Loan Process
In order to access their first micro loan of up to $2000, entrepreneurs must work towards certain achievements and agree to work within a Lending Circle model. The process to become eligible for the first loan consists of three steps.
- Individuals must complete the six-week Business Training component of Stepping Stones, resulting in a professional business plan.
- The completed business plan is then reviewed by GEODE's Micro Loan Committee, which consists of a combination of GEODE board members and members of the Sudbury business community. This committee will recommend that the loan either be approved, declined, or approved pending revision to the business plan.
- The recommendation of the Micro Loan Committee is then given to GEODE's Board of Directors for final approval.
Once the first micro loan is approved, the entrepreneur will agree to be part of a Peer Lending Circle, likely consisting of members of his/her Business Training cohort. Micro loan recipients are eligible for two other loans ($2000 for the second loan and $3000 for the third) once all members of his/her Circle have paid back their loans.
For the second and third loans, the Peer Lending Circle takes the place of the Micro Loan Committee in recommending further loans to the Board of Directors.