All posts tagged Kiva.org

Catalyst 09 :: Jessica Jackley

by Tim Schraeder on 10/08/2009 in Catalyst 2009 with No comments

Jessica Jackley is a co-founder of Kiva.org, the world’s first peer-to-peer online microlending website. Kiva lets interent users lend as little as $25 to specific developing world entrepreneurs, providing affordable capital to help them start or expand a small business. Kiva has been one of the fastest-growing social benefit websites in history, connecting hundreds of thousands of people through lending across 150 countries.

Jessica first saw the power, beauty, and dignity of microfinance while working in rural East Africa with microenterprise development nonprofit Village Enterprise Fund on impact evaluation and program development. Sector-agnostic about social change, Jessica has worked for public, nonprofit and private organizations including Stanford Center for Social Innovation, Amazon.com, Potential Media, the International Foundation, World Vision, and others.

Jessica’s work with Kiva has been featured in a wide array of media and press including Oprah, the Today Show, CNN, BBC, NBC, ABC, PBS, NPR, the WSJ, NYTimes, the Economist, and more. Jessica speaks widely on microfinance and social entrepreneurship, and serves as a director on several boards related to microfinance development, including Opportunity International.

Jessica holds an MBA from the Stanford Graduate School of Business with Certificates in Global Management and Public Management, and a BA in Philosophy and Political Science from Bucknell University.

Jessica is a trained yoga instructor, avid surfer, and poet.

  • A lot of her conceptions of poverty came from messages and images from not-for-profits and churches that had a goal of helping those in poverty.
  • Messages and stories perpetuated are those of sadness and suffering, which gets people to contribute.
  • The message about the poor should not always be based on sadness.
  • Compassion should move us to do something.
  • A lot of the emotion she encountered when she looked at poverty were guilt and shame.
  • Microfinance is financial services for the poor.
  • Microfinance is a way to engage with someone in poverty that doesn’t involve guilt or shame.
  • The basic idea was to be able to tell people’s stories.
  • Kiva lent $500,000 first year; $15 million second year; anticipating $100 million by 2010.
  • Money creates a false dichotomy between classes.
  • We need to have connections based out of dignity and hope.
  • Kiva launched in the USA recently.
  • We’re all equal – everyday we all have need.
  • We all have something to offer.
  • We need to truly believe in each other.

For more on Kiva & Jessica, check out my notes from Willow Creek’s Leadership Summit!

    Will Blog for Kiva.org

    by Tim Schraeder on 08/06/2009 in Just For Fun, Leadership Summit 2009, Notes with No comments

    So today has been a bit wild.

    Even though Twitter crashed for awhile (and we all thought it was the end of the world), I was amazed to see how word about my notes from the Leadership Summit spread across the Twittersphere… thanks in part to @ShawnWood, @CatalystLeader and others.

    As of this blog post, nearly 2,000 people have visited my blog today (WOAH!) and I’ve added quite a few followers on Twitter as well (welcome!).

    So midway though the afternoon my friend Shawn posted this Tweet:

    shawnstweet

    I replied back agreeing and then Shawn took it to the next level and set this up:

    Then I had an idea (thanks to a friend)… what if I took that money and did something productive with it… say, donate it to Kiva.org?

    Quite appropriate considering Jessica Jackley, the co-founder of Kiva.org spoke the Summit today.

    I first learned about how microlending works when Seth sent me a copy of The Blue Sweater to read and review on my blog. I found the whole idea and concept fascinating and after hearing Jessica talk today, I knew it’s what I wanted to do with whatever “play money” I’d get from donations.

    2,000 of you have visited my page today and no doubt there will be more tomorrow as I keep blogging my notes from tomorrow’s sessions.

    So, if they are valuable to you, why not chip in a dollar or two? And let’s do something, together.

    I’m excited to see where this will go and to share the story of the person whose life this is going to impact!

    A Leadership Case Study: Jessica Jackley and the KIVA Story

    by Tim Schraeder on 08/06/2009 in Leadership Summit 2009, Notes with No comments

    Jessica Jackley is co-founder of Kiva.org, the world’s first peer-to-peer online micro-lending website. Kiva.org allows internet users to lend as little as $25 to entrepreneurs in the developing world, providing affordable capital to start or expand a small business. In just three years Kiva has helped raise over $61 million and connected thousands of people across 120 countries. A graduate of the Stanford Graduate School of Business, Jackley’s work has been featured on The Oprah Winfrey Show and the Today Show. She brings a fresh perspective on the personal nature of giving and how new generation leaders can innovate through technology.

    • Kiva.org started in 2005
    • Kiva has lent and repaid over $84 million dollars in four years.
    • “Humans are fundamentally better than banks.”
    • Kiva is the first person-to-person web based internet lending service.
    • Kiva.org will exceed $100 million dollars in loans by 2010.
    • Over 200,000 people in 183 countries have received loans.

