Over 2.5 billion people--almost ½ of the world's population--live on

$2 or less per day

Between 1990 and 2000, government development assistance to developing

countries has fallen both in real terms and as a percentage of

donor country's GNP

A critical need is not being adequately met

Are hard-working entrepreneurs

Can’t get credit (small working capital loans) to run their tiny businesses profitably

Are virtual slaves to loan sharks who charge 300% to 3000% annual interest

Remain in poverty because they can’t “get ahead”

many of the world’s poor:

Microcredit loans offer an economic miracle

Millions of self-employed poor have used $50 - $150 loans to work their way out

of poverty

1970s: The birth of Microfinance Institutions (MFIs) in places like Bolivia and Bangladesh

MFIs offer small loans that are used to purchase supplies and inventory and improve infrastructure

Borrowers repay principle and interest with lower delinquency than commercial banks, typically 95+%

Proven results:Businesses grow, with profits

improving family incomeIncreased access to health careIncreased access to educationImproved housingIncreased borrower self-esteem

Stronger communities

demand for microfinance

Unmet demand is 270,000,000 clients or 90% of total

30,000,000 clients currently have access to microfinance, only 10% of total demand

Global demand is estimated at 300,000,000 clients

70%

18%

9%2%

the MFI industry has failed to develop a systematic growth model

typical MFI growth curve

the MFI industry is stalledwhy?

1. Capital 2. Capacity• Non-profits funded

by grants

• MFI is viewed as risky for a commercial loan

• Need to reach a critical mass to become profitable

• Internal Controls

• Management Procedures

• IT Infrastructure

• Organizational structure

• New product development

Unitus has invented a new way of accelerating the

growth of selected microfinance institutions

(MFIs)

Our unique approach rapidly increases the number of

people receiving microcredit loans

what we do

Unitus Acceleration Model

Phase 1 – Identifying potential partners

Phase 2 – Selecting a partner

Phase 3 – Structuring the investment

Phase 4 – Growing the MFI

Phase 5 – Exiting the investment

benefits of acceleration

For the Loan Recipients

For the MFI

• Scale

• Operational and financial self sufficiency

• Capacity

• Access to sustainable funding

• Improved standard of living

• Increasingly successful microenterprises

• Enhanced business skills

• Strengthened social networks

Extensively studied the microfinance field and analyzed it’s 20 year history of successes and failures

Determined where and how to have the greatest impact

Continues to research how to best alleviate poverty via microfinance and then implement newest findings

Unitus

Focusing on growth, we maximize the number of poor entrepreneurs accessing microfinance

Select MFIs with the greatest potential via our due diligence process.

Provide industry expertise and oversight, not just funding

Connect MFIs to commercial funding and move to the next high potential MFI

Not tied or limited to any one MFI brand or network

Provide financial transparency

Encourage donor participation

Unitus

Initial goal: $20 Million

Offered in $50,000 tax-deductible units

$10,000 at time of subscription

$10,000/year for each of the following four years

Donors are encouraged to visit our projects

Unitus social investment fund

“We are capable of moving ahead. We just need a hand to reach out and give us a boost.”

- MFI Borrower, Tezontepec Mexico July 31, 2002