Today’s investment world is turned upside down with tidal waves of shocking news about banks going bankrupt and housing markets collapsing everywhere. Many investors and speculators say that the worst is yet to come!

So how do you trust or find a good investment? Where can your money be safe from future distressed markets? One answer is to invest in micro business lending.

What is micro business lending? It is a practice of lending relatively small amounts to businesses in countries like the Philippines where many small businesses are a way of life. Take for example the story of Lori Lynn. She has been working as a hair dresser and her boss lay’s her off to make room for another hairdresser that needs a job. This is often the case in the Philippines many businesses have a 6 month quota so a larger number of people have opportunity to work (Not enough jobs for everyone so that is the solution to unemployment in the country.) So Lori Lynn wants to open her own salon but on her salary she could not save enough to get started. To get a loan in her country she would have to have assets far greater than she can afford plus interest rates are sky high 20% 30% some even up to 100% of the loan. She knows she can make her business work and get it stated for about 25,000 peso ($500.00US)

This is where micro lending comes in. Mark lives in the United States and makes about $500.00 per week so he takes one week’s paycheck to invest in Lori Lynn’s business. Given the fact that normal lending rates are so high she is more than happy to pay back the loan over a given period of time plus 10% interest. Lori Lynn does very in her business and after the loan is paid she has agreed to give her lender a small share of her profit over the coming years. When she comes to a point she realizes she can make even more money by expanding her business and opening another location her lender / partner will be more than happy to again lend her the money for expansion because he knows there will be more profits down the road. For lack of a better term the whole concept is kind of like a very simplified stock except there are no day traders skillfully buying and selling to pull profit out.

At the same time the whole arrangement is creating jobs helping families and providing quality service to the customers. There are many good and productive people in these areas that can really succeed if given the opportunity.

If you think this might be something you would like more information on please visit the website for Pier Insite www.pier-insite.com where you will find out about the non-profit corporation that is connecting investors to business entrapenures in the Philippines.

Tags: Money,remittance,charity,donations,Investments,stocks

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