Problem

If you were a Guatemalan farmer working on the cooperative, your biggest difficulty would not be growing your crops. It would be gaining access to the capital that would tide you over the cashless gap between planting and harvest time. Getting a loan from a local financial institution would not be an option; with your lack of collateral, small business size, and lack of a proven track record, you would be considered “unbankable."

The Gift

Hopefully, there will come a day when financial institutions worldwide will recognize smallholder farmer businesses for what they are: good business. However, that day has not yet arrived. In the meantime, some farmers receive the loans they need from alternative lenders such as Root Capital.

In addition, they receive financial training, which equips them with the critical financial tools for developing their businesses, managing loans, and planning their financial futures. With these improved business skills, they will be in good stead to not only build their businesses, but also become more attractive potential clients to local financial institutions.

Your support, through financing from Root Capital (a social investment fund), would support a curriculum that will equip producer cooperative leaders to build their businesses and to work effectively with suppliers, clients and financial institutions.