funding gap emerging markets
Mongolia

Ankhlan Az LLC

  • Golomt Bank
  • Local partner investment
  • + 152 other investors
  • With a loan of EUR 47,950 Davaadorj will be able to acquire necessary inventory for the coming construction season.

    €47,950
    Amount
    3.00%
    Interest
    36 months
    Maturity
    6 months
    Repayments
    EUR
    Currency
    Amount€47,950
    Interest3.00%
    Maturity36 months
    Repayments6 months
    CurrencyEUR
      100%
      Fully funded in 45 days on 16 March 2018.
      Choose amount
      Invest from €50
      Average investment
      Based on all Lendahand historical investments
      Complete funding
      Project will be fully funded

      Summary

      Read the information document of the issuer here

      Erdenet city is the second largest city in Mongolia, after capital city-Ulaanbaatar and it has 110 thousand citizens. Because of the air pollution and excessed population density in the capital city, more people are encouraged to move to the other cities, such as Erdenet city. Hence, the city is developing rapidly in recent years and many new buildings and apartments are being built.

      In 2011, Davaadorj Norson, 45, established his wholesale company to facilitate the development of building industry in the region. He and his wife Bayarjargal operate the business which brought all building materials salesmen together under the one roof, which has become the biggest regional building materials store now. This way, not only they can reduce the product logistics cost, but also they are promoting the local economy.

      Davaadorj is utilizing the business opportunity by filling the logistics gap of wholesale market. Transporting construction materials each time from Ulaanbaatar city caused additional cost for the rural developers and created additional hurdle for the regional development. Davaadorj now became one of the main wholesale provider in Erdenet city, providing 16 staff a permanent job place.

      The loan proceeds will be utilized for acquiring necessary inventory for the coming construction season to be started from April. The company will hire additional 3 salesmen and fill the working capital gap with the 140 million MNT.

       

      Company nameAnkhlan Az LLC
      CEODavaadorj Norson
      Founded2011-01-01
      LocationErdenet city
      SectorWholesale / Retail
      Turnover€431,506.84
      Employees16

      Impact

      Small and Medium Enterprises (SMEs) are important contributors to job creation and economic growth in emerging markets. However, access to financing is a key constraint to SME growth, as about half of them don't have access to formal credit. In Mongolia, Golomt Bank serves nearly 80% of the corporate market. They were the first commercial bank in the country to issue small business loans. Golomt Bank accelerated the development of mobile banking in Mongolia by introducing smart banking services in the local financial sector.

      Financial support enables Mongolian entrepreneurs to increase their professional activity, resulting in job creation and improved living conditions.

      Golomt Bank is a member of the United Nations Environmental Program Finance Initiative (UNEP FI). This partnership helps create a financial sector that serves people and the planet and mobilizes private sector finance for sustainable development. The bank has a "Sustainable Development Policy" in which they implement the SDGs in all its operations. For example, improving their waste management, increasing the number of roads for wheelchair users in their offices, and cooperating with environmentally friendly organizations.

       

      SDGs impacted

      With this project you are contributing to the following Sustainable Development Goals:

      SDG 1. No Poverty

      SDG 8. Decent work and economic growth

      Read more about the impact you can make through our platform and the SDGs on our impact page.

       

      Related blog posts

      Read more about other Microfinance Institutions in our portfolio in this overview.

      • With this investment 3 jobs are created
      • With this investment 12 people are reached

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      We have already contributed for Ankhlan Az LLC

      Daphne Hes
      Piet van der Kooi
      Manfred Jansen
      Menne Glas
      Hans Bierhuis
      + and another
      152
      investors