Kiva U.S.
Loan Application
Tips and FAQs

In order to receive a 0%-interest, zero-fee, zero-collateral loan from Kiva, you must meet the following minimum eligibility criteria: •You must be at least 18 years of age. • You must not currently be in foreclosure, bankruptcy, or under any liens. •You must not have had a violent or financial criminal conviction in the last 5 years. • You must not be a registered sex offender. • You must reside and operate your business in the United States. • Your business cannot be registered – nor have primary operations in – the states of Nevada or North Dakota. • You must be seeking a loan for business purposes other than refinancing debt and purchasing stock or equity. • Your business must not be of a type deemed ineligible for a Kiva loan. Some examples are: federally illegal activities (e.g., gambling, hemp-related products); businesses related to tobacco, pawn-shops, weapons, multi-level marketing, direct selling, cryptocurrencies, drones, or adult entertainment; businesses providing contract work for large corporations (e.g., AirBnB, Uber, Lyft, DoorDash, etc.). • Your must be able to prove revenue (i.e., donations) in the past 12 months if your business is a nonprofit organization. • You must have a PayPal account (that’s how you will receive as well as repay your Kiva loan!) • You must be willing to demonstrate your social capital by asking a small number of your friends, family, clients, and/or business partners to make a loan to you during the Kiva Private Fundraising Period – learn more here.

* Please note that impactful loans will be given precedence during the application review process. This is in alignment with our efforts at Kiva U.S. to rethink creditworthiness and expand access to capital to underserved communities: while we do look at your financials, we prioritize your character, the impact your loan will have on your community, and how much support you have from your community.

🙌 It's inclusive. At Kiva, we believe in character over credit and the power of community-based lending. We provide crowdfunding opportunities for entrepreneurs where conventional lenders won’t. Furthermore, final loan qualification decisions will never be based on your credit score nor credit history; in fact, Kiva doesn't even have a minimum credit score requirement. Your net worth nor will your years in business affect your application. Instead, while we do look at your financials, we prioritize your character, the impact your loan will have on your community, and how much support you have from your community. This is shown by proving to us that you have a network of people who believe in you and your business and are willing to back you (vouch for you, in a way) – see social underwriting to learn more.

👍 It's inexpensive. Capital doesn't have to be costly. At Kiva, you can qualify for a no-interest, no-fee, and no-collateral loan between $1,000-$15,000.

🖥 It's free marketing for your business. When your loan is posted to the Kiva site, it becomes visible to our network of 2.1MM lenders worldwide. The exposure can get you new customers interested in your business and in buying from you or using your services! There is also the possibility that we’ll spotlight your business on our blog or social media, making your business visible to even more potential customers!

🌱 It's not just a loan. Since Kiva U.S. was founded back in 2011, we’ve learned a lot, and we've improved the way in which we support hardworking and talented small business owners and entrepreneurs like you. We offer applicants and borrowers alike many lots of resources, tips, and previous borrower experiences on a range of topics, from application to repayment and everything in between. We also connect our borrowers with free business education resources – connecting them with partners of ours who provide courses, webinars, workshops, and even 1:1 coaching on topics such as financial management, marketing, legal services, and more. Kiva borrowers can also build their business credit through Kiva, if they would like.

Read this brief blog post to learn more about how the Kiva team collects and acts on feedback from Kiva U.S. borrowers themselves.

Follow Kiva's CARE Principle, and your loan application will almost surely be approved:

C: Complete •All sections are completely filled out. • All financial #s requested are reported (or listed as $0). • All requested documents are uploaded.

A: Accurate •Your business start date, • your monthly personal and business finances, • your loan amount requested, • your background + credit history information, • … and more… are all accurate.

R: Realistic / Relevant •Your requested loan amount is truly what you need at this time. *Please keep in mind that your 1st repayment to your lenders will be due exactly 1 month after you receive your loan. •Your itemized loan spend items ($) are specific and reflect what you wrote about in your loan use description.

E: Engaging

• You’re putting your best foot forward via your…

  • personal story

  • business story

  • intended loan use

  • profile photo

The quality of your photo has a large influence on your success during Kiva crowdfunding. A great photo could mean the difference between a loan that fully funds and one that doesn't!

