the irresistible fleet of bicycles

an alternative route to farm financing

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photo credit – Don Graham

Recently a friend of mine ran a pretty successful crowdfunding campaign to help secure a startup loan for her and her partners farm. I had heard of Kiva before (socially focused micro loans) but this was the first time I actually checked the organization out.

Crowd-sourcing has it’s detractors. For a while there it seemed like kickstarter was set to be the worlds largest purveyors of ‘knick-knacks with a purpose’. But given barriers to finance, they actually can be useful tools. It takes town and a community to grow food and it makes sense to have communities and people directly invested in the success of farms and businesses in their regions.

Kiva has a fairly simple concept and for folks that want to go around traditional forms of debt, ie banks, this could be another option. The part of this organization that makes the most sense is that there is 0% interest. Even though I am not a financial specialist, I can state pretty unequivocally that’s a pretty good percent rate for interest! It’s also a unique way to get community buy in for your farm without having to secure 1000 individual small contributions (and the paperwork and legalities that would entail).

Other social, agriculture, and community related crowd financing platforms exist as well. The slow money movement’s Beetcoin is a good example.

So, if you have been looking into different financing to help get things off the ground take a second to look into this organizations and some of the other successful small farms that have used the tool for funding their projects.

you can check Kiva’s site here

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