Watermelons, melons, cassava, and corn might not seem like much, but for Lorena, they were the key ingredients for a long-held entrepreneurial dream.
After 17 years in San José, Costa Rica, Lorena has built a steady business selling fruits and vegetables in the calm, quiet neighborhood of Arajuelita, just outside the city limits.
“I’ve always tried to be an entrepreneurial woman,” she says. “I’m almost always doing this, looking for ideas to start and to help the household.”
Lorena quickly realized that her business could really grow, if she only had the ability to purchase a few new items. She knew that by expanding her product selection, she could reach new customers, while helping her current customers with their needs.
With the help of a USD$1,025 loan from 36 Kiva lenders, Lorena was able to grow her business and earn more income from her sales. Thanks to this growth, she is now able to pay for her children’s university expenses and even start a small savings — things that at one time felt out of reach both for her and for her family.
Adjusting to a new country as a child
In the early 1990s, Nicaraguans were struggling in the wake of fighting a revolution for twelve years — at the time, Nicaragua was one of the most economically unstable countries in the world. According to World Bank, “half of the population was living in poverty and one-fifth in extreme poverty.” Many families like Lorena’s were looking for a better way of life. In 1996, Lorena’s mother and brother emigrated to Costa Rica, while Lorena and her two siblings stayed in Nicaragua with her grandparents. Then in 1998, Lorena’s mother sent for her, her brother, and her cousin, who made a long, arduous trip — partially on foot, led by a stranger who knew the way — to Costa Rica. Lorena was only 10 years old.
“At first it was a little bit of a rough experience, because I came as a child and I didn’t expect there to be discrimination.”
Today, Lorena is proud to live in Costa Rica, but as a displaced child, things were different. She was bullied for her accent at school, which surprised her. “At first it was a little bit of a rough experience, because I came as a child and I didn’t expect there to be discrimination. When I got here, I was always saying to my mother, ‘Send me to Nicaragua, I want to return to Nicaragua,’” she says. “The hardest part at that time was to leave my grandparents, because I was very, very attached, truthfully, to them.”
Even though she had to leave her grandparents behind, Lorena always kept them close to her heart.
“My grandmother inspired me a lot."
“She has passed, but she always gave me the inspiration to be an entrepreneurial woman. She made her living selling, and I still remember that before she died, she said, ‘Of all of my granddaughters, the only one who has my qualities is Lorena.’ So that was something that marked me, and it’s something that drives me.”
Following in her grandmother’s footsteps
Once she became a mother herself, Lorena wanted to contribute to her household. She started off selling fruit and vegetables a few days a week, but she quickly recognized the demand for other products. She wanted to expand her inventory to include cheese and eggs, but also more products beyond just food. She knew this was the best way to grow her business, but she lacked the capital required to offer such things. When a family member — her cousin’s grandmother — told her about the loan that was available through Kiva Lending Partner MiCrédito, she was determined to apply.
“I said to myself, ‘This will be my tool so that I can grow, so that I will be able to expand.’”
And expand she did. With the Kiva loan, Lorena purchased perfumes and small home appliances that she now offers as well. Whatever her customers need to order, she has a lot more flexibility to provide. She can even allow her customers to pay a little at a time, if they need.
In many ways, Lorena’s community has benefited from her business’s growth — she has even been able to bring on a friend to work with her. This is an incredible achievement on its own — although Kiva borrowers typically hire more paid employees than the global benchmark (15% as compared to 10%), the majority of borrowers (68%) report having no paid employees, and only 2 out of 10 women entrepreneurs report having a paid employee at all. Lorena’s work shows what’s possible when women-owned businesses, even small ones, get the financial and non-financial support they need.
Lorena’s success has really boosted her confidence in herself, as it should. This kind of success is typical of people who use Kiva — 95% of Kiva borrowers see increased business confidence as a direct result of their loan.
“My confidence has changed, because sometimes we, as women…, feel that we can’t contribute anything to the home. So this has allowed me to feel that yes, that I also can be a contributor to the home, and above all, to help my husband, so that the two of us together get ahead and we can have a better quality of life.”
Building a future for her family, sale by sale
For Lorena, the most important thing is that her children have the opportunities they deserve. Thanks to her hard work, and the money she’s able to pull in from her new product lines, Lorena can help pay for her children’s university expenses.
“These loans have allowed me to work, to help my children. Now, through this work, through this growth, I am always able to give my children what they need.”
She’s not alone — 9 out of 10 Kiva borrowers report that their quality of life had improved. In Lorena’s case, she was better able to cover household expenses, spend more on her children’s education, and invest more in her business.
Beyond all of this, Lorena has even been able to set aside a small amount of savings for herself and her family, just like 73% of Kiva borrowers. Having savings can help borrowers like Lorena be more resilient in the face of unexpected expenses, but these savings can also help them dream bigger, both personally and professionally.
“I have a plan for the future: to travel with my children and husband to another country,” Lorena says. “And also that my business will grow. I have always visualized a business, to be able to have customers, a shop where the customers come. Also, my mother and I are starting a business selling nactamales [an indigenous Nicaraguan food similar to tamal] and buñuelos [sweet fried dough fritters].” For Lorena, being able to buy melons and corn has led to a better life — one where her children have the ability to go to school, one where she can save for a full and fulfilling future, and one where her business is booming.
1 in every 70 people worldwide are currently displaced, like Lorena. Explore Kiva’s work for refugees & people impacted by forced displacement.
