1. ACCION USAMicrofinance at Work in theUnitedStates

2. Our Mission ACCION USA empowers entrepreneurs to invest in their business, family and community through financial literacy and capital.

3. ACCION USA History and Portfolio ACCION USA offers loans from $500 to $50,000 for small business and credit development purposes at interest rates ranging from 8.99 – 15.% And Financial Education tools and resources. ACCION USA has lent $122 million since 1991: With approximately 3,000 active borrowers across 46 states. ACCION USA has branch locations in New York, Boston, Atlanta, and Miami and is able to serve the business coast-to-coast through our online application The ACCION Network has supported over 36,000 microentrepreneurs with $250 million. This network of licensees serving TX, LA, NM, CO, AZ, IL, and CA.

4. Portfolio Demographics 65% Latino 20% African American 40% Women

6. 90% are minority

7. 75% have lived in U.S. over 10 years

8. 38% are home-based businesses

9. 45% are first-time borrowers65% Latino 20% African American 40% Women Source: 2009 Impact Study and ACCION USA Portfolio as of 12/31/2010

10. Portfolio by Industry Clients work mostly in food & beverage, retail, transportation and beauty

12. Some industries are considered to be high risk

13. Lack of financial documentation or records

14. Business is informal—no commercial track record

15. Loan amount needed is too small

16. Language BarriersSource: Microenterprise Employment Statistics published by the Association for Enterprise Opportunity (AEO)

17. The need for microfinance in the U.S. 40 million households (106 million people) have limited access to mainstream financial institutions in the U.S. and 28 million people are completely unbanked. Microenterprises (5 employees or less) account for approximately 18% of employment in the U.S. and create 900,000 jobs a year. Predatory lenders charge average annual interest rates over 300%— and accounted for over $42 billion in loan volume in 2008.

18. Decision Factors Credit History Credit Score 575 and above Relatively low balances Healthy % of available credit Open accounts that are current. Zero FICO score is acceptable for credit start loans Character References: residential and commercial landlords, supplier, client and/or personal references. Cash Flow An examination of sales versus expenses must demonstrate capacity to repay loan. Business and personal bank statement review. Start-ups must present 12 months of financial projections. Loan Purpose Detailed list of expenditures. Contributes to the positive growth of business. Loan uses that will clearly improve the revenues and/or profits of the business

19. Background Information Prior Learning – Loan Process STEP 2:. Formal Pre-Approval Process and begins Loan Application STEP 1: Make Connection And Pre-Screen Client STEP 3: Client submits complete loan application. Loan Consultant interviews the client. STEP 6: Loan Enters Repayment STEP 4: Loan Application is sent to Underwriting Team STEP 5: Underwriter Approves Loan and Loan is Dispersed

20. Our Impact We create sustainable businesses: The business survival rate among ACCION USA clients is 98% for established businesses and 89% for start-up businesses. We create employment in low-to moderate-income communities: On average, each ACCION USA small business loan recipient creates 3 jobs (including the borrower). We create fair wages: Jobs created by ACCION USA borrowers pay 33% more ($10.80/hour) than the federal minimum wage ($7.25/hour). We improve their quality of life: Clients reported a 19% median increase in take-home pay in the midst of economic distress. Source: 2010 MicroTest Outcomes Survey in partnership with the Aspen Institute

21. How to be involved? Attend the Microfinance USA conference in New York City, May 23-24th 2011- Register today! Tell business owners about ACCION USA- they can apply online at www.accionusa.org Sign up for our news about upcoming events and important news in microfinance!