VSI Story

Venture South grew from frustrated microfinance professionals.  George Petty worked in microfinance for over 12 years and met with microfinance clients in every corner of the earth.  Microfinance has very specific lending products which usually require weekly repayments and maximum loan amounts.  Those loan terms are useful for tiny businesses with short term cash management needs, but are not helpful for businesses needing to expand or which require repayment terms catering to their business cycle.  George began to ask clients and colleagues where small businesses get their financing.  The universal response was that no one was financing these businesses despite the fact that Small and Medium Enterprises (SMEs) make up over 50% of GDP, over 90% of all businesses and 70% of all employment.  This space between microfinance and banks is called the "Missing Middle".

It was not difficult to convince Ana Sofía Franky in Colombia, Naate Masangazira in Uganda and Rico Coligado in the Philippines to join him.  Each of these people had known and worked with George for many years and they knew that financing these businesses would create jobs, grow local economies and provide important services to SMEs.  They knew the potential.  They knew the need.  They signed up.

Venture South started out in Colombia and Uganda and the Philippines joined in 2010.