With more people pursuing employment in alternate paths like
working from their kitchen or jumping aboard t
he sharing economy train, it seems only fitting that the topic of
how one can fund or find capital for their small businesses would come into play--besides Kickstarter, of course. For Latinas, one means has been tandas, or a lending circle. In this system, several women get together and put money into a pot; at the end of the month, one person gets say, $2,000. The system continues until everyone has had a chance to have the pot. It's especially unique because it is a no interest system of lending between friends, a far more accessible means of getting money that traditional bank loans. For Latinas, the system is especially successful. While many Americans are very individualistic, latino cultures put more of an emphasis on the collective, and the peer pressure to stick to your end of a bargain and work together has helped many small business women get their start, or invest or pay off medical and other larger expenses. It's a system that gives participants more economic freedom, and the pressure of a social group to save and spend wisely. A non profit,
Mission Asset Fund, also uses the tanda system, paying out those with good credit. In a age of hyper local and small businesses, it is likely we'll see more close knit groups fund each others projects, and dreams.
NPR, April 2014
