Grameen America
Grameen America is a U.S.-based microfinance institution providing financial services to low-income women entrepreneurs through microloans, financial education, and peer support.
Services
Grameen America provides microloans to low-income women entrepreneurs to help them start or expand their businesses. The loans come with a fair interest rate ranging from 15% to 18% and have no additional charges such as origination, late, or monthly fees. The microloans are supported by financial education, peer support, and credit and asset building services. Grameen America also reports loan repayments to Experian and Equifax to help build members' credit scores.
Mission and Target Audience
Grameen America focuses on empowering economically disadvantaged women, particularly those living below the federal poverty line. The organization aims to provide financial opportunities to underserved women by offering microloans as a 'special purpose credit program' under the Federal Equal Credit Opportunity Act. Grameen America's initiatives target women entrepreneurs across 27 U.S. cities, with a special emphasis on supporting women of color.
Partnerships and Funding
Grameen America has established partnerships with various corporate and institutional partners to support its mission. Corporate partners include American Express, Apple, Bank of America, and Goldman Sachs One Million Black Women, among others. Institutional partners encompass the California Community Foundation, CDFI Fund, Dalio Philanthropies, and the U.S. Small Business Administration. Additionally, Grameen America has received significant support from Beyoncé Knowles-Carter's BeyGOOD Foundation, contributing to initiatives like the Black Parade Route Small Business luncheons.
Special Initiatives
Grameen America has launched several special initiatives, including the Elevating Black Women Entrepreneurs program, which provides affordable capital, business training, and peer networking to Black women entrepreneurs. Another notable initiative is Grameen Promotoras, which aims to improve the health and well-being of low-income women through a community health worker approach. Additionally, Grameen America has a new pilot savings program designed to help members build assets, improve financial stability, and practice positive money-saving habits.
Operational Model and Impact
Grameen America operates on a sustainable business model where the interest income from microloans covers operating expenses. With a repayment rate of 99.8% and a retention rate of 91.4%, the organization has had significant impact since its inception. Grameen America has disbursed over 1,067,000 loans, invested $7.3 million in loan capital to more than 1,450 Black women, and created or maintained 207,000 jobs.