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With microfinance, help promote economic ventures in the slums and remote, undeveloped regions. ENTREPRENEURS CMJN

With microcredit, savings, and training, Entrepreneurs du Monde helps thousands of underprivileged men and women in developing countries to establish their own income-generating activity.

29, rue Ladmirault – F-86000 Poitiers - Tel. : +33 5.49.60.68.50 - Fax : +33 5.49.60.89.01 Internet : www.entrepreneursdumonde.org - Mail : [email protected] RVB ENTREPRENEURS 2

“Granting loans to the poorest people provides them with an opportunityENTREPRENEURS to CMJN develop an economic activity, which helps them recognise their own ability to generate income, shows them that success is possible, and puts them on the path to economic, social, and human development.” RVB ENTREPRENEURS 3

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Entrepreneurs du Monde (“Entrepreneurs of the World”) is a French-based international solidarity organisation created in 1998. We intercede in developing countries to enable the poorest families to develop a small economic venture by giving them access to loans and savings. Our directors and administrators, as well as most of our employees, come from the world of business and call upon efficient, durable methods that are indispensible to the success of development programmes.

The Situation In the slums of developing countries, the poor have few opportunities to develop an economic venture. Excluded from the traditional banking system, they resort to loan sharks whose interest rates frequently exceed 20% per month. What’s more, often with little education, the poor cannot find employment in the formal sector and they lack self-confidence. However, they are all driven by a profound determination to take action in order to improve their daily lives. They can open a store or start up a fishmonger’s business or dressmaking workshop overnight if a loan provides them with the means to do so. More than 96% of them will pay it back.

Our Initiative In this context, Entrepreneurs du Monde both establishes and supports loans, savings, and training programmes that place the poor in a stable development process by offering them: . loans for developing an income-generating venture, . savings to cope with the unexpected and insure projects for the long-term, . training to encourage self-sufficiency, . individualised follow-up to ensure the initiative has a positive impact on the whole family. In order to reach the greatest number of families among the poorest, and to ensure the economic and social impact of our programmes, Entrepreneurs du Monde continually adapts its methodology: we try out new approaches, such as mutualist systems, and actively participate in sharing experiences with other operators.

Our Results

11 years of operation 14 local partners in 9 countries 49,400 entrepreneurs supported in 2008 A budget for 2008 of 1.3 million euros with 11% for operating costs RVB ENTREPRENEURS 4

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Popularised by Mohamad Yunus, the founder of the Grameen Bank and recipient of the 2006 Nobel Peace Prize, microcredit now reaches out to more than 130 million families around the globe. Today, thousands of people with increasingly diverse backgrounds take part in this sector: private investors, banks, governmental agencies, microfinance institutions, cooperatives, NGOs, traditional banking systems, moneylenders... They support populations that are becoming increasingly heterogeneous:

small loans minimal collateral Peasants, Families living in the slums, Shop-owners, Craftsmen, Employees, Civil servants, Professionals, Small businesses.... large loans significant collateral

Entrepreneurs du Monde aims to develop and support loans and savings programmes that demonstrate the following four elements:

. In urban areas, establishment in the heart of the slums in order to ensure proximity to the beneficiaries The branches are established in the slums, from which the personnel is likewise recruited and trained. Committees of beneficiaries participate in initiative decisions.

. Continuous adjustment of methods and products in order to reach the poorest Each loan application is studied on a case by case basis and the loan repayment and savings instalments to be put away are adapted to the means of the family. The borrower commits to an individual, rather than collective, responsibility. . Adoption of a complete approach, with the loan as a starting point Numerous services are offered in order to improve the living conditions of the beneficiaries: the opening of savings accounts, training in income-generating activities, management assistance, vocational counselling for youth…

. Provision for project sustainability within 5 to 6 years - creation of a solid and competent local team - organisation of a legal entity - progressive self-financing of the loans activity - search for local grants to subsidise the non-financial services

Furthermore, Entrepreneurs du Monde seeks to diversify its sources of financing and to get our name and efforts known to the general public. RVB ENTREPRENEURS 5

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The Beneficiaries Whether they are banana-sellers, grocers, sari-makers, or peasants, the beneficiaries of our programmes receive various services that allow them to gradually improve their living conditions and to take charge of their and their children’s futures. The average loan is 138 €, lent for a term of approximately 5 months. The rate of repayment is greater than 97%. During the loan period, a family typically manages to save between 20 € and 30 €: it is often their first savings.

