Angel Empowerment Fund

Chris Jakubiak

Tsavo, Kenya

Angel Empowerment Fund

Several years ago Global Angels were shocked to discover that banks and many charities typically charge the poorest women in the world 25-35% interest on any micro-finance loan.

With that in mind, we set up the Angel Empowerment Fund in 2016 to support the women in our community projects with seed funding to start small businesses. Empowerment is one of the key Global Angels solutions and one which we know strikes a chord with our supporters.

In this new model, the recipient is given seed funding in one or two installments to help her start her business. Repayments begin to be paid back only after the business has begun to become viable. Once the loan is repaid, a final 5% gift is given forward into the fund to be invested in supporting another woman in the same community. This helps grow the fund but the really dynamic benefit is that these ladies are becoming social entrepreneurs. Any women in the group who repays her seed funding can ask for another loan to further develop her business and the cycle continues. We decided it was wise to give the ladies a 3-9 month payment free period from receiving the loan before they had to start making repayments. This went down very well as it is much kinder than the standard loan model which demands repayment the first month after receiving a loan. We have found this allows the women to truly develop their businesses without fear of falling into debt. In January 2017 we began to see the first repayments being made proving that this model is effective. In July we gave a new round of loans to those who had paid back.

So far the Angel Empowerment Fund has helped fund and found small chicken and goat farms, tailoring businesses. In 2018 we are widening the scope of businesses we support through the fund to include bee keeping and agriculture. We will sponsor our first young men and women as well. Very exciting.

Here’s how it works – Through our Angel Empowerment Fund we give £100-200 startup loans for women and young people to develop small businesses on their land holdings. That same £200, when repaid, will provide a loan for another “entrepreneur” in the community. In five years, your £200 will have given four entrepreneurs the chance to become successful and it will keep on giving and giving. This is a great example of how we make it easy for you to make a difference 🙂


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