ASM provides support in improving income, jobs and employment opportunities for internally displaced persons (IDPs) and war affected micro-entrepreneurs, mainly women, by increasing their access to financial and business services. Most of the loans offered are for trade purposes, but because ASM activities are focused mainly in rural areas, many clients are involved in animal husbandry businesses. The following is the detailed description of ASM's existing loan products.

Group Business Loan

Number of people in a group -

7-15 persons

Loan Size -

150 AZN (equivalent $190)
240 AZN (equivalent $300)
330 AZN (equivalent $415)
420 AZN (equivalent $525)

Term -

4-12 months

Payment Dates -

Monthly

Interest Rate -

3.5% (per month) flat balance

Late payment penalty -

1 day x 0.5% x principal in arrears > 10 day (only calculate 10 day)

Client Selection Criteria -

Existing business in one of operating areas, woman, IDP

   

Group Livestock Loan

Number of people in a group -

7-15 persons

Loan Size -

150 AZN (equivalent $190)
240 AZN (equivalent $300)
330 AZN (equivalent $415)
420 AZN (equivalent $525)

Term -

6-12 months

Payment Dates -

Monthly

Interest Rate -

3.5% (per month) flat balance

Grace Period -
2 months
Late payment penalty -

1 day x 0.5% x principal in arrears > 10 day (only calculate 10 day)

Client Selection Criteria -

Existing business in one of operating areas, woman, IDP

   

Group Graduated Loan

Number of people in a group -

5-15 persons

Loan Size -

500 AZN (equivalent $625)
600 AZN (equivalent $750)
700 AZN (equivalent $875)
800 AZN (equivalent $1000)

Term -

6-12 months

Payment Dates -

Monthly

Interest Rate -

4 % (per month), declining balance

Grace Period -
2 months (optional)
Late payment penalty -

1 day x 0.5% x principal in arrears > 10 day (only calculate 10 day)

Client Selection Criteria -

Existing business in one of operating areas, woman, IDP. Groups should successfully complete all cycles of business or livestock loans and must have good credit history.

 

Individual Business Loan

Loan Size -

From 300 AZN up to 2000 AZN (equivalent $375 - $2500)

Term -

6-18 months

Payment Dates -

Monthly 

Interest Rate -

4 % (per month), declining balance

Collateral -
Jewelry, home assets, cars, business equipment
Late payment penalty -

1 day x 1% x principal in arrears > 10 day (only calculate 10 day)

Client Selection Criteria -

Existing business in one of operating areas, woman, IDP. Based on Loan Officer's business assessment

   

Individual Consumer Loan

Loan Size -

From 300 AZN up to 1000 AZN (equivalent $375 - $1250)

Term -

6-18 months

Payment Dates -

Monthly

Interest Rate -

4 % (per month), declining balance

Collateral -
Guarantor
Late payment penalty -

1 day x 1% x principal in arrears > 10 day (only calculate 10 day)

Client Selection Criteria -

Existing official job in one of operating areas, woman, IDP. Based on Loan Officer's business assessment and official salary.

 
© 2007 Azeri Star Microfinance LLC