Twoandhalfweeks in India – business opportunities for village women, part II

How microfinance helps to become a business women in India
How microfinance helps to become a business women in India

Have you seen the lady in the picture? Unfortunately, I do not remember her name, but she had worked for years in a local fabric that produces paraffin heaters. The monthly payment for her eight hrs job was quiet low. The conditions? Not really the best …
When she heard about VIMUKTHA – a legally registered womens’s federation created Nd nurtured by the NMCT (Native Medicare Charitable Trust) – she decided to change.not just her job, but her entire life in poverty. VIMUKTHA, supported by the government and foundations such as the Karl Kübel Stiftung (KKS), has developed a system hat allows women to develop their business. The women themselves need ideas and the courage to ask for support and, once their ideas are accepted by VIMUKTHA, to implement their business.

Realizing a business

On essential criteria to get approval is the existence of a sustainable business plan. The main initiative for doing so comes from the women themselves.
The financing model comprises several parts: of the entire sum needed to implement a business, 75% are sponsored by the government or the federation. The women get a micro credit for 10-15% which has to be paid back on a regular basis and a retain period. The remaining lack of money is given by the KKS. The KKS is one of the most known project supporters here in Coimbatore, Tamil Nadu and surroundings.

Aluminum tubes production
Aluminum tubes production

A business with two employees
Based on this program the lady has asked the federation for a micro credit and … was successful. With her first money gained she looked for a tent shop and started to produce small aluminum tubes, an activity she was used to as it was more or less the same activity she had exercised in the fabric before. These tubes are needed for constructing a paraffin heater. The aluminum is cut and then rolled into the right tube size format.
She produces ca. 1000 tubes a day and sells them to the fabric where she has worked before.
In the meanwhile, she could employee two women. Her business is going well. The request for tubes is still growing …

Forming aluminum tubes
Forming aluminum tubes

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