Last month, we discussed the wide impact of microloans. They not only bless each loan recipient but also their extended families. Furthermore, as their businesses grow, these business owners often employ additional persons—with the result that several families are financially supported as a result of the original loan.
This month I want to tell you about Juan Carlos. My husband and I have been doing business at his electric shop, Manna Electrical Supplies, for years. But until now, I had not realized that he had been a Society loan recipient.
When he was a young man, Juan was employed by an electrical company in Siguatepeque, working in their shop and also doing outside electrical work for them. Juan is a quick learner, and he learned a lot about the electrical business under them. However, the company eventually shut down. Being a natural entrepreneur, Juan decided to open his own electrical business. He had little capital, so his shop did not offer many products. Juan struggled, but he was able to keep his doors open.
Blessedly, Juan is not only a good businessman, but he is also a very committed Christian. He serves as the youth pastor in his church, teaches Sunday School, and helps with church administration. He has a good testimony from all who know him. God blesses those who put His kingdom first.
Two years into his business, Juan spoke about a microloan with Alfredo Lainez, whom he knew from church and who is a director for the Society of the Good Shepherd. Because of his outstanding reputation, Juan received an interest-free microloan in 2012, and he used it to wisely expand his inventory and to purchase some additional tools he needed to work as an electrician. Unfortunately, we don’t have a photo of Juan’s original inventory and shop, but the photo at the top shows his shop in 2012, right after his first microloan.
Now that he had sufficient inventory, Juan decided to develop a business model by which he sells his electrical supplies at a deep discount. Since electrical contractors often need large quantities of material, this has served his business well. He has the best prices in Siguatepeque, so most contractors and many individuals go to his electrical store. He makes less per item than other stores, but he makes up for it by selling large quantities.
An amazing part of Manna Electrical Supplies is its organization. There are hundreds of thousands of tiny parts including circuits, plugs, light bulbs, alarm systems, electrical boxes of all shapes and sizes and wiring—all packed inside a very small space. Everything is labeled and stacked on the walls and is easily accessible. At least 6 employees move around behind the U-shaped counters at all times. It is no small feat that they are smoothly able to do all the stocking, price quoting, customer service, and inventory processing, all working together at the same time. Juan manages the main store inventory, oversees the business, and still does outside electrical projects for various customers.
The original loan was for only $1000. Yet, as a result of that small loan, Juan is not only able to support his own family, but his business helps support ten other families as well. The impact of a single microloan is often amazing!
In 2019, Juan received a second loan from the Society, with which he launched another shop that focuses mostly on lighting fixtures. He had seen the increasing demand for lighting fixtures, but he simply didn’t have the space in his store to display them properly. So he rented a second location across the street, as well as an adjoining warehouse, where he stores his extra inventory.
During the pandemic his shop was only closed for two weeks before the demand for building projects enabled him to open up his doors again. He was able to keep sales stable during the pandemic, and he praises God for that steady income and the jobs he was able to provide during those tough economic times. Now the economic recession, coupled with a huge rise in costs of building materials, has created a new challenge. However, Juan’s reputation for integrity and for having the best prices has helped him during these times.
These months of November and December are typically the best months for sales as many people want to finish their house projects before Christmas, and lighting is an important part of the season.
As we head into the end of this year, Juan Carlos reflects on God’s immense grace to him, his family, and his business. He knows that he has personally worked hard, but that God has been the One to carry him and his projects to this point. It’s incredible to see how far a microloan can take a well-administered business when combined with the grace of God.
The Society of the Good Shepherd, P. O. Box 122, Amberson, PA 17210 • (717) 349-7033
Click on the following link if you would care to make a donation to the work in Honduras: Honduras Donations