Center Formation and Loan Application Form
Outreach is important in achieving the dual mission of a microfinance institution, social mission and financial sustainability. Forming centers are crucial for microfinance institutions (MFIs) practicing group methodology. In addition, loan application form is crucial to assess the character of a potential microfinance client. The training on center formation and loan application form teaches microfinance managers and staff on the importance of proper client selection in the provision of microfinance products and services. The course aims to show how proper administration of client selection procedures affects different aspects of an organization’s performance. In this course, a brief introduction on the fundamentals and methodologies of microfinance will be presented to provide the participants with a background on microfinance clients and the impact of microfinance in their lives. The different lending approaches will also be discussed, with emphasis on character and capacity-based lending. Participants will be given tips on area selection, center formation and client selection, particularly through analysis of the loan application form. The training also provides a venue for microfinance practitioners to share their experiences on opening new areas and selecting new clients.