Kamatachi runs a home flooring business in which she produces, lays and polishes mosaic floor tiles. She currently concentrates on local customers in the Kancheepuram area. Her typical clients are families transitioning from huts to concrete houses. She runs a similar business to Mrs. Kanchana, but serves clients in different locations.
InVest in a home flooring business which makes and installs mosaic tile.
- Local currency:
- InVestment Size:
- $996.65 $1.00 = Rs42.44 as of 07/08/2011
- Expected InVestment Term:
- 13 months
- Currency Exchange Loss:
Since our micro-entrepreneurs are based internationally, their investments will be disbursed in their local currency. Interest rates, political instability, economic/financial market conditions can affect a currency's value with respect to the US dollar. Given the inherent risky natural of these developing economies, currency devaluation is possible. Currency exchange loss on your principal is possible if the US Dollar appreciates by more than 20% against the local currency.
|Business:||Home flooring (Mosaic tile)|
|Years of Experience:||5|
|Number of Employees:||2|
|Previous Micro-Loan History:||two previous loan sizes; Rs. 10,000 and Rs. 33,000, both repaid successfully.|
Terms: Flexible, revenue-sharing contract. Mrs. Kamatachi commits 2% of her monthly revenue in the form of variable-rate dividend payment. These payments are capped at a maximum of 30% of the InVestment amount per annum. The micro-entrepreneur is given a one month grace period in which no dividend is due and will make monthly principal payments based on the pre-determined InVestment term. Mrs. Kamatachi pledges 1% of her monthly net profit towards a Community ReInVestment project. InVenture will receive a management fee of 10% of the total InVestment size, paid from the cumulative revenue-share dividend payment, InVestors will receive SEEDs based on the residuals.
InVenture believes that community reinvestment can be catalyst for a positive feedback loop; growing a community through a business, while growing a business through a community. Mrs. Kamatachi will be reinvesting a percentage of her monthly gross profit in a community development project through the Association of Sustainable Community Development (ASSCOD). Mrs. Kamatachi's reinvestment will directly support ASSCOD's education and health initiatives.
Learn more about community re-investment
Progress Payment $76.67 made on 08/10/2011
August 2011 update: Mrs. Kamatachi submits her first principal repayment. Her first month of the contract is her grace period and does not make a revenue-share payment. Mrs. Kamatachi has purchased raw materials to expand her tile making business, she is working to increase the number of work orders she can procure.