Finance and Risk Assessment

Members
Denise Yepez, Mackenzee Sims, Elizabeth Stylianou, Lubna Lundy, Chenele Francis

The Finance and Risk Assessment Team is responsible for determining criteria for accepting loan applications. These criteria must be established with the understanding that subsequent classes will need to tweak and amend these criteria according to the applications they receive and the countries they are dealing with. We must determine loan fees and interest rates, maturity dates, and implement an incentive program for the accepted loans. As financial information comes in, we will report the updates to the field, to other teams, and to the Steering Committee. We will determine the risk elements associated with the Global Microloan Program, including country risk analysis, and consider these factors when determining repayment terms. Once the financial needs of the Global Microloan Program are further clarified, we will work collaboratively with the Marketing/Fund Raising Team and the Accounting/Program Audits Team.

Semester Tasks

  • Update and revise Loan Application and Loan Evaluation forms as needed
  • Establish criteria for Loan Approval (e.g., project description, substitute collateral, reputation, etc.), including criteria for follow-on loans
  • Develop measures of a project’s success and evaluate progress
  • Recommend and arrange loan repayment terms (length of loan, frequency of repayment, and attached loan “fees” acting as “interest”) and any compulsory or voluntary savings plans
  • Analyze risk of projects and country risk (candidate countries for participation) with an eye to identifying critical risk factors for assessment
  • Communicate regularly with the Field Partners and the Steering Committee on financial updates
  • Identify overall financial needs of the program, including current and future initiatives forwarded by other class Teams, and devise a financial plan for meeting those needs