Remove Finance Remove Marketing Remove Microfinance Remove Productivity
article thumbnail

How to Raise Money as a Business

Strategy Driven

Whether you need to raise money to fund a new startup or to expand an existing business, financing can be a complex process. With so many options available, it can be difficult to know where to begin or which financing option is best for your business. You should also prepare some insights about your market and competition.

article thumbnail

Can Impact Investing Avoid the Failures of Microfinance?

Harvard Business Review

Impact investors over the past decade largely focused on proving that impact investments could achieve a “market rate” or above return profile. Making something wildly profitable will of course attract the attention of financial markets, and thus increase the chances it will scale effectively. Lessons from Microfinance.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Making Microfinance More Effective

Harvard Business Review

While meeting this challenge is a clear priority for policy makers and donors, it is also a major profit opportunity for commercial players who can solve market failures and create real value. Our findings are captured in a working paper which we summarize below. This model makes small loans, usually to women, without requiring collateral.

article thumbnail

Under Fire, Microfinance Faces Falling Out of Favor

Harvard Business Review

Microfinance has come under fire in the past 18 months, triggered in part by SKS Microfinance's IPO. Critics complain that the institutions supporting microfinance have become too greedy, and many are using this as an argument to deeply regulate or, even more, cut support to microfinance operations. I hope not.

article thumbnail

How One Startup Developed a Sales Model That Works in Emerging Markets

Harvard Business Review

We serve two markets that are very different but united by the common need for reliable, safe access to energy: outdoor recreationalists and low-income households in emerging markets. Our flagship products are wood-burning stoves that generate electricity from fire while reducing toxic smoke emissions by 90%.

article thumbnail

Global Entrepreneurs Need New Funding Models

Harvard Business Review

In low-income countries, according to World Bank data in a recent paper by the consultancy Dalberg, 43% of businesses with between 20 and 99 employees say that access to finance is a major constraint. The White House has called this gap between the demand and supply of finance for small and medium enterprises a "market failure.[and]

article thumbnail

Funders Can Give More than Money

Harvard Business Review

Six years ago, David and Donna Allman approached Opportunity with an idea that fell outside our traditional microfinance model: to build a Community Economic Development (CED) program in Nicaragua. We know that microfinance alone will not break the poverty cycle.