What is Unitus?
Unitus is a global microfinance accelerator that acts as a social venture capital investor for the microfinance industry. Unitus identifies the highest-potential microfinance institutions (MFIs) in developing countries and helps accelerate their growth through capital investments and capacity-building consulting, thus empowering them to help exponentially more poor people worldwide. In doing so, Unitus aims to demonstrate that MFIs can be run as profitable, large-scale, poverty-focused businesses with links to local capital markets. As of December 2005, Unitus had seven MFI partners worldwide serving more than 540,000 poor clients. Based in Redmond, Wash., USA, and with an office in Bangalore, India, Unitus relies on innovative financial instruments, and the financial resources of like-minded individuals and foundations, to fulfill its mission. Unitus received the 2006 Fast Company / Monitor Group Social Capitalist Award for taking an innovative, entrepreneurial, business-minded approach to alleviating global poverty. For more information about Unitus, please visit: www.unitus.com
What is microcredit and microfinance?
Microfinance is the practice of extending small, or microcredit, loans to the poor for income-generating activities, often coupled with other financial services such as savings and insurance. Despite the growth of microfinance over the last 30 years, less than 20 percent of those who could benefit from it have access to it, which is why Unitus focuses on dramatically increasing the availability of microfinance.
Can poverty really be alleviated?
Although poverty may never be eradicated, it can definitely be alleviated. Microfinance isn’t a panacea, but it is a powerful tool in the fight against poverty.
Why is Unitus at a Private Equity conference?
We're here because the Unitus message, and our acceleration model, is one that particular resonates with investors and entrepreneurs. These are people who want to make a big impact not only in their business endeavours, but in their social endeavours as well. Through Unitus, they can do that. Because we employ a social venture capital model, where we work to identify the highest-potential microfinance institutions and then invest to help them scale, we provide massive leverage to our funders.
What is the panel you will be on?
I will be on Thursday's Entrepreneur panel. When they asked me to participate on this panel, I pushed back a bit, since many people expect 'founders' to comprise this sort of panel (for instance, you would be a prime invitee!). However, the organizers were interested in my background working at Amazon.com as an early employee, and now at a small/start-up nonprofit that is working to effect massive industry change.
