ICAfrica  -  Frequently Asked Questions

         How does ICAfrica micro loan program work?

o    ICAfrica provides loans to the poorest of the poor individuals who are already doing some kind of economic activity to earn a living but are not generating enough profits to keep their families above the poverty line. These families, mostly headed by women, receive loans with a small application fee. Families living just above the poverty line or those seeking a second loan are required to pay an interest rate that is below commercial lending rates.

o    It is a four-step process. First, potential entrepreneurs are identified. Second, ICAfrica provides coaching and micro-credit. Next, loan recipients are continuously monitored and given business coaching. Finally, the loan is repaid and then recycled.

Can individuals loan money directly to African entrepreneurs?

o    Yes, people living in all parts of the world can loans money through ICAfrica, directly to entrepreneurs via a program we call DRL (Donate Refundable Loans). You get your money back at the end of 12 months and you can re-loan it over and over.

·         What kinds of businesses are there?

o    Presently, we are assisting entrepreneurs that require less than $100 for their businesses. The main types of businesses we are assisting to grow include sewing companies, carpentry, retailers of vegetables, fruits, fish and other food products, small grocery items retail, as well as small farmers and service providers. As we raise more money, we will be able to assist larger entrepreneurs in the manufacturing, processing and larger agricultural sectors since these are the ones that will create multiple middle-class jobs.

·         Who gets the funding?

o    Individual impoverished women entrepreneurs in African villages receive  funding directly from ICAfrica's field Manager. Women are the most eligible for loans due to a number of different reasons. First, women are the most reliable in terms of loan repayment, continuously proving themselves as viable entrepreneurs by repaying their loans within 6 months. In addition, they are in greater need for the loans because they often have children dependent on them for survival and many of their spouses have been forced to leave the community is search of full-time employment in the larger cities.

·        Why invest in women?

o    ICAfrica invests the majority of loans in impoverished village women because of their on-going reliability. They are the most likely to re-pay what is lent to them because they often have families to provide for and are less able to re-locate. Women also are more likely to invest the loan into their business instead of spending the money on daily necessities. This is extremely important because it generates more income for their families in the long run and also works towards to the goals of ICAfrica; to create jobs and businesses for other members of the community.

You can read our: Because Women Carry The Load.

·         Why do entrepreneurs need a certain level of income before getting a loan?

o    ICAfrica targets those already doing some type of entrepreneurial activity but are not making enough profits to get themselves above the poverty line. They simply need a boost in additional capital, in the form micro-loans and some coaching to help them advance in higher capitalized businesses. So the risk of failure is very low. Those that do not have a capital to begin with, are likely to spend their micro-loans on food and that will bring them back to where they started. There is only so much we can give at this time so we put it into areas that can get the best overall result for the people, quickly.

·         If I give to ICAfrica, where does my donation go?

o    All monies donated to ICAfrica go towards funding a loan for an entrepreneur in sub-Sahara Africa . So far, no salaries are paid as ICAfrica is entirely run by volunteers. (Canadian Revenue Agency Charitable Number 874091242RR0002).

o    There are multiple representatives across sub-Sahara Africa that ensures the delivery of money to the selected entrepreneurs. These field managers  distribute and manage your donations, as micro-loans, to individual entrepreneurs.

·         What is the repayment rate?

o    99%

·        Who runs ICAfrica?

o    The Executive Director is Eugene Nzeribe (also the Founder)

·         Where are your projects located?

o    Ghana,  Nigeria , Uganda & Kenya

·         How much have you spent to support entrepreneurs so far?

o    $36,450

·         How many entrepreneurs have you helped so far?

o    486

·         How many individuals have benefited from ICAfrica's program in 3-year?

o    Between 2008 & 2011, over 1458 people have moved above the poverty line
through ICAfrica's investment of $36,450 in assistance to 486 family enterprises. (about $25 to bring each person above the poverty line)

Have more questions? Visit www.icafrica.com or e-mail us at:  admin@icafrica.com