Your photo is vital. It is the first thing lenders will see, and many lenders will use it to decide whether or not they want to read your story and learn more about you. We’ve noticed that loan profiles with poor photos fundraise far more slowly than profiles with excellent photos.

Ensure your chosen photo meets the following criteria: ✔️ You (the owner) must be in the picture. Please do not provide a photo that just shows your shop; we will not approve photos in which you are not present. ✔️ Your photo must clearly show your business. ✔️ Your photo may not be a selfie, head shot, logo, or photoshopped image! ✔️ Your photo should ideally be horizontally oriented and clear/bright.

Additional tips: ✔️Ensure your photo has good lighting. ✔️ Smile! Show your personality. ✔️ Ensure your photo is of quality (i.e., not blurry, pixelated, out of focus).

Your loan profile is what lenders see when they click on your loan on Kiva.org – it's how they learn about you, your business, and your goals, so it's very important to have the best loan profile possible to attract attention of prospective lenders. The way you tell your story, after all, can make all the difference.

1. Your Personal Story At Kiva, we emphasize the personal nature of businesses and borrowers. For that reason, we ask for a personal story so that we (during the application review process) and lenders (during your crowdfunding campaign) can get to know you. This section should be about 2 paragraphs and demonstrate who you are as a person and why you are passionate about what you are doing. You can... ✔️ talk about your interests, what motivates you, and what has shaped you as a person. ✔️ highlight your future goals and dreams, what led you to start this business, and your entrepreneurial spirit and determination ✔️ discuss your background and your goals. Don’t be impersonal or too formal – try to add some flair, and tell us what makes both you and your business are unique! Guiding questions to help you write your personal story: 1. Where did you grow up? What was it like? 2. Is there an instance from the past that demonstrates your entrepreneurial spirit? 3. Where are you today? 4. What are your dreams for the future?

2. Your Business Story Here you'll tell lenders – in about 2 paragraphs – about your business. Be specific! Give your lenders an understanding of why you started this business and what your business does. Be personal and talk to the core of what your business represents — to you and your community.

You can... ✔️ explain what your business does, why it was founded, and who your clientele is ✔️ mention how your business is run and what your business represents ✔️ talk about day to day operations, future goals, and any awards or accomplishments your business has earned.

This section should also be personal! Don’t be too formal – let your passion and excitement show.

Guiding questions to help you write your business description: 1. What about your business are you most proud of? 2. What are the goals you have for your business in the future? 3. Who are your customers? 4. What are your biggest challenges? 5. How will the Kiva loan support the growth of your business?

3. Your Loan Use Description

Both the Kiva team (during application review) and prospective lenders (during your Kiva crowdfunding campaign) want to understand why you're applying for a Kiva loan and what you plan to do with the funds. How will the Kiva loan help you grow your business? The more specific you can be in painting this picture for us, the better.

You'll communicate loan purpose via: • a 1-2 sentence summary that will go right under your photo on your Kiva loan profile, and • a 1-2 paragraph section under the description of your business.

Make sure you... ✔️ highlight how the loan funds will be allocated. ✔️ mention how the loan will affect your business, both now and in the future. ✔️ include specifics (avoid umbrella terms such as "working capital", "equipment" --> instead, let lenders know exactly what you plan to purchase and/or invest in thanks to the help of the Kiva loan).

Verifying your business is the most important step in our application process. The easiest and fastest way we can verify your business is by comparing the information in your Kiva loan application to an official government document.

Examples of documents accepted ✔️ Incorporation documents ✔️ Government registration (federal, state, county, or city) ✔️ Permits ✔️ Doing Business As, Fictitious Business Name, or Assumed Business Name ✔️ Business tax returns* ✔️ Tax IDs/EINs

📊 *Please note that, should you check the checkbox in the application about separate business/personal finances, you will be asked to submit either a business tax return or a business bank statement.