    Early Days

    • Mom and dad were her greatest influence, convinced her she could do anything.
    • Her brother was her partner in adventure.
    • One of her heroines was Harriet the Spy… part anthropologist, part explorer.
    • Was in college when she attended her first Leadership Summit.
    • Her and her father would do their own “summits” and decide on a theme for the year.
    • She started to sense her call to combat injustice
    • Learned two things that impacted her view of poverty… 1 – Jesus said the poor would always be with us. It scared her because she was always told people who are poor want something. 2 – Jesus said what we do to the least of these we do for him. The fear was tempered by the idea that she could do something of significance with her life.
    • The passion was vague and wasn’t sure of her specific role.
    • 5 years ago, she learned about microfinance.
    • Microfinance is financial services for the poor.
    • She learned the power of a small loan.
    • She went to East Africa for 3 months to learn from entrepreneurs
    • Many microfinance banks serve those who have no collateral to get a loan and don’t have access to the same resources of the people aruund them.
    • There are thousands of MFI’s that are mission-driven, out there to alleviate poverty by not only giving people money but by empowering and training them.
    • She got obsessed with the stories that came out of success.
    • It’s a privilege to hear the stories.

    How Kiva.org Works

    • Lenders are everyday people with the internet and a credit card.
    • They can give small loans to entrepreneurs.
    • Profiles of entrepreneurs are posted by the lending services in the countries.
    • Lenders lend $25 or more over time and 100% of the money goes to the entrepreneur who pays it back (in about 9 months).
    • Average loan needed is about $500.
    • Average lender gives about $100.
    • Payment rate is 98.5%
    • Credit goes to the entrepreneurs and the microfinance enterprises that train them and set them up for success.
    • Every part of the process is viewed differently in different cultures.
    • They see it as money with purpose, with love and encouragement from other people who know their story and who are cheering them on.
    • When they know they are connected to the outside world it changes for them.

    Examples of Life-Change

    • There’s parents who can send their daughters to school. Or have enough money for their kids to have uniforms.
    • Many changes in health… better nutrition, access to medicine.
    • Better living conditions… mud hut to a home made of concrete and iron.
    • One family saved enough money for a lock for their door.
    • Women in East Africa were proud to have sugar to put in their tea to be better hostesses to their guests.
    • All are beautiful to see.

    Evolution of Kiva.org

    • In March of 2005 she found 7 friends in Ghana, took their pictures and recorded their stories and appealed to friends and family for help.
    • Began with 7 entrepreneurs and $3,000.
    • Launched in Oct 05
    • Do $5 million a month, over $85 million in less than four years.

    Leadership Issues

    • Kiva has a flat, decentralized leadership structure.
    • When you start as friends, you see everyone’s contribution as being important and valuable.
    • If you can perpetuate the culture it creates ownership… people see value in what they do.
    • Mutual respect develops when you know where everyone is coming from.
    • A culture of trust and extreme teamwork.
    • There are bosses… over 40 staff and 100′s of volunteers… there is structure and good management, but when you’re trust-based you get a lot more done.
    • A lot of time is focused on creating tools for  a broader community to create amazing things to do even greater good.
    • Their iPhone app was developed by volunteers.
    • If you believe in co-creation you have to give up control… of your brand and who you are.
    • We have a mission we always come back to… the what (to connect people) the how (through lending), the why (for poverty alleviation).
    • Mission sounds simple, but they make decisions against it all the time… it’s their guide.
    • If a company comes with lots of money and no humans behind it, void of connection, they turn the money down… it would take away from their mission.
    • Common purpose is the best way to build ….

    On Innovation

    • Innovation and entrepenurship are life-giving ideas.
    • Entrepreneurs create new life and new ideas.
    • if there’s anywhere innovaiton should be present, it should be in the Church.
    • That’s where life and revitalization should be coming from.
    • The chuch should be the safest place to come with the “what if” ideas.

    On Giving

    • Sacrificial giving is different than other giving because of the change that happens in the giver… you want the giving to have thought and intention behind it.
    • “Great poets show, they don’t tell.”
    • It’s not effective to TELL people why they should give… SHOW them, give them the opportunity and they will.

    Fears

    • There’s more to lose the bigger you get.
    • Don’t allow fear to stop you from taking bold chances.
    • Don’t be less nible or dynamic.
    • Try new things, pioneer.

    To Young Leaders

    • Just taking the first step is a big deal. You can talk about wanting to do something or having an idea, everything changes when you begin.
    • Don’t be afraid to start small. Biggest way to make a big impact is to start small.
    • Just start. Get going. You’ll learn more in the first few days of trying and experimenting than you will in the year before talking about it.

    To More Experienced Leaders…

    • Co-creating and collaboration create the best outcomes.
    • A dream team could be leaders with experience with inexperienced leaders.
    • No preconceived ideas of problems or solutions.
    • Be open to each other.

    Final Word to Leaders

    • What will really change the world is a change in mindset.
    • When we believe in the potential of each other, you don’t have to convince people to take actions that will solve problems and make things better.
    • Microfinance gives dignity and respect while creating connections between people, breaking the false dichotomies between rich and poor.