Micro equity products for MFIs – Join the EaSI Technical Assistance Webinar series

The European Union is offering this webinar to microfinance institutions (MFI) interested in exploring what can be done to support micro and small (MSEs) transition into a post pandemic world.  

Join us on Wednesdays : 5th, 12th and 19th May at 14:00 CET

This series of webinars will discuss the importance of developing alternatives to debt financing instruments. The current crisis has shown the shortcomings of debt financing, especially for microenterprises that have well founded investment plans. The series will focus on designing the tailored quasi-equity and micro-equity products for MFIs, fundraising process, investment process, risk management and exit strategies. 

 During COVID financial institutions including MFIs become more conservative to better manager portfolio quality.  

  • How to evaluate MSEs with unstable cash flow during COVID?  
  • What loan to offer and what repayment schedule to assign to a new loan in COVID?  
  • What financial products are needed to bridge via COVID and start earlier in postpandemic? 
  • Loans with monthly loans payments definitely not a solution for all MSEs. How can private equity and venture capital be adjusted to the needs of micro and small entrepreneurs? 
  • What MFI can learn from private equity and venture capital?   
  • How can convertible loans be adjusted to the MSEs needs? 
  • How can micro – equity investment in MSEs help job creation?  
  • What business model is best for your strategy? 
  • How to structure an impact microequity fund?  
  • How to apply micro-equity in microfinance institutions?   

If you would like to find out answers to above questions and be inspired about economic development tools and job creation again, as you were at the beginning of microfinance join the microequity webinar 3 sessions:  

Session 1:
Micro-Equity as a form of financing for Micro and Small Businesses for job creation and supportive finance solution during COVID and other crises. 
( 2 hours long)   
 

 Majority of MFIs have the mission to create jobs, however after close monitoring they observe that microloan is a good safety tool but not a booster of jobs. Microfinance should not be expected to have significant impact on job creation and unemployment reduction.  Some studies show that one microenterprise creates on average 1.1 jobs, that is one in ten hires an employee beyond the self-employed founder. 

 During the first session, you will find out the differences between private debt and private equity as well as different equity type instruments than can finance MSEs which will create jobs and develop sustainable communities. 

 We will define micro-equityimpact micro-equity and will present convertible loanrevenue participation loan characteristics  

 Date: Wednesday, May 2021 at 14:00 (CET) 

 Language: English 

Register here

Session 2:
Micro-Equity Models and Investment Process (selection, value creation and exiting) (2 hours long) 

 During first part of the session participants will find out 

  • different organizational models to provide equity (like classical equity funds, crowdfunding and platforms, angel investors and accelerators).  
  • application to microfinance 

A list with cases for each equity business model will be presented.  

 During second part of the session, investment process will be discussed, starting with selection of MSMEs, risk management and finalizing with exit. A special focus will be on how micro-equity can create value for MSMEs and for communities 

 Date: Wednesday, 12 May 2021 at 14:00 (CET) 

 Language: English 

Register here

Session 3:
Investment readiness and ideal management team for micro equity.
 ( 2 hours long) 

 As MSEs your new micro-equity venture needs to get funding too.  How to get investment ready. Ideal management team, paperworkand efficient communication will create success in your new micro equity venture.  

 During 3rd session participants will find out practical insights on ideal management team, fundraising strategy and efficient fundraising process for micro-equity. Investment teaser with MSEs profiles and with key financial highlights including an anchor investor details or first loss investor details will help to raise funds and start your micro-equity fund    

 Key terminology for investment term sheet will be explained in simple words. 

 Date: Wednesday, 19 May 2021 at 14:00 (CET) 

 Language: English 

Register here

Our experts: 

 

Artur Munteanu, is an entrepreneur, finance executive and enterprise development consultant with more than 20 years of experience in the financial and MSMEs-development sectors. Currently an independent consultant, Artur has developed his expertise through his role as a CEO and Board Member of Microinvest, a leading non-bank financial institution in Moldova. He is also a Board Member and Advisor in several important companies from the agro-food, finance and ICT sectors. Artur holds an MBA from University of Hull, the UK 

 

 

Piotr Koryński is a microfinance and economic development specialist with significant field experience working in more than 20 countries. For over 10 years, Mr. Koryński led the efforts of Soros Economic Development Fund, a social investment vehicle of the Open Society Institute, to develop microfinance globally. He helped to initiate and operate 10 microfinance institutions as well industry infrastructure projects such as MIX and Microfinance Management Institute. He was also involved in microfinance policy programs to create appropriate legal and regulatory framework for access to financial services for low-income people in specific countries of Eastern Europe. Mr. Koryński is a graduate of the Ohio State University and the Kellogg School of Management. 

The webinar is targeted at MCP top managers, shareholders, board members but as well investors representatives.

Attendance for all webinars in the series is free of charge. The session targets primarily microfinance institutions (MFIs), including greenfield MFIs, banks, NGOs, regulators or other institutions and individuals working in the microfinance sector in Europe. European microfinance providers, either selected as EaSI Technical Assistance beneficiaries or interested to apply for the program can contact easi.ta@fs.de to receive more information about this event, as well as to request the participation in or organization of similar events.