Microloans are small loans, typically ranging from $100 to $5,000, that are given to low-income individuals or small businesses who may not have access to traditional financing. Microloans can be used for a variety of purposes, such as starting a business, expanding a business, or covering unexpected expenses. Microloans are often provided by nonprofit organizations or community development financial institutions (CDFIs).
Microloans can be a valuable resource for low-income individuals and small businesses. They can provide access to capital that would not otherwise be available, and they can help people to start and grow businesses, create jobs, and improve their financial well-being. Microloans have been shown to have a positive impact on economic development, and they can help to reduce poverty and inequality.
