Action Finance Initiative

_microfinance in Greece_

www.afi.org.gr

Provides access to funding up to 10,000 euros to new and existing businesses and free-of-charge business support and

training

Who we areNon-governmental, not-for-profit organization: founded by

ActionAid Hellas and ADIE, the largest microfinance institution in France

1st and only microfinance institution in Greece to combat financial and social exclusion, to fight unemployment and to

create new jobs

Supported and funded by the Greek Diaspora and

Banking partners through which the loans are disbursed as per the Banking Law. Guarantee is provided jointly by AFI and EIF.

Greek Reality 20152010-2015: dramatic increase of unemployment from 12.7% to 24%

57.7% of unemployed are 25-44 years old

7,4ppts higher unemployment for women

99.8% of all businesses are SMEs

92.4% are micro enterprises

55.2% of employees in private sector are employed by very small enterprises, when in the rest of Europe this percentage is 29.1%

Value added in economy of micro: 33.1%

Organization Goals

To introduce microfinance in Greece, in order to combat financial andsocial exclusion and help unemployed people create their own jobs,

To deliver training, business advice and other Business DevelopmentServices (BDS) to micro-entrepreneurs and unemployed, who want tocreate their own jobs,

To restore, in a society adversely affected by the ongoing crisis, the basicvalues of a social market economy, which are: work, exchange, profit, trustand solidarity,

To improve legal and institutional environment of self-employment, smallbusiness creation and microcredit, as ways to financial and socialinclusion.

What we do

TrainInformAFI

approvesBank

approvesDisburse

LoanMentor

BudgetingCash flowSavings managementProfitabilityTaxationAccounting

Company registrationLegal entities trainingIP rightsLicensing

Business Development Services

Market AnalysisBusiness CanvasBusiness planMarket researchAdvertisingPromotionMarketingUX/UIBlogging

567 people informed

238 people trained

146 loan appraisals

52 AFI Evaluation Committee

47 approved

30 disbursed

Productivity – 1st year of operationsH

EALT

HY

Rat

io 1

:4

VER

Y H

EALT

HY

Rat

io 1

:5

6

Based on disbursed loans

Of the disbursed projects:40% female – 60% male

Working Capital139,660 €

Investments99,440 €

30

COMPANIES

54JOBS CREATED

12 + 42PREVIOUSLY

UNEMPLOYED

(directly & indirectly)

Disbursed239,100 €

Based on all approved loans

Of the approved projects:43% female – 57% male

Working Capital184,730 €

Investments140,920 €

40

COMPANIES

81JOBS CREATED

19 + 62PREVIOUSLY

UNEMPLOYED

(directly & indirectly)

Total credit325,650 €

Average profile of approved loan

Age37.2 years old

Loan amount8,150 €

Loan duration41.7 months

Grace period2,5 months

Industries

35% of projects have exporting activity

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Business support services providedGet Started Sessions

Business Model Canvas module

Business Planning Basics module

Business Planning Advanced module

Online Marketing & Social Media

UX/UI module

Exports

Licensing

Mentoring

“Our cooperation was perfect from the first

moment.. The process was a great experience

until completion. The AFI team worked with a lot

of faith and efficiency for my project.”

Costas - Solebike

“We developed the platform thanks to the support of AFI. It was a perfect collaboration, as

the team of AFI was always eager to help.” Dimitris –Workbench

“The situation with the banks is really bad.

Without AFI, I would not have started. They

helped me get access to microcredit and they

supported me all the way with the business plan.”

Tina – Thyme & Olive

“ From planning to implementation, the AFI team provided us with the valuable support and

guidance for our next steps.” George- Quantum IT Solutions

Clients say about us…

Clients say about us…

“When vision meets opportunity, then right

organization will lead to implementation. The

AFI team creates chances, even under adverse

conditions. By focusing on the target and

providing the right guidance they manage to

implement visions like mine.”

George – Bicycle Doctor

“The situation with the systemic banks is really bad. AFI gave me a substantial breath. otherwise

I would have faced serious problems with the viability of my company’.’

George – Waypoints

“A life dream came true, thanks to AFI. It is truly beautiful and scarce in our times to have

someone who will go out of their way to help and support you.”

Mary – Mykonos Bites

“My experience from our cooperation up to now

is excellent and very productive, as their

contribution in the area of business development

was catalytic. This is a cooperation I would like

to develop even further.”

Dimitris – Agrifarm

Risk Management

0 % Bad DebtDespite the capital controls and the banking freeze during summer !

Selected by the European Investment BankAs a recognition for the quality of the launch of the organization and the services provided, AFI has been awarded sponsored technical assistance, training and best practices sharing for one year delivered by the European Microfinance Network, Microfinance Center and Frankfurt Business School.

GreekRecipients

24

Total EURecipients

+ 1

Start-upRecipients

New partnership with UK charity• AFI was selected as the preferred partner to perform

the selection process and disbursement

• Bundle grants and microloans for the first time

• Partnership is currently finalized

• Goal is to launch Q1 2016

• Target: 100 loans/grants combined

• The charity is responsible for fund-raising the grants portion

Solidarity: 25 CxO level volunteers and AFI clients

• Pharma Idea Dietary Supplements/L&R Health & Beauty / Country Manager

• Avon / CFO

• 9AM.gr / CEO

• Ammon ovis / Business Development Director

• Speedex / CFO

• Leto / Clothing Category Manager

• Franchisee at Haagen –Dazs / Business Set up and Financial Consultant

• SEV / Project manager and Business coaching

• Philip Morris / Senior Commercial Finance Executive

• Enterprise Greece / Export consultant

• e-Travel / Product Development Expert UI/UX

• Insite / Advisory Board

• Eurobank / Executive Director – pensioner

• ... and many more

Year 2 targets In

form 400 Trai

n

150 Fun

d

100

Fixe

db

ran

ches

Fixed branch

Amount New hire(s) # of branches

250.000 € - 1

What Target

Loans disbursed 100

Jobs created 115

New financial products 2-3

Qualitative profile 50% of unemployed50% of women40% of young (<35) among clients25% of agri-entrepreneurs

People Informed 400

People trained (unique) 150

Default rate < 10%

Long term growth pillars…beyond pilot project…

Separation of credit structure and BDS

Creation of a Credit company

Expansion all over Greece until 2018

4 fixed branches

3 mobile branches

16 MDOs, 3+2 branch managers

Mobile branch