The Areas of Intervention Whether in an urban locale (, , Kolkata, Port-au-Prince, ....) or in a rural region (, and ), the intervention zones are very poor. The average daily income varies from 1€ to 3 € by country. The environment is characterised by dense population and precarious sanitary conditions in the cities, and, in the countryside, isolation, uncertainty, and lack of local markets in the countryside.

Entrepreneurs du Monde intercedes on a fnancial and operational level in the , Vietnam, , , , , Burkina Faso and , and on a technical level in Myanmar.

Information for 2008 Aside from intensifying our work in countries in which we are currently active, Entrepreneurs du Monde is focusing on two specific areas for development in 2009: Southeast and . Surveys are currently being conducted in Togo.

haIti 6,200 entrepreneurs india Vietnam 4,600 entrepreneurs 1,200 entrepreneurs burkina faso Technical consultation Myanmar Technical consultation GHANA Cambodia The philipPines 5,000 entrepreneurs 6,600 entrepreneurs 14,800 entrepreneurs

bEnin 11,000 entrepreneurs RVB ENTREPRENEURS 6

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Organisation of our programmes Branches are established in the poorest neighbourhoods, where residents have no means to develop an economic venture. The branches are directed by a manager who supervises 2 to 4 agents. Their mission is to identify families, evaluate their needs, grant loans, collect repayments and savings deposits, offer advice, etc. Each branch must become self-sufficient after 2 to 3 years of activity. The management of loans and savings data is computerised , either within the branch itself or in a centralised location, depending upon the local methodology. Non-financial services (training, follow-up...) are usually supervised by a specialised team that works in several different branches. It takes between 5 and 7 years to ensure the structural and financial sustainability of a programme, depending on the country and the services offered. Profit generated by the interest received on loans is used to cover local operating expenses.

Central Office: Branch 1 Administrative Allocation of loans, collection, training, follow-up and financial management Branch 2 Allocation of loans, collection, training, follow-up

Branch N Allocation of loans, collection, training, follow-up Training Training is one of the mainstays of development. Many families are illiterate or not formally educated. Basic training (self-confidence, arithmetic…) is therefore provided alongside professional training (management, trade training…) and community training (aimed at improving sanitation, as well as the family and social environments). Some examples: - calculation of profits (for example, that revenue earned does not equal profit) and how to save 30-50 euro cents per day... - skills training: learning how to cook a recipe, vulcanise a tyre, sew a bag... - answering questions about children’s education, their place in the family, - raising awareness to hygiene, endemic diseases, etc.

Individualised monitoring The team’s first step is to do a financial assessment of the family in order to help the family determine its needs (loan, training…). When the family becomes a member of the branch, the team makes regular follow- up visits: encouraging the family, following its progress, and providing counselling on management of the economic venture, the children’s education, the family environment, etc. RVB ENTREPRENEURS 7

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Sources of financing 41 % The development of Entrepreneurs du Monde’s projects is linked to the collection of private funds (individuals, businesses and foundations) and public funding (in particular, 29 % the French Ministry of Foreign Affairs supports 27 % our activities by means of governmental co- financing). In 2008, we collected 1,293,150 €, provided by five different kinds of donors (see breakdown opposite). 2 % 1 %

