ANDC - Associação Nacional de Direito ao Crédito
Associação Nacional de Direito ao Crédito (ANDC) is a not-for-profit microcredit association created in 1998. It aims to give excluded persons the possibility to create their own business through obtaining a microcredit. ANDC does not grant loans directly since this is not permitted by Portuguese law. Instead, it has agreements with three different banks: Millennium bcp, CGD – Caixa Geral de Depósitos and BES – Banco Espírito Santo. These banks disburse the microloans. In addition to the arrangement with these banks, ANDC also has an agreement with IEFP, a public institute specialised in employment and professional training.
As an association, ANDC today has around 300 members who contribute to a guarantee fund on top of their obligatory contributions. Members participate voluntarily in the activities of the association in areas such as corporate bodies, credit committees, legal support, monitoring and mobilisation of microentrepreneurs’ promotion, and administrative support.
ANDC’s qualified staff is divided into two areas: management/back office and operations. ANDC also benefits from the support of volunteers who offer their expertise and experience to help the microentrepreneurs. ANDC provides a number of services to the public seeking its help, which involve the setting-up and monitoring of the business project.
During the setting up of the business, several interviews are held with the potential microentrepreneur with the purpose of building the business project and addressing the feasibility of the idea. This is followed by the preparation of the Business Plan and its presentation to the Credit Committee. Follow-up may be carried out weekly, fortnightly or monthly and lasts for as long as the loan is in force. A team of volunteer workers offers assistance in certain specific areas.
ANDC targets socially and economically excluded people who do not have access to traditional bank credit. ANDC has only one type of loan with a maximum of €10,000 and a minimum amount of €1,000. However, the first loan cannot exceed €10,000 and only after one year of activity can a second loan to a maximum of €2,500 be made available. To date, ANDC has provided more than 1,323 loans for a total of €6,884,582. These projects led to the creation of more than 1,703 new jobs. During 2009, ANDC granted 229 loans for a total of €1,388,564.
ANDC also aims to raise awareness and promote the concept of microcredit in Portugal. This is achieved through the media, through meetings and conferences and also by publishing a regular news bulletin, “Noticias do Micro Credito” (“Microcredit News”). One of the main objectives of ANDC is to create the necessary conditions to ensure that provisions are made in Portuguese legislation to regulate the status of the microentrepreneur.
During the year 2009, and within the framework of the 10th Anniversary of ANDC and of the microcredit sector in Portugal, ANDC organised several events. During the year, ANDC also began working to find new partners and to focus its efforts on certain critical areas. Moreover, it made efforts to accelerate the implementation of the microentrepreneur status. It should be noted that ANDC has received an award from Linklaters international, under the proposal of Linklaters Portugal, its pro bono partner.
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