Traditional microfinance institutions often face limitations in reaching a wider pool of capital and streamlining their loan origination process. Peer-to-peer (P2P) lending, a model that directly connects individual lenders with individual borrowers through an online platform, is democratizing capital and revolutionizing how microcredit is delivered. This innovative approach bypasses traditional financial intermediaries, significantly reducing operational costs and allowing for a more efficient and transparent flow of funds. It empowers individuals around the world to support small businesses and entrepreneurs, turning a small donation or investment into a direct force for poverty reduction and economic empowerment.

This course is designed to provide a comprehensive and practical understanding of how P2P lending models are designed, implemented, and scaled for microfinance. You will explore the technical and operational complexities of running a successful platform, from managing a global community of lenders to using technology for risk assessment and fraud prevention. By the end of this program, you will be equipped to harness the power of the crowd to mobilize capital, create new lending opportunities, and build a more inclusive and connected financial ecosystem.

Duration: 5 days

Target Audience:

• Microfinance institution (MFI) managers and executives
• FinTech startup founders and entrepreneurs
• Professionals in charge of digital transformation
• Product managers and platform designers
• Risk management and credit analysts
• Social impact investors
• Development and humanitarian aid professionals
• Professionals in crowdfunding and venture capital
• Regulatory and policy advisors

Objectives:

• Master the core concepts and business models of peer-to-peer lending.
• Understand the technological architecture of a P2P lending platform.
• Grasp the complexities of managing a two-sided marketplace.
• Develop a strategy for matching lenders and borrowers effectively.
• Learn to manage and mitigate risks inherent in P2P lending.
• Understand the key regulatory challenges and compliance requirements.
• Design a compelling user experience for both borrowers and lenders.
• Explore strategies for building a global community and attracting capital.
• Analyze the social and financial impact of P2P microfinance.
• Learn from successful and failed case studies in the sector.

Module 1: P2P Lending Fundamentals

• What is P2P lending and how does it work
• The historical context and evolution of the model
• The difference between P2P lending and crowdfunding
• The business case for a P2P microfinance platform
• Key players and examples in the global landscape

Module 2: Platform Technology and Architecture

• The essential components of a P2P lending platform
• The role of core banking systems and payment gateways
• Using APIs to integrate with external services
• Designing for scalability and security
• An overview of blockchain applications in P2P lending

Module 3: The P2P Microfinance Model

• The mechanics of loan origination and disbursement
• How to manage and service loans on the platform
• The importance of a clear and transparent fee structure
• Business models for profitability and sustainability
• Case studies of different operational models

Module 4: Underwriting and Risk Management

• The challenges of credit scoring in a P2P context
• Using alternative data and social profiling for risk assessment
• The role of peer reviews and social collateral
• Strategies for managing fraud and identity theft
• Developing a robust risk management framework

Module 5: Borrower and Lender Management

• Attracting and retaining a diverse pool of lenders
• Building trust and transparency with the lender community
• The process of onboarding and verifying borrowers
• Using gamification and social features to engage users
• Designing a compelling user experience for both parties

Module 6: Capital Mobilization and Funding

• Strategies for attracting capital from individual lenders
• The role of institutional and impact investors
• Using storytelling and social impact to appeal to lenders
• Managing a lending portfolio for different risk appetites
• The importance of a clear and transparent reporting mechanism

Module 7: The Social Dimension of P2P

• The social mission behind P2P microfinance
• Measuring social impact and outcomes
• The role of lender-borrower connection
• The potential for empowering women and rural entrepreneurs
• The dual return on investment (financial and social)

Module 8: The Regulatory Landscape

• Navigating the diverse regulatory environment for P2P lending
• The difference between securities and consumer lending regulations
• Obtaining licenses and operating legally
• The role of self-regulation and industry standards
• Advocacy for a supportive regulatory framework

Module 9: Operations and Customer Support

• The importance of a strong customer support team
• Managing borrower and lender inquiries
• The role of technology in automating support
• Building a strong reputation and brand
• The challenges of operating across multiple jurisdictions

Module 10: The Future of P2P Lending

• The convergence of P2P, blockchain, and AI
• The role of digital currencies in P2P lending
• Future trends and emerging models
• The long-term impact on financial inclusion
• The potential of P2P to disrupt traditional finance

Training Approach

This course will be delivered by our skilled trainers who have vast knowledge and experience as expert professionals in the fields. The course is taught in English and through a mix of theory, practical activities, group discussion and case studies. Course manuals and additional training materials will be provided to the participants upon completion of the training.

Tailor-Made Course

This course can also be tailor-made to meet organization requirement. For further inquiries, please contact us on: Email: info@skillsforafrica.org, training@skillsforafrica.org Tel: +254 702 249 449

Training Venue

The training will be held at our Skills for Africa Training Institute Training Centre. We also offer training for a group at requested location all over the world. The course fee covers the course tuition, training materials, two break refreshments, and buffet lunch.

Visa application, travel expenses, airport transfers, dinners, accommodation, insurance, and other personal expenses are catered by the participant

Certification

Participants will be issued with Skills for Africa Training Institute certificate upon completion of this course.

Airport Pickup and Accommodation

Airport pickup and accommodation is arranged upon request. For booking contact our Training Coordinator through Email: info@skillsforafrica.org, training@skillsforafrica.org Tel: +254 702 249 449

Terms of Payment: Unless otherwise agreed between the two parties’ payment of the course fee should be done 7 working days before commencement of the training.