Governmental Foundations Private NGO Other subsidies & Businesses individuals partners revenue 378,865 € 527,700 € 348,072 € 28,258 € 10,254 € Allocation of resources Entrepreneurs du Monde dedicates the bulk of our funding to the development of new ASIA loan branches in the field by reducing to a Indoa bare minimum those expenses that are not 12 % Haiti directly allocated to programmes. Precise Vietnam 10 % 9 % project monitoring and account transparency Cambodia are guaranteed to financial partners. CHAMROEUN 13 % Burkina SOVAN PHOUM 2% For the programmes that we finance and Faso 8 % The Philippines supervise, resources are allocated as seen in Ghana SPACE 10 % WEST 9 % the chart opposite. AFRICA SEED 6 % Benin Inner City 2 % 17 % UPLIFT 2 %

Key indicators*

Year 2007 2008 2009 Projection Budget in € 953,937 € 1,114,355 € 1,500,000 € Overhead costs 10% 11 % 10 % No. of partners supported 9 13 15 Number of borrowing families 33,134 49,384 70,000 Number of countries 7 8 8 No. of loans granted 50,588 66,773 90,000 Average loan 127 € 138 € 140 €

* *These are figures and indicators for the microfinance operating partners that we support financially and technically. We also support several other organisations for which we are not the principal supporter. Their indicators and corresponding budgets are not taken into account in the above chart. RVB ENTREPRENEURS 8

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Initiatives in the field After several years of strong growth, Entrepreneurs du Monde aims to continue to develop its activities along the following lines:

■■ intensifying actions in countries in which we are currently active, with expansion in the provinces developing auxiliary activities in urban areas to support entrepreneurs’ economic involvement (Manila, , Port-au-Prince)

■■ surveying needs in Togo ■■ using microcredit to promote the distribution of products of a social use (economical stoves, spirulina, dairy products, etc.)

■■ developing micro health insurance products

Diversifying resources

For 2009, Entrepreneurs du Monde's budget should amount Governmental Foundations to 1.5 million euros. subsidies & businesses We expect to receive funding from four primary sources, as 32 % illustrated in the chart opposite. NGO Since we began developing long-term partnerships with partners 2 % 50 % businesses and foundations, we have seen a strong increase 16 % in funding from these two sources. They receive personalized Private summary reports and they aid us in awareness-raising individuals initiatives.

In addition, we plan to borrow (rather than subsidise) our partners’ funding needs for loans in order to manage the strong growth they are experiencing. To date, some 940,000 € worth of loans have been estimated. We are currently in the process of creating a new legal entity to house these funds, which will then be loaned out to our partners in order to subsidise their funding needs for loans to entrepreneurs. RVB ENTREPRENEURS 9

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The Entrepreneurs du Monde team is composed almost entirely of individuals whose background is in business, and several of whom have earned degrees in business or management. These people have chosen to work in the development sector after significant experience in the business world.

Franck Renaudin, the founder and general director of the association, earned his degree at EDHEC. He initially worked for a large industrial group, after which he spent 7 years abroad as manager for development programmes before creating Entrepreneurs du Monde. He was elected “EDHEC of the year” in 2004.

Hélène Keraudren, a ESCP alumna, worked as management controller in large companies before joining Entrepreneurs du Monde – first in the field and then at the Poitiers headquarters as Administration Systems and Finance Manager. Five others with similar profiles, four of whom work part-time, work at our headquarters in Poitiers.

Franck Armelle Matthieu and Fathi Hélène Gilles Véronique

In the field Five expatriates supervise our work in the Philippines, Vietnam, Cambodia, India, and Ghana. They are supported by an Asia Coordinator and a West Africa Coordinator, who are based on site. They are all alumni of grandes écoles [French private, competitive universities] and most of them have professional experience in business. The programmes in Myanmar, Benin, and Haiti do not have a permanent expatriate presence, but are visited regularly for monitoring.

