VILLAGE GROCERY SHOP MICROLOAN PROJECT- GROUP ONE (Four beneficiaries)
Rural Women Development Trust (RWDT) Salem, Tamil Nadu,India
On Feb 21, 2010 - Four village grocery shops were started in four different villages in Salem dt,Tamil Nadu.
Each grocery shop is located in different village hamlets in various blocks (Mettur, Sankagiri, Edapadi, Omalur), Salem dt.
Home based shop sells rice, dhal, soaps, shampoos, note books,school supplies and other basic essentials.Serves about 100-150 families living in the colony.
Microloan for one shop=Rs.10,000
Total funds given to RWDT =Rs.40,000
Beneficiaries (shop owners) chosen by Mrs. Alamelu Bannan , Managing Trustee of RWDT:
1. Mrs.Kavitha w/o Kalaiarasan,Pasakuttai arunthathiyar colony,Nangavalli P.O,Mettur Tk,Salem Dt.
2. Mrs. Saraswathi @ Laksmi w/o Kuppan,Rasi maniyanur colony,Edanganasalai P.O,Salem Dt.
3. Mrs.Saratha w/o Palanivel,Venmani nagar, Panikanur P.O,Jalagandapuram via,Salem dt
4.Mrs. Kala w/o Rajenthiran,Kuttapatty Arunthathiyar colony,Mettur Tk,Salem dt.
Microloan amount per lady: Rs.10,000
Microloan Term: 10 months
Repayment: Rs.1000 per month
Monthly income from village grocery shop= About Rs.3000
Microloan Repayment by RWDT:
Every month, four women will repay Rs.1000 to Rural Women Development Trust(RWDT)
Mrs. Alamelu Bannan of RWDT will collect Rs.4000( Rs1000 x 4)
She will send DD/Check of Rs.4000 to AIMS India ,Chennai, on 25 th of every month for next 10 months.
Start date of Repayment: March 25, 2010
End Date of Repayment: December 25,2010
Microloan Revolving Funds by AIMS India
When the four women and RWDT repay regularly , AIMS India will reuse the money endlessly for giving more microloans for women in waiting.
Rural Women Development Trust, Salem, TamilNadu,India thanks AIMS India Foundation for funding thier microloan projects for starting small businesses.
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PROJECT UPDATE for this Grocery Shop Project as on December 2010:
MICROLOAN PROJECT- RWDT- Village Grocery Shop
SUCCESSFUL REPAYMENT of MICROLOAN amount of Rs.40,000(rs.10,000 x 4)
In Feb 2010, AIMS India Foundation gave interest free microloan of Rs.10,000 to each of the four women for starting village grocery shop( convenience store)
Monthly repayment= rs.1000 x 4 ladies
Start date of repayment= March 25,2010
End date of repayment= Dec 25,2010
The beneficiary ladies honestly repaid the loan every month.
With December 2010 , they have successfully completed their repayments and have closed the loan
ABOUT THE GROCERY SHOP:
In their shops, the ladies sold rice, all dhal varieties, salt, tamarind, oil,curry and spice powders, locally grown fruits and vegetable, tolieteries( paste, soap, powder, shampoo,) childrens school stationary- paper, notebook, pen,pencil ,erasers etc. Whenever the grocery stock went low, the shop owners will replenish stocks with help of husband and brothers, who would help them with purchase of rice and dhal etc from whole sale shops in Salem town or Omalur. They would buy fresh fruits and vegetables from local farmers market. Items were sold for 10% profit
The sales in each shop was good,because that store was the only store within 5 miles. There was no competition. All the 75- 100 families living in the colony purchased their basic things from this store. Before this store was opened , they had to walk 1-2 miles to the main village area to purchase anything. Now it was within 5 minutes reach. Thus it benefitted all the families living in that colony
HOW IT BENEFITED THE FOUR LADIES:
With this home based business each woman was able to earn an income staying at home, and do the household chores and also take care of their small children. Each women earned rs.3000- 4000 per month. With money they earned, they saved some money to enlarge their business, by buying more steel racks, bottles and containers. They also had extra cash to buy other necessities in life-such as good clothing, and childrens stationary . Some ladies did minor repair of their homes. They felt self sufficient. Having their own business has financially empowered them. This has not only economically empowered the four beneficiary ladies, but has benefited the entire community. The Dalit ladies of RWDT who have always worked as coolies and laborers have for the first time in many generations become shop owners running their own business. According to Mrs. Alamelu, Manging Trustee of RWDT, these ladies were the first generation of Dalit women who have become micro- entrepreneurs.
ROLE OF RURAL WOMEN DEVELOPMENT TRUST(RWDT):
Mrs. Alamelu , Managing Trustee of RWDT chose the beneficiaries based on their entrepreneurial skills. She trained them in accounting and book keeping. To set up the store, she took them to the whole sale shops to buy grocery items She arranged periodic meetings for all the shop owners so that they could share lessons learnt from each others experiences. RWDT also visited shops and checked if the ladies ran the businesses well. RWDT would collect the repayments from the four ladies every month and send the DD to AIMS Chennai.The repayment was always on 25 th of every month. Repayments were prompt and without delay.
THANKS TO AIMS INDIA FOUNDATION for helping the rural ladies by giving interest free, collateral free microloan for starting home based grocery shops. This financial freedom has empowered them. .
- Reported through Aruna Sethupathy.