Peru Opportunity Fund finances organisations that create or improve sustainable livelihoods for smallholder farmers in Peru.
We provide loans to financial cooperatives, social agribusinesses and agricultural cooperatives, who significantly lend to or work with smallholder farmers.
We select the organisations we lend to based on their leadership, their operational and financial track record, and their social impact. We look at the significance of their rural presence and the sustainability and scalability of their work with smallholder farmers.
Financial institutions increasingly seek our capital to on-lend to farmers. These loans are tailored to increase farmer productivity and/or reduce the cost of production. Examples of farmer purchases made with these agricultural loans and leases include:
- genetically improved milking cattle.
- equipment used to efficiently thresh quinoa and milking equipment.
“Social” enterprises increasingly establish win-wins with the smallholder farmer. Businesses that we fund with medium term loans are typically using our loans to purchase productive assets such as processing equipment. The businesses are eager to provide services to the farmers in their supply chain. Mobile phone payments to their farmers, innoculations for their cattle, and making quality inputs more accessible assure increased loyalty from the farmer and reduce the risk to the supply of essential raw materials.
Agricultural Cooperatives seek funding to build or improve their processing capabilities. There is a new breed of professional cooperative in Peru run by skilled management. Similar to the social enterprise, these cooperatives are increasingly establishing reliable services (such as productivity training or loans for seeds and plants) in order to aggregate the crop at harvest time.
At this present time, We are not accepting unsolicited proposals.