My summer research is titled "Using Local Microfinance to Assist Transitions from Homelessness." Over the summer, I will be working to organize the two first pilot groups of borrowers for a new student-run microfinance initiative called the Community Empowerment Fund (CEF). CEF aims to provide individuals who are homeless or at-risk of experiencing homelessness with access to small loans that enable these individuals to help themselves out of poverty. CEF loans are meant to directly further the acquisition or expansion of employment. This includes, but is not limited to, loans for the purchase of goods, trainings, start-up funds, equipment, tools, uniforms, and transportation costs. Loans are given on the basis of the application process, which includes the following written application and a personal interview. Upon approval, a flexible repayment schedule will be worked out according to the client’s financial situation.
The first two groups of borrowers this summer will consist of 5 women and 5 men, respectively. The program will work mainly through referrals, but will accept and review all applications.
My summer research will ask the question: How can the Community Empowerment Fund be structured to best meet the specific needs of the homeless population in the Chapel Hill-Carrboro area through microfinance? I will evaluate the program’s efficacy and its ability to empower individuals towards obtaining more stable housing and employment, and will work with borrowers to adapt the structure of CEF.
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This sounds amazing! I live in Gainesville and am doing summer research on local homelessness as well. Microfinance is also very close to my heart. I wish UF had the microfinance resources UNC does!
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ReplyDeleteInteresting research subject! Observing the direct effects of certain lending options would definitely help in establishing a better framework. The Community Empowerment Fund (CEF) has been known to aid the poor sectors of society. Some people use it to start up small businesses while other opt to invest in cheap housing offers. Essentially the principle of funding fuels such options to provide for such sectors.
ReplyDeleteFunding for bigger industries comes in the form of banks and lending bodies that offer unsecured financing, receivable financing and the like. Unlike CEF, such ventures aim at keeping the company afloat or expanding the scope of the enterprise.
I'll definitely check the results of your research. Looking forward to your next posts. Thanks!