Babyloan and Lendahand: Joining Forces for an Even Greater Impact

In June 2022, Babyloan, the French solidarity lending platform, joined the ranks of Lendahand. At first glance, the concept may seem different, but the mission and the means used to achieve it are ultimately identical. In this article, we will highlight the common points between Babyloan and Lendahand and explain why you should consider adopting the Lendahand platform to continue supporting high-impact projects that matter to you.

Since its launch, Babyloan has been a trusted solidarity lending platform, allowing a committed community of thousands of people to create a positive impact by supporting social entrepreneurship projects in emerging countries. Today, as you already know, Babyloan has joined the ranks of Lendahand, an internationally renowned impact investment platform. At first glance, the concept may seem different, but the mission and the means used to achieve it are ultimately identical. In this article, we will highlight the common points between Babyloan and Lendahand and explain why you should consider adopting the Lendahand platform to continue supporting high-impact projects that matter to you.

A Shared Vision
Babyloan had the same goal as Lendahand: to fight poverty in emerging countries through financial inclusion by funding local micro-entrepreneurs via European crowdfunding. This stimulates local economies that create jobs and generates better living conditions for entire communities.

The Desired Impact
Like Babyloan, Lendahand offers projects in clean and sustainable energy, education, agriculture, access to basic needs, or bridging gender inequalities. The same UN sustainable development goals are thus targeted. Lendahand places great importance on transparency and impact measurement. You will find detailed information for each project to help you make informed decisions. Additionally, the platform measures each project's social and environmental impact, allowing you to see concretely how your investment contributes to changing lives.

Our teams regularly visit our partners on the ground and the project beneficiaries. We invite you to read their inspiring testimonials in our blog articles dedicated to their "beautiful stories."

Want to know more? Check out our impact page to discover the stories of the entrepreneurs you can support.

The Means Used
In addition to direct projects, Lendahand, like Babyloan, relies on local microfinance institutions (MFIs) to allocate and manage micro-loans on the ground. The only significant difference is that on Babyloan, you could support individuals and their detailed projects; on Lendahand, you do the same but on a larger scale by reaching groups of individuals. These are managed by the MFIs that we evaluate based on their ethics and impact.

So yes, you may think that Lendahand is more impersonal since you no longer support a micro-entrepreneur with their project of €3000, but rather a group of entrepreneurs whose names and detailed projects you do not know. But did you know that supporting each entrepreneur's project requires more resources and time, resulting in additional costs for the entrepreneur? An entrepreneur funded on Babyloan could obtain a loan with a final interest rate of 15-20% (which is still more advantageous than the interest rates available in their countries). However, the same entrepreneur funded on Lendahand in a group project will benefit from a significantly reduced interest rate despite the interest paid to lenders!

At first glance, Lendahand may seem more impersonal and less impactful than Babyloan, but in the end, it is less costly and much more effective in terms of impact.


Why Do We Ask for Your IBAN?
On Babyloan, you can open an account and start lending money in record time without providing your bank account details. However, to withdraw your money, you must provide your IBAN and an identification document. On Lendahand, we ask for this information during registration, and once you have done so, you can withdraw your money as you wish.

In recent years, European legislation around crowdfunding has become significantly stricter, particularly in combating fraud and money laundering. We are aware of this administrative burden, but we are also very vigilant about the security of our site and its users.

Solidarity Finance
The acquisition of Babyloan by Lendahand represents an essential step in our shared mission to promote economic and social development in emerging countries. Remunerated lending is a tool of solidarity finance just like the solidarity loan offered on Babyloan.org. For us, both tools are complementary. They allow us to reach a wider audience of philanthropists, investors, associations, and socially responsible companies.

By adopting the Lendahand platform, you will continue to support impact projects while benefiting from a broader range of projects. Join us on Lendahand to amplify our collective impact and make a concrete difference in the world.

Want more information about solidarity loans or how Lendahand works? Write to us at [email protected], and we will gladly assist you. Happy crowdfunding!