If you are unable to provide official government documentation of your business, 3 options* exist to access a Kiva loan: 1. An approved Kiva staff member or partner verifies your business. 2. A Certified Kiva Trustee endorses your loan. 3. You submit a bill addressed to the name of your business at your stated business address.

*Please be advised that these alternative forms of business proof will result in a lower loan qualification amount ($1,000 - $3,000).

Questions about getting your business established and official? 👇 The US Small Business Administration provides resources for both new and growing businesses, including registration and licensing advice.

Unsure what documentation your business should have? Read through the Business Guide or take the “Legal Requirements for Small Business” online course.

➡️ Check the status of your Kiva loan application at any time here.

➡️ See the Kiva borrower journey from start to finish in this visual one-pager.

➡️ Kiva process statuses:

• Pending Submission: Your application is in progress and has not yet been submitted.

• CAM Review: If you are in a region where Kiva has a Capital Access Manager, this is the part of the process where that local Kiva point of contact reviews your application. If you are not working with a Capital Access manager, your application will move to Kiva Review as soon as it is being reviewed by a Kiva staff member.

• Kiva Review: Your application is undergoing further review by Kiva staff.

• Ready to Post: Review of your application is complete but Kiva is conducting a few final pieces of diligence before confirming your qualification amount. You are asked to select the date when you'd like to officially start fundraising.

• Private Fundraising: You are in the first of two crowdfunding periods, the 15-day-max. period of Private Fundraising, in which you seek support from your personal network prior to advancing to Kiva's public platform.

• Public Fundraising: This means you’re live on Kiva.org and your loan is being crowdfunded! (Max. 35 days)

• Pending Approval: You’ve successfully raised the amount of your loan and your loan is pending disbursal. Kiva conducts a few additional checks at this point in the process, including verifying your PayPal account. On average this process takes 5-7 business days.

• Approved: This means that the loan funds have been disbursed to your PayPal account.

Every week the Kiva application review team looks at 100+ loan applications, and we will prioritize applications that meet the below criteria.

Please note that, once your application is submitted, the application review team at Kiva HQ will take up to 2 weeks to review your application.

1) Profile quality - we prioritize applications that are high-quality, with clear photos, detailed loan purposes, and well-thought-out and clear personal stories and business descriptions.

2) Business validation - we prioritize applicants who can prove that their business is validated, e.g., registered.

3) Responsiveness - we give priority to applicants who are highly responsive. Often times, our application review team will reach out during the application phase and request additional information, documents, and/or other edits. Please ensure you provide a working phone # and an email address which you regularly check so that you can respond to our team in time.

We're glad you asked! Social underwriting is the process we use here at Kiva to determine whether or not to grant a loan. While banks and most other financial institutions use a data-based system purely quantitative data, e.g., credit score, cash flow, and collateral value; social underwriting is a more personal, character-based approach.

What social underwriting boils down to is this: Your creditworthiness is determined by the strength of your character and your standing in your community.

We use the following factors to assess your creditworthiness:

• Private Fundraising Period: Here you'll be asked to rally the support of between 5-40 (# depends on your loan amount) "private lenders" – these are individuals in your network (friends, family members, neighbors, colleagues, etc.) who are vouching for you by lending to your campaign. This period lasts up to 15 days.

• Public Fundraising Period: Here you'll have up to 35 days to fully fund your loan. It is an all or nothing campaign. Your efforts to connect with and bring in lenders will highlight the viability of your idea and your entrepreneurial spirit.

• Endorsements: Applicants may be endorsed by Kiva’s Trustees – organizations invested in economic development in their communities. An endorsement from a Trustee shows Kiva you fit the spirit we look for in our borrowers. This is entirely optional, however, and you will not be penalized if you do not have a Trustee endorsement.

We have found the number of lenders invited (and successfully converted) by the borrower and endorsements a borrower receives to be an incredibly powerful predictor of that individual's loan repayment rate. By focusing on these personal aspects, Kiva U.S. hopes to help people who don’t meet the criteria set by traditional financial institutions.

In this community-backed, character-based lending here at Kiva U.S., what matters is whether you’re trusted by your community.  If your community and lenders trust you and believe in your business and entrepreneurial spirit, so will we.