Bashiki Bacu Rwanda is a non-profit that assists underserved women in Rwanda, who have been affected by genocide and extreme poverty, take control of their lives by becoming entrepreneurs through microlending.
Our program helps women form a business plan and then lends them small loans (average is $50) with an agreed-upon payback period. When the money is repaid other women in their village are able to take out a loan. Also, after a successful loan payback, the participants are able to apply for other loans in the future.
The loans are currently used for businesses such as agriculture, livestock, hairdresser, and seamstress. As of May 18, 2020, Bashiki Bacu Rwanda was given federal nonprofit status and determined to be a 501(c)(3) allowing donors to use their donation as a tax deduction .
Supporting Women Entrepreneurs
Small loans of $25-50 are lent to women living at the poverty level to support business ventures like agriculture, livestock, hair salons, and seamstress.
All entrepreneurism involves risk. Those in poverty are not well-positioned to deal with additional financial risk which may hold a woman back from trying to start a business venture that leads to self-sufficiency.
Availability to more capital after payback
The incentive for payback includes access to more capital. In addition, when a loan is paid back, another woman in the village has access to a loan. Community support (and pressure) play a role in loan repayment.