Professional Documents
Culture Documents
HIGHLIGHTS
SONATA Finance Private Ltd (SONATA) is a
reaching out to more than 40,000 women members by the end of 2007.
AREA
In the month of August 2007, it acquired the portfolio of
Identify and motivate poor women in a costeffective way and deliver them micro finance services in an honest, timely and efficient manner. VISION
that contains an opportunity to develop the minimal socio-economic conditions needed to live a life of dignity.
APPROACH
approach and few other best practices with some minor adjustments to suit local conditions.
women members and designates them as the ultimate guarantor of each of its members.
group is eligible to receive another loan. providing financial services.
CUSTOMIZED PRODUCTS
SONATA has designed loans with small repayments that
corresponds to wage structures, consumption and income generating activities to prevent emergency distress sales. The first loan granted is always relatively small and is used to inculcate credit discipline and collective responsibility.
FOCUS ON WOMEN
SONATA works exclusively with women because they are
the most marginalized among the poor and because they tend to invest the majority of their income into the household and for their children.
OUR WORK
WHAT WE DO SONATA provided loans to individual as well as group members in poor regions of India for a range of incomegenerating activities. Sonata also offers emergency loans, money transfers and gold loans to its members. SONATA serves thousands of poor people across villages and urban slums in India. By providing the poor this range of economic tools, they are looking forward to eradicate poverty.
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INCOME GENERATING LOANS THE EMERGENCY LOANS INDIVIDUAL LOANS MONEY TRANSFER GOLD LOANS
for a loan of a maximum Rs.8,000 ( the minimum amount is Rs. 2000). During each cycle thereafter , the client has the option of applying for up to 120% of the previous loan amount.
at "centre meetings" held in the local communities. Prepayment of principal is possible but only if the client settle the entire balance of the principal outstanding.
The Centres are the heart of SONATA operations as
this is where all transactions take place: loan application, initial approval (from group members), and collection of the deposits slips.
could put the continuity or effectiveness of the income generating activity at risk.
To be able to access an emergency loan, the client
weeks with weekly payments and the maximum loan amount is Rs.2,000.
PROGRAMS
INSURANCE Presently, SONATA is working with three insurance companies - LIC, ICICI Prudential and Birla Sun Life in delivering the life insurance products to its clients. HEALTH CAMPS SONATA has tied up with some health care providers in delivering health care services to our clients.
PROPOSED STRUCTURE
INSURANCE FOR EDUCATION
Provide interest free education loans to poor children and scholarships to deserving students and Help Eradicate poverty through education.
EDUCATION INSURANCE
MODEL
It is a combination microfinance plus education
model.
In this model, women who receive loans are
encouraged to send their children to a partner education NGO- BHARTI FOUNDATION for "free" or at a subsidised rate.(depending on the need)
The partner institutions decide how the finances are
EDUCATION INSURANCE
As SONATA serves poor women across North India,
education. They spend around Rs. 5000/- per child annually, on fees, books and uniforms mainly by taking loans from moneylenders or by other means.
FOUNDATION will provide its customers an Education Loan plus schooling in SATYA BHARTI SCHOOLS.
giving the poor the freedom
70% of the education loans will be disbursed for girls. Smaller family size will be provided with better facilities. Aim to encourage family planning for young couples.
IDENTIFICATION STAGE
The two main areas to be analysed at this stage are the
potential customers and the existing financial services (formal and informal) the target group has access to.
number of men and women with children) could be held raising the issues related to financing as well as the education system.
accessing and using credit and identifying the existing sources of finance and how adapted these are to their needs.
FORMULATION STAGE
LOAN USE AND ELIGIBILITY CRITERIA
INTEREST RATE
LOAN SIZE LOAN DURATION
SAVINGS
FORCED SAVINGS
IMPLEMENTATION STAGE
GROUP FORMATION
OUTREACH
ATTITUDE OF FINANCE OFFICER CUSTOMER LITERACY LEVEL
LENDING METHODS
ADVERTISING FINANCIAL PRODUCTS
EVALUATION STAGE
STUDENTS PERFORMANCE MOTIVATION FOR HIGHER STUDIES
ENCOURAGE DONORS