Whereas the PARO Centre for Women's Enterprise wishes to expand its peer lending services to the area serviced by ACCFutures. To this end, the two parties have established an MOU which will be on-going until such time that either partner wishes to cancel or make changes to the MOU. ACCFutures will support women from its region who might join PARO peer lending circles as listed below:

• investment funds to provide loans from $500-$5000 to PARO peer circle members
• in-kind services in support of peer circles and PARO

In -kind contributions could be such services as depositing postdated cheques for monthly loan payments, and loan tracking as for other ACCFutures clients. The rate of interest paid to all ACCFutures loans disbursed to the existing PARO peer circle borrowers is 10% and there is no penalty for pre-payment.

PARO will provide the following services:

• A grant component to qualified eligible borrowers for the first stage loan of $1,000 ($500 grant), and second stage loan of $2000 ($1000 grant), to limit of funds available. (Sponsorship and donations gratefully accepted)
• Orientation for borrowers to develop peer lending circles
• Support of peer lending circles once established
• Emergency funds developed in each peer circle to help prevent loan defaultBusiness plan/loan application screening. All relevant loan applications are to be disclosed and discussed with the Business Advisor and Executive Director and approval by trained circles members
• Approval of the peer circle loan approval process by PARO Board
• Preparation and signing of the loan agreement and borrower's warrant
• Delivery of postdated cheques to ACCFutures for the term of loan
• Follow-up support to the borrower and her business in the peer circles
• Contacting the circle, if there is a problem with a loan payment

• Minimum Credit Score of 500

Investment Fund Policy

Local promotional material and press releases, which will contain PARO and the ACCFutures logos and acknowledgement