This report highlights the characteristics of owners of small and medium-sized enterprises (SMEs) whose businesses have overcome significant hurdles and grown from their micro size.
The conclusions are drawn from qualitative research to identify and analyze clients of MFIs whose borrowing had increased significantly over time from the portfolios of three leading microfinance institutions in Latin America – MiBanco (Peru), Banco Solidario (Ecuador), and Banco ADOPEM (the Dominican Republic). As part of the research, we conducted 55 in-depth client interviews and consulted with institution staff, to identify a select group of “growth entrepreneurs” (GEs) who operate higher growth businesses, have overcome significant growth hurdles, and express a clear vision for future business growth. The report argues that this category of emerging SMEs holds great potential for future growth and job creation.
The report also provides recommendations for financial institutions (including microfinance institutions [MFIs]), FinTech companies, governments, and other financial ecosystem actors to support growth and greater financial inclusion for emerging SMEs and growth entrepreneurs.
