Finca International Charity Rating and Effectiveness

Finca International is a nonprofit organization that has been providing financial services to low-income individuals and families in developing countries since 1994.

Finca International has a strong focus on financial inclusion, with a goal of reaching 10 million customers by 2025.

Finca International has a presence in 23 countries across Latin America, Africa, and Southeast Asia.

Finca International has a strong track record of financial performance, with a 2019 operating income of $23.4 million.

Finca International has a diverse range of products and services, including microloans, savings accounts, and insurance products.

Finca International has a strong commitment to social responsibility, with a focus on empowering women and promoting financial inclusion.

At FINCA International, we're dedicated to making a real difference in the lives of people around the world. We offer prospecting services for nonprofits, helping them find new opportunities to grow and thrive.

Our research opportunities are designed to provide valuable insights and information, allowing us to better understand the needs of our clients. This helps us to develop effective plans and pricing that meet their unique needs.

We also provide benchmark clients, which gives us a chance to learn from their experiences and apply those lessons to our own work. This helps us to enrich our information and make more informed decisions.

Here are some of the ways we help our clients, including:

Finca International Inc has a profound impact on the lives of low-income individuals and communities worldwide. By addressing the needs of nearly 1.7 billion adults who lack access to affordable financial products and services, it empowers them to build assets and create jobs.

The organization operates a network of community-based micro-finance institutions and banks, offering a variety of financial services tailored to the specific needs of underserved populations. This network is a crucial part of its mission.

In 2022, Finca Impact Finance (FIF) disbursed over $1 billion in loans, a significant achievement in bridging the economic divide. Regular savings among clients is also a notable milestone.

Approximately 3.5 million individuals were saving regularly through FIF, demonstrating the organization's effectiveness in enhancing access to essential financial services. FIF's clients are diverse, with 39% being women, who are empowered through targeted loans and financial services.

Finca International's reach extends to multiple countries, including the Democratic Republic of Congo, Uganda, and Pakistan, where it contributes to the overall prosperity and resilience of vulnerable populations. Its efforts have a lasting impact on the lives of low-income individuals and communities.

FINCA Canada had a significant amount of donations in F2022, totaling $1.5m. This is a substantial contribution to the charity's overall revenues.

The charity received $533k in government funding, which accounts for 26% of its total revenues. This is a notable portion of its income.

Administrative costs are a concern, making up 21% of revenues, and fundraising costs are even higher at 41% of donations. This results in total overhead spending of 62%, which is outside of a reasonable range.

FINCA Canada has a substantial reserve fund of $2.4m, which is enough to cover one year and ten months of annual program costs. This is a reassuring sign of the charity's financial stability.

FINCA Canada had a significant amount of donations in F2022, totaling $1.5m. This is a substantial sum, and it's great to see the charity receiving support from its donors.

The charity received $533k in government funding, which accounts for 26% of its total revenues. This is a notable source of income, but it's worth noting that the majority of the charity's funding comes from other sources.

Administrative costs are a concern for FINCA Canada, making up 21% of its revenues. This is higher than what's considered reasonable by some standards. Fundraising costs are also high, taking up 41% of donations.

FINCA Canada has a sizeable reserve fund, totaling $2.4m. This is a good thing, as it means the charity has a cushion to fall back on in case of unexpected expenses. In fact, the reserve fund covers about a year and ten months of annual program costs.

The charity paid external fundraisers $10k in F2022, but they only managed to raise $7k in donations. This means it costs FINCA Canada $1.48 to raise $1 using external fundraisers.

If you're interested in seeing the financial transparency of organizations similar to FINCA International, you can check out their Form 990s. These documents provide a wealth of information about an organization's finances, governance, and operations.

FINCA International's most recent Form 990, for the fiscal year ending 2023-12, was received by the IRS on 2024-11-12. You can view the PDF by clicking on the link provided.

Other organizations like FINCA International have also made their Form 990s publicly available. For example, Lutheran World Relief, a 501(c)(3) organization based in Baltimore, MD, had a revenue of $61,383,371.

Here are some key statistics from the Form 990s of organizations like FINCA International:

These organizations, along with FINCA International, are committed to transparency and accountability in their financial reporting. By reviewing their Form 990s, you can gain a better understanding of their financial health and operations.

FINCA's true intentions are shrouded in mystery, but the truth is they make money by giving loans to destitute people at exorbitant interest rates.

The organization's own data shows that their loans don't help their customers, and in many cases, worsen their financial health. Despite knowing this, the directors continue to push the same products to vulnerable populations.

FINCA has been aware of controversies surrounding microcredit practices but has done very little to address them. They seem to be more concerned with maintaining their business model than helping their customers.

It's worth noting that FINCA's CEO is old and the company has a lot of inertia, which might be contributing to their reluctance to change. This is not uncommon in old companies that have been around for a long time.

FINCA's transformation into a fully commercial operation and banking licensed status has brought new pressures that prioritize earning returns on capital over helping their customers. This is a bigger issue because it means that the organization is fundamentally changing its priorities.

When evaluating the effectiveness of a charity, it's essential to consider multiple factors to get a comprehensive picture.

We compare charities based on their financial health, transparency, and accountability.

Our analysis of Finca International reveals that it has a strong financial health score, with a 94% financial efficiency rating and a 4-star rating from Charity Navigator.

To ensure transparency, we examine a charity's governance and leadership structure.

Finca International's governance structure is highly transparent, with a clear board composition and regular meetings.

We also assess a charity's accountability to its stakeholders, including donors, beneficiaries, and the broader community.

Finca International's commitment to accountability is evident in its regular financial reporting and stakeholder engagement.