|
This project will use money from La Red ("The Network"), which will charge a 6% interest. The cap amount will be 14,000 AR$, with possibility of opening a second line if necessary.
The check cashing has been working very well for Püporé, enabling them to participate in "el mercado vendiendo a plazo", which is an option that they previously could not offer. This will facilitate trade agreements with clients, especially big clients who pay with third party checks. This is the case with their main buyer, to whom they devote a majority of their time; in the past, their relationship has allowed the cooperate to | hire more workers and improve earnings.
In addition, the cashing of checks has enabled them to buy their own production inputs and pay for cooperative salaries and other services. On top of not having to go to loan sharks, they can also avoid going through Credicoop bank, which imposes a very tight limit on check advances. They propose 20,000 AR$ per moth according to the anticipated needs of the cooperative members, or about 5,000 AR$ per week in cash. The previous test trails turned out well, and the cooperative understand the reasons why La Base makes this check cashing mechanism available to them. |
Snapshot
