Hanke

Please note: This project has a grace period. After 12 months, you will receive your first repayment of your investment, and thereafter, you will receive a repayment every 6 months.

Davaarjargal’s shop in Ulaanbaatar is filled with the delightful scents of floral perfumes and sweet fragrances. Here, she produces and sells her naturally made soaps and bath salts. She also offers weekly workshops where other women can learn to make these products themselves.

Davaarjargal sources her raw materials from local nomads, providing them with a crucial source of income. Through her natural soaps and bath salts, she makes a significant contribution to her community. Thanks to financial support from InvesCore, she can purchase these materials at fair prices and expand her business. This not only benefits her but also helps the nomadic communities become more economically stable.

InvesCore’s business loans help small entrepreneurs like Davaarjargal achieve their goals. With these loans, she can grow her business, attract new customers, and improve the standard of living for herself and her suppliers.

What social return could your investment make?

InvesCore recognises the important role small and medium-sized enterprises (SMEs) play in Mongolia's socio-economic landscape. Representing approximately 86% of all active legal entities in Mongolia, these SMEs are fundamental to job creation, poverty reduction, and community empowerment (National Statistical Office (NSO) of Mongolia, 2019). Yet, many entrepreneurs, especially women, face considerable financial barriers.

To bridge this gap, InvesCore has introduced innovative fintech services to democratise access to funding. Their automation of the traditional loan process has not only reduced 80% of manual work and potential errors but also expanded their reach. In 2021, this led to over 1,200 SME owners, of which more than 250 were female entrepreneurs, securing business loans. By investing in InvesCore, you facilitate the disbursement of loans to 13 SMEs in Mongolia. 
 

What financial return could your investment generate? 

• Annual interest rate 8%
• Maturity of 24 months
• Grace period: This project has a grace period. After 12 months, you will receive your first repayment of your investment, and thereafter, you will receive a repayment every 6 months.
• With an investment of 1,000 euros, your expected total repayment would be 1,120 euros.

The story of InvesCore

InvesCore is the largest financial institution in Mongolia. They provide business loans to SMEs in Ulaanbaatar and agricultural businesses in rural areas. They also offer business training to support entrepreneurs.

With their own Loan Origination System (LOS), they process loan applications from over 80,000 clients, saving time. After a successful IPO in 2019, where 15% of the shares were sold, InvesCore plans an international expansion into Central Asia and Southeast Asia.

In 2021, InvesCore launched a program, supported by Rio Tinto Mongolia LLC, offering financing at lower costs to vulnerable clients, such as SMEs selling eco-friendly products, entrepreneurs with disabilities, female entrepreneurs, single-parent business owners, and companies conducting import substitution activities. The aim of this program is to improve access to financing and promote sustainable economic growth and inclusivity in the community.

InvesCore in numbers

• Founded in 2016
• Loan portfolio of 74 billion MNT (approx. 60 million USD) (end of 2021)
• 18 branches in Mongolia
• 2 subsidiaries in Kyrgyzstan
• 269 employees
• 40% of their customer portfolio are SME entrepreneurs
• More than 80,000 customers