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MFRFP Platforms are purchased through our own version of micro finance which we call a Micro Bond. A Micro Bond is a tiny version of a Bond offering, the typical way an American City or State will raise funds for infrastructure development. Our Micro Bond is taken out collateral free but guaranteed by the MFRFP equipment. The financial risk will be guaranteed by the word of the entire community borrowing the money, just like a micro finance loan, but backed by the value of Carbon Credits sold on the carbon markets. Carbon Credits Each gallon of petroleum derived diesel fuel emits 22 lbs of carbon dioxide. MFRFP Platforms produce renewable diesel which displaces petroleum derived diesel fuel and enable the Platforms to become eligible for carbon credits. The carbon markets help the economics of deploying the MFRFP Platform to a community or rural entrepreneur with little to no official credit rating, an example of the potential carbon accounting for a MFRFP Platform is shown below:
Vendor Financing Shariah-law prohibits rewarding depositors with interest so a micro bond is not suitable for these types of users of the Multi Functional Rural Fuel Platform (MFRFP). In these situations, we will offer a payment plan so that instead of borrowing money to buy the MFRFP equipment where there is interest involved, the users can take advantage of our Vendor financing program. Our users can buy our MFRFP, paying off the equipment over time at a payment schedule determined by the sustainability of the economics of fuel sales made from their MFRFP.
Micro Finance and Micro Enterprise Links
Accion Micro Finance
Organization -
http://accion.org |
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