Lending Criteria

Our decisions are based on mission alignment, the credit strength of the borrower, the community of support around the borrower, and the value of the collateral.

We will review historical financial statements and tax returns, as well as budgets, in determining the ability of the borrower to repay a loan. Among the many issues we consider:

• Mission to improve the well-being of society and environment
• Capital structure reflects commitment to social good and environmental sustainability
• Employs socially and environmentally sustainable approaches to design, sourcing, manufacturing and distributing
• Employs Fair Trade principles in work force relations
• Length of time borrower has been in operation (3 or more years in business preferred)
• Quality of management and governance
• Strength of collateral, including pledge and guarantee communities
• Payment history (interest and principal) on any existing debt
• Strength of financial statements (balance sheet and income statement), cash flow, and financial projections (revenues of $1M or greater preferred; profitability or a clear path to profitability in 12 months)