Kiva Zip USA: Technology and microfinance Guest Lecture at PACE University, NY

674 views

Published on

Was invited to give a guest lecture at microfinance post-graduate class at Pace University, New York. Structured as a part lecture, part focus-group with the students, the class surfaced interesting discussions into the promising future of leveraging innovations elsewhere in the sharing economy and low-cost digital connectivity/payment mechanisms to further unlock idle capital to tackle small business financial exclusion in the USA.

Published in: Economy & Finance
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
674
On SlideShare
0
From Embeds
0
Number of Embeds
3
Actions
Shares
0
Downloads
3
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Kiva Zip USA: Technology and microfinance Guest Lecture at PACE University, NY

  1. 1. Technology,Microfinance and Inclusion Center for Social Entrepreneurship Pace University, April 3 2013
  2. 2. “We are all familiar with the concept of a Church with no walls... ...Kiva Zip is a new kind of wonder - a lending organization with no physicalbank, no profit, and no interest. It exists purely.....on faith.”Ted Jefferson, Bronx Shepherds Restoration Corporation introducing Kiva Zip to fellow leaders of faith-based organizations
  3. 3. TECHNOLOGY HUMANITY
  4. 4. TECHNOLOGY HUMANITY Digital PaymentsSocial Connectivity Crowdsourcing
  5. 5. TECHNOLOGY HUMANITY Digital Payments CharacterSocial Connectivity Generosity Self-Service Human ties
  6. 6. TECHNOLOGY HUMANITY Digital Payments CharacterSocial Connectivity Generosity Self-Service Human ties
  7. 7. Zero cost to serve Zero Interest Crowd-funded Loans= to small business borrowers more “trustworthy” than their credit score suggests
  8. 8. The Need 9
  9. 9. TheSolution:unlocking wealthfrom ‘idle capacity’?
  10. 10. share shareSpace SkillsshareStuff
  11. 11. share shareSpace Skillsshare shareStuff Spare $
  12. 12. Smallbiz Lendingwithout Charging,without Credit Scores andwithout Collections. 13
  13. 13. Re-thinkingSmallbiz Lendingwith simple, pervasiveconnective technologies 14
  14. 14. What IF ?No branches or staff, 0% interest, nozero marginal cost profit, no feesNo credit Character &scoring CompetenceNo collections agency *Trust* via connectednessTarget “risky”/ low Get crowd to fundincome / unsexy /new startups other 15startups lenders cannot
  15. 15. How Kiva Zip works in practice:Victor’s Cafeto CoffeeshopKiva Zip Story 16
  16. 16. Victor, Cafeto and a 0%, $5,000 loan
  17. 17. Victor’s ‘trustee’, MEDA
  18. 18. MEDA ‘endorsed’ Victor
  19. 19. Victor’s‘crowd’ oflenders
  20. 20. Lendersexpressingsupport,and evenbecomingcustomers
  21. 21. Victorupdatinghislenders
  22. 22. Victor is now 100% repaid…
  23. 23. …And he’s applying for a second, larger loan for his 2nd coffee shop 1 year later!
  24. 24. Victor then endorsed his friend Rocio for a loan
  25. 25. Examples of Organizationspartnering Kiva Zip as trustees SYRACUSE UNIVERSITY Institute for Veterans & Military Families SEEDSPOT Incubator, AZ GREENHORNS nonprofit, small farm-innovation Oakland City Church (Pastor Josh McPaul)TEAM ETSY LITTLE ROCKCommunity Center for African American Business St Louis, MO 26
  26. 26. Ideal trust intermediaries Character & Competence 27
  27. 27. Future of FinancialInclusion? “Anyone”
  28. 28. Don’t need a special idea, or greatmarketing or videos to get funded 38% 27% Food 9% Shops Access, Craft Contractors, Cleaners, Mechanics 5%7% 8% Farms tech/apps 7% other
  29. 29. So, now you.
  30. 30. LEND $25: Zip.kiva.org/loans Help spread the word?m: sulin.lau@fellows.kiva.org t: @SulinLauDRINK (for a good cause)9.30pm April 13. Pera Soho

×