Mathilde Nathalie Isabelle Grégoire Romain Laetitia Olivier The Philippines Vietnam India Cambodia Ghana Burkina Faso The Philippines

The Board of Directors has eight members - President : Nadine LARNAUDIE - Administrators: Sabine ROUX DE BEZIEUX - Treasurer: Jean-Paul BERNARDINI Christine DESCAMPS - Secretary: Michèle GAGLIANO Michael SMITH, Anne CARPE Serge BODENHEIMER RVB ENTREPRENEURS 10

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• The French Ministry of Foreign Affairs By means of a co-financing system, the French Ministry of Foreign Affairs sponsors our programmes financially and closely monitors project success through its embassies. The Ministry is a signifcant Entrepreneurs du Monde partner : it provided 326 519€ in 2008.

• Foundations A dozen foundations of varying sizes support our programmes, either directly or via the Fondation de . Their support continues to grow.

• Businesses Our partnerships with businesses are developing rapidly. Beyond simple financing, there is an effort to increase awareness within businesses regarding the activities that their support have made possible. In particular, we were chosen by La Poste [the French postal service] for a momentous, three-year partnership.

• Private Individuals Roughly 700 individuals support our activities in the form of donations or sponsorships. One of our methods allows individual to contribute 30 € per month to a specific branch in the field. RVB ENTREPRENEURS 11

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• In the South For the launch of activities in the field, we prefer to support local partners. To that extent, we must identify those partners that share our principles down to the last detail. We can then support them financially and technically in order to help them flesh out the services they provide and the development of their projects. In those cases where we are unable to identify a local partner, we launch our own programme with the goal of helping it become self-sufficient. Entrepreneurs du Monde currently supports a dozen local partners.

• In the North We work closely with two developmental organisations that we have known and have collaborated with for many years on several different projects. Initiative 29, rue Ladmirault, F-86000 Poitiers - Tel: 33(0)5.49.60.89.66 - Fax: 33(0)5.49.60.89.01 Développement Mail: [email protected] - Web : www.id-ong.org Inter Aide 44, rue de la Paroisse, F-78000 Versailles - Tel: 33(0)1.39.02.38.59 - Fax: 33(0)1.39.53.11.28 Mail: [email protected] - Web : www.interaide.org

• Our Friends

Ogilvy & Mather A world leader in advertising who kindly created the Entrepreneurs du Monde publicity campaign.

HumanoPole A Space for Peace, Development, and the Environment: www.humanopole.org

The Don boule Association of volunteers based in the south of France that network actively to de neige support Entrepreneurs du Monde’s partners in Cambodia and in Benin. foundation www.donbouledeneige.org

Soliland For each purchase made through this Internet shopping portal by Internet buyers specifying our organisation as the beneficiary, Entrepreneurs du Monde receives a percentage: www.soliland.fr

Hooseek For each search made on this site by Internet users specifying our organisation as the beneficiary, 0.002 € goes to Entrepreneurs du Monde: www.hooseek.com

Translation Jessica Alexander RVB ENTREPRENEURS 12

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Bandhana Gosh, her our branch in her neighbourhood. In December 2007 she husband, and their two requested and was granted a loan of 3,000 rupees (50€), children live in Kadapara, a which enabled her to buy the necessary equipment to suburb north of Calcutta. prepare her first meals and serve them in a little shop. At the After working as a cook in beginning, it was not easy for this young woman to get herself a private home for several established: there were already several small diners in the years, Bandhana decided area. But by offering a larger selection of dishes, her gamble to launch her own small, paid off. Today, Bandhana serves 30-35 clients daily and earns independent business. 150 rupees (3€) per day; that is already three times more She began by borrowing from a microcredit organisation to than she was making in early January. She is going to hire try to sell clothes, but interest rates were too high and her someone to help her. Being able to provide another woman

ATA - I ND IA O LK ATA business was quickly suffocated by debt. Persistent, Bandhana with employment makes her happy and proud. Bandhana has

K thought to take advantage of her cooking experience. But endless ideas on how to bring in clients and she soon plans she still had no access to start-up capital for this business… to diversify her menu, slowly expanding her diner until it’s like Then Bandhana heard about Entrepreneurs du Monde and a real restaurant.

