partnerships

• Emphasis: women, low-income individuals, people of color

MissionMission

Quality business education

Technical assistance

Access to capital

We assist men and women!

Economic Impact

• Entrepreneurship

• Start-up and Expanding Business Guidance

• Increasing self-sufficiency

• “Full-time” Business Ownership and/or “Patchwork” Approach

2004 Impact2004 Impact

Loan Performance

58 loans $1,420,500 approved $24,500 average loan size

Training Performance

369 workshops 1754 participants

Loan Client Demographics (Through June, 2004)

78% women owned businesses 59% minority owned businesses

WWBIC’sPrimary Services

• Business Education & Workshops

• Creative Financing Solutions

• One-on-One Assistance

• Networking Opportunities

• Business Laboratory

• Economic Literacy & Individual

Development Accounts (IDAs)

Business Education & Workshops

• 350+ Workshops Annually

• Milwaukee, Madison, Green Bay, Fox Valley,

Beloit, Janesville, Racine, Kenosha areas & other

• Entrepreneurship, business planning, marketing,

financing, bookkeeping

• Experiential, hands-on, guest experts

Creative Financing Solutions

• Certified CDFI (Community Development Financial Institution)

• Direct Lending Programs:– Microloans– Gap Financing

• Loan Packaging Services:– SBA Prequalification Program– Business Financing Seminars– “Can We Talk?” Sessions– Business Assistance & Referral

Access to CapitalAccess to Capital

We focus our assistance on:We focus our assistance on:

• Business owners that can’t borrowBusiness owners that can’t borrow

from a traditional financial institutionfrom a traditional financial institution

• Start-up businessesStart-up businesses

• Gap financing for bankable customersGap financing for bankable customers

Micro Loan DetailsMicro Loan Details

• $50,000 loan maximum

• Follow SBA business eligibility standards

• 8% – 13.5% interest rate• Up to a 6 year term• $100 loan fee and closing costs• Loan proceeds cannot be

used for debt refinance or real estate purchase

Loan ProcessLoan Process

• Completed loan application with attachments

• $50 application fee

• Preliminary review ( 5 –7 day turnaround)Experience CreditViability

• Complete review (2 –6 week turnaround)• Access to technical assistance programs

One-on-One Assistance

• Business Consulting

• Networking

Opportunities

• Business Mentoring

Special Initiatives

• Business Laboratory:– Coffee with a Conscience– Coffee House; two locations– Experiential Training Opportunity– Showcase clients

• Economic Literacy Series– “Make Your Money Talk”– Individual Development Accounts

• West Allis Small Business Development Program– No Cost Business Education and Training– Micro Loan Fund

Issues Facing Today’s Micro-entrepreneurs

• Work History• Transportation• Child Care• Medical/Mental Health• Housing• Credit History• Welfare or Public Assistance• Lifestyle/Family Situations• Isolation

Benefits to Clients

• Self evaluation & business viability assessment – “reality check”

• Improve business skills

• Better chance for business success

• Access to capital & expertise

• Build stronger credit

• Networking & contacts

Benefits to Providers & Organizations

• Resource for your clients

• Referrals to other resources

• WWBIC is a statewide organization

• Partnerships; filling the “gaps”

• Workshops in your communityRegularly scheduled

Customized/Ad Hoc

How to Contact WWBICHow to Contact WWBIC

Milwaukee: 414-263-5450

Fax: 414-263-5456

2745 N. Dr. Martin Luther King Jr. Drive

Milwaukee, Wisconsin 53212

E-mail: sherry.saiki@wwbic.com

Website: www.wwbic.com

WWBIC Affiliations:

A Certified Development Financial Institution (CDFI)

A U.S. Small Business Administration Microlender