Lifepoint’s current focus:

There is a growing movement changing the way the world tackles poverty, using business as a powerful tool. We are passionate about this inspiring approach and want to share it with you.

There are 2 ways that this is most commonly being done.

1. Microfinance

Where people living in poverty are provided with small loans (hence the term microfinance) that help them start a business, earn an income and provide for their families.  These are not simply hand outs, but loans which equip people to take opportunities which transform their lives.  Once these loans are repaid the money is lent out again to new clients for new ventures or to existing clients to expand their businesses. 

2. Social enterprise & Patient capital

A social enterprise is one that applies market-based strategies to achieve social goals.

Rather than maximizing shareholder value, the primary aim of social enterprises is to further their social goals,  either directly through their operations, product or service or by generating profit to support a social aim, such as funding the programming of a non-profit organization.

Patient capital is understood as a debt or equity investment in an early-stage social enterprise. These enterprises then tackle poverty by providing low-income consumers with affordable, life-changing products and services, as well as creating jobs that contribute directly to economic growth.

With payback or exit in roughly five to seven years, the patient capital is usually accompanied by a wide range of management support services nurturing the company to grow and scale up. The aim of investing patient capital is not to seek high returns, but rather to jump-start the creation of enterprises that improve the ability of the poor to live with dignity.

By getting a LifePoint home loan you are helping to fund organisations that provide loans and business services that address poverty. It’s a loan for a loan, one that makes a real difference.