Teresa and Rosalito Macion have a General Orientation and signed up to become a partner; 5 children and live in Quezon City, the Mancions were granted a loan of Php 1,500 (24 €). Then in the suburbs of Manila. To earn Teresa started selling earings, bracelets and hair accessories. a living, Rosalito used to work in The couple was hard working and perseverant. UPLiFT a draperies shop. Unfortunately, brought them the necessary capital to expand their activities in 1986, he lost his job. With by granting them 10 successive loans. The workshop’s activity Rosalito’s experience and contacts kept on growing and Teresa also invested into new ventures. from his past work, they decided In 2004, she put up a water supply system in their community to engage in their own curtain-making business. The income using a deep well with electric pumps. In 2005, she was able generated by Rosalito’s curtain business was just sufficient for to acquire a second hand owner-type jeep which they used the basic needs of the family for about ten years. However, the for delivery. In 2006, she put up an additional accessories Mancions were facing increasing needs as the family grew… shop in the community. In 2007, she started a small sari-sari Also, they were dreaming of improving their home which at store. Also, she set up a snack stand in a street corner in that time was made in bamboo only and did not have proper their community where she employs a relative. Now, Teresa flooring. They began looking for other contacts to promote and Rosalito have 4 sewing machines, 1 permanent sewer their curtains and met an interior designer who commissioned and 4 per-contract curtain installers. They also make and them to make curtains for offices and houses from exclusive sell various non-fabric blinds (Venetian, horizontal, wooden) subdivisions. When the interior designer left, he turned-over as well as furniture upholstery. They are no longer anxious

P HN OM PE NH - CAMBO D IA his contacts to the couple. At this point, the challenge was to about schooling fees and have got their house repaired – regularly find extra capital to finance the materials needed. In a 2 storey concrete house refurbished with appliances and 2000, Teresa heard of UPLiFT from a neighbor. She attended furniture which made their living much more convenient.

My name is Selina Togodui. I’m 39 * fufu : kassav and plantain banana mush * banku : kassav and years old. I live with my husband corn mush Now I cook and sell all kinds of dishes! And I’m and our four children in the Nima sheltered from the rain! I used perpend stone to build a room district of Accra. For several years and a kitchen, and I bought tables and chairs for customers. now, I have held a food stall. At the What’s more, I equipped my cuisine with gas rather than wood: beginning, I only cooked and sold more economical, more ecologically sound, and much more fufu* and banku* underneath a few practical! Now my food stall feels more like a little restaurant boards, no walls. It was very difficult and I have 6 employees! Best of all, thanks to the development to cook in this open space during of my business, of which I am very proud, I saved 13,926,000 the rainy season. It was so hard to cedis (977 €) with the help of ID Ghana and I can now afford light the fire and keep it going ! At to send my three eldest to good schools. I recommend ID the same time, I had drawn a loyal clientele who loved my Ghana to micro-entrepreneurs in my neighbourhood every cooking and encouraged me to offer more dishes. In 2005, I day. Thanks to ID Ghana, I got the funds I needed to invest felt I was ready to develop my business... I felt able, but I didn’t in my business, set up a savings account, and benefited from

ACCRA- G H A N ACCRA- have the necessary capital! Fortunately, a neighbour of mine great training sessions: business management and how to happened to tell me about ID-Ghana (EdM’s on-site partner); attract clients, as well as training on health and hygiene. My she encouraged me to apply. I went, I defended my business only complaint: each time I made a request, the credit agent development project, and the team believed in me! I received granted me a smaller loan than that which I had requested… an initial loan of 1 million cedis (70 €) in September 2005, fol But, well, I suppose that forced me to develop my business at lowed by 6 other loans as I continued to develop my business. a more stable rhythm…