Become a Guarantor

Are you a high net worth individual, foundation, nonprofit, or corporation determined to amplify your philanthropic impact?

Join MCE’s family of Guarantors who, simply by putting their good financial standing to work, are generating economic opportunities for millions of people living in poverty across the developing world.

Overview Documents

Guarantor Benefits

  • You leave your money where it is profitably invested and accumulate the earnings (as opposed to making a donation); you are not required to segregate, move, or otherwise relinquish any of your assets.
  • You join an elite group of inspiring, accomplished global citizens representing more than $135 million in guarantees who are committed to business-minded, market-driven solutions to poverty.
  • You receive insider updates on MCE’s portfolio and progress and gain access to Guarantor-only events, co-investing opportunities, and site visits with MCE’s partner organizations in the developing