1. 1
0% interest loan
product funded
entirely via online
crowdfunding

2. 2
Designed specifically for
financially excluded, socially
impactful entrepreneurs who
need small starter loans up to
$5,000

3. 3
Building off the success (and scale) of
Kiva.org around the world...
967,972 entrepreneurs
funded since 2005
67 countries
US$150 mil p.a. in
crowd-funded loans
US$1mil every 2.5 days!

4. 4
....built specifically around the unique
needs of US micro-entrepreneurs

5. Kiva Zip: reinventing small biz borrowing
• Expand access to 0% interest loans
• ...To small businesses not otherwise qualified for
conventional loans
• ...All loans are crowdfunded online from our lending
community
• We also lower cost of lending further by using digital
platforms (PayPal in the US)
• Which also directly connects borrowers with a ready
community of lenders who they can turn into fans
and advocates

6. How ZIP works: example of Victor, SF
Lenders can also
check out his Yelp
profile
Repaid 10
months on time
Victor engages his
lenders with the
“conversations”
feature
Now applying
for a second ZIP
loan of
$10,000
Created 5
new part-time
jobs

7. How ZIP works: other borrowers
“Kiva Zip is an invaluable resource for entrepreneurs”
Emiliana, Jarred Brine
“I didn’t think character based lending existed anymore. It’s an
amazing use of technology to bring us back to the basics.”
Cristian, J Style at Home Inc
“Having 45 people invest in Pac Brew Labs is like hiring 45
brand ambassadors”,
Bryan, Pacific Brew Laboratory

8. Kiva Zip “Trustees” and why they matter
In the Kiva Zip model of character-based lending, “Trustees” -
organizations or individuals that work closely with small
entrepreneurs - are absolutely crucial.
Trustees are those entrusted to:-
 Identify eligible and deserving borrowers for 0% interest loan
 Publicly endorse them on the Kiva Zip website
 Support the borrower in their business (advice, mentorship,
incubator space, networking)
Trustees have no financial risk if a borrower they endorse does not
repay, but their reputation is tied to borrowers’ performance.

9. What’s in it for trustees?
Empower
Clients
If you already work with financially excluded clients
(unproven startups, or low credit score entrepreneurs)...
Kiva Zip will give the clients you endorse access to 0% business
loans they would otherwise not qualify for
Promote
what you
do
If you already do great work in your community that largely
goes unrecognized or unpromoted...
being a Kiva Zip trustee automatically allows you to promote
your work (in your own words) to >1 mil socially-conscious Kiva
lenders everywhere. Also participate in Kiva PR initiatives.
Increase
Impact,
Help
Fundraise
If your organization’s potential funders care about tangible
impact (businesses helped, $$ generated, jobs created)...
Kiva Zip helps you help more small businesses take off, faster.
Endorsing a deserving borrower online takes 15min. Reducing
time and cost for raising capital means you can impact more.

10. In general, Trustees should endorse only those entrepreneurs who
They trust to repay (character-based assessment)
Possess the financial ability to repay (a new loan doesn’t increase indebtedness)
Borrowers: who should you endorse?
Character Assessment
Kiva Zip leaves it up to trustees to
make a judgment call in these areas
Minimum Criteria
Must be met unless there are exceptional
circumstances
• Do you deeply trust that they are the kind
of person who will commit to repaying their
loan?
• Do they have a viable business or
business plan?
• Do you know what they will use the loan
for and how it will impact their business?
• Will this loan have a positive social
impact?
• The borrower's debt-to-income ratio must be
less than 35%
• The borrower cannot have over $3,000 in past-
due debt
• The loan must be less than 75% of the
borrower's income
• The borrower cannot currently be in foreclosure
or bankruptcy
• The borrower's annual income must be less
than $100,000
• The borrower must be over 16

11. Once a trustee has identified a borrower they want to endorse, there are five
principal steps before the borrower can begin fundraising for an interest-
free, crowd-funded loan on the Kiva Zip website:
Endorsing a borrower is easy
Trustee
application
Trustee
endorsement
Borrower
application
Trustee
review
1 2 3 4
Trustee fills out a
‘trustee application’
form, telling Kiva Zip
(and lenders) why
they want to be a
trustee
•One-time
•Online
•20-30 mins
For each borrower
they endorse,
trustee writes a
simple online
endorsement
• Describes the
borrower’s
character to
lenders
•10 mins
The borrower’s turn!
Borrower completes
a ‘loan application’
•Their background
•Their business idea
•“Why loan to me?”
•2-3 hours
•Online form
Once submitted,
every trustee
gets to review
the loan
application
•Can choose to
approve
•Or suggest
changes,
improvements to
borrower
Kiva Zip team’s
final review before
posting it to the
website.
•Loan begins
online fund-raising
•3-6 weeks to
fund-raise
depending on size
of loan
Kiva Zip
team review
5

12. “Wow, Cool! How do we get started?”
1. Recommend all new trustees start with only 1-3 “pilot” borrowers
2. For each, 1st loan up to $5000
3. Only expand to more borrowers after 10 months’ total repayment
history (e.g. 2 borrowers with 5 monthly repayments each)
4. 2nd loan up to $10,000
5. 3rd loan up to $20,000
That’s it. Let me know if you have any questions?
Sulin Lau, Kiva Zip NYC
sulin.lau@fellows.kiva.org, mobile: 4156906510
website : zip.kiva.org

13. 13
Appendix: other useful information about Kiva Zip

14. What do the loans look like?
 0% interest
 Business loans
 Small size – first loan can be up to
$5k; subsequent loans up to $50k
 Up to 24 months term
 Grace periods available for some
loans
 Repayments made in regular
weekly or monthly installments
 Disbursals and repayments
made electronically via Paypal
 Posted and ‘crowd-funded’ online

15. Example organizational trustee profile
Photo (or logo)
of the
organization
List of
borrowers
endorsed
Link to
website,
Facebook page,
Twitter feed,
etc.
Information about the
trustee, how they will do due
diligence on borrowers, etc.
Information
on number of
borrowers
endorsed, and
repayment
data

16. Example trustee endorsement
The trustee
endorsement shows up
as a tab on the
borrower’s loan page
We ask trustees four
simple questions
about why they are
endorsing the
borrower for a loan

17. Borrower success stories in the press:
Success stories
Carol Cooke
Hot Dogma Depot
Seth Gold
Bamboo Apparel
Tulio Cardozo
Collaborative Benefit
DB Shroeder
Puzzle Piece Theatre
WEDC in New York
Trustee partnerships in the press:
Michigan Corps in Detroit American Dreams