SOFIPA 26
One for all, all for one. Together with eight enterprising women from her neighborhood, Rosalía started a new credit group. Thanks to Sofipa, they now have access to the financing they need to grow their businesses further.
The project
Rosalía has been running her business for years, but has limited financial resources to increase her income. Because she only needs a relatively small amount, she cannot access financing from a traditional bank. Through a group loan from Sofipa, she now has the opportunity to invest in her business.
A group loan is something you receive with others. That is why Rosalía sought out eight women from her neighborhood who are in a similar situation. Together, they form a new credit group.
Every four months, the women receive a loan amount tailored to their individual situation. With each cycle, they build a credit history that can help them apply for a formal bank loan in the future.
A group loan does not require collateral. The women guarantee each other, creating not only access to finance but also a strong sense of social support.
Every week, the credit group meets. With guidance from a Sofipa coordinator, the women repay part of their loan. The meetings are about more than repayments: they share knowledge, motivate one another and work together to develop their businesses.
In southern Mexico, access to finance is not a given for many women. Through group loans such as Rosalía's, Sofipa makes financing more accessible. This gives women the opportunity to invest in their economic activities and strengthen their position within their communities.
With your investment, women like Rosalía gain access to the financial resources they need to strengthen their economic resilience.
Your investment
- Annual interest rate: 6%
- For an investment of €1,000, the expected total repayment is €1,075.
- Maturity: 18 months
- Grace period: 12 months. You will receive the first half of your investment back in month 12 and the second half in month 18. Interest is paid in the 6th, 12th, and 18th month.
- Currency: Dollar. Please note that while you invest in euros, the loan is in dollars, which means there is a risk of currency fluctuations between the two. Visit our page on currency risks for more details.
SOFIPA
Impact
Financing is critically needed in southeastern Mexico, where Sofipa operates. Historically, this region has faced the greatest challenges, with the state of Oaxaca showing alarming poverty rates. This is the result of deficiencies in education, infrastructure, and basic services, which have hindered development. The situation for women in this area is even more difficult, further widening the gap. A loan empowers women, creating equal opportunities and making them stronger.
- Percentage of female borrowers: 92.9%
- 67% of borrowers report an improved quality of life. Source: Survey conducted by 60dB.
- Average loan amount: €510
Related blog articles
- Get to know 3 female entrepreneurs who benefit from a loan through Sofipa.
- Female entrepreneurs are essential for a powerful economy. Read why here.
- Want to learn more about gender lens investing? Click here.
- Want to learn more about how financial inclusion can thrive entrepreneurship? Read here.
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