The 51st Midi de la Microfinance, organised by Luxembourg non-profit organisation ADA, will take place on Wednesday 10 March 2021 from 17:00-18:00 on Zoom.
Despite the recognition of the role of micro and small enterprises in the global economy, they still face multiple challenges. One of the main obstacles is the limited access to finance, especially for those businesses that are already established and need between €5,000 and €50,000 for their development. Another challenge for these companies is to strengthen their management skills, in particular their financial and accounting management and those related to market access. The lack of basic accounting and financial statements is often another major barrier to accessing finance.
Faced with this situation, some actors in Central America are developing innovative solutions for entrepreneurs, based on a financing offer combined with support on product development, market access and management.
Through this Midi de la microfinance, ADA will share the experience of some of its partners who promote youth entrepreneurship within the framework of its Young Entrepreneurs Sustainable Funding Initiative (YES FI) programme, namely:
- Alterna (Guatemala) that has launched the impact investment programme "Catalyzer" which allows young entrepreneurs to access financing ranging from €5 to €50,000 and whose repayment is based on the evolution of their turnover. In addition to its innovative financing and support methodology, Catalyzer also has the particularity of targeting companies with a high social and environmental impact by including this criterion in its selection process;
- Fundación Cacao (El Salvador), an association of business angel investors created jointly with the INSERT/YAWAL incubator in El Salvador. Together, these two actors are developing a support and financing mechanism that combines the concepts of guarantee, loan and equity for the benefit of small businesses with a high social impact.
Moderator: Carla Palomares, Acting Head of technical support for microfinance institutions at ADA
17:05: Discussion between the speakers
- Manfred Bauer, Director of Cultivation at Alterna (Guatemala)
- Fernando Morán, Founder of Fundación Cacao (El Salvador)
17:40: Q&A with online participants
17:55: Closing remarks by Mónica Ducoing, Central America & Mexico Chapter Manager of Aspen Network of Development Entrepreneurs (ANDE).
To attend this virtual Midi de la Microfinance, register at www.ada-microfinance.org/en/events/midis-microfinance. The event will be in Spanish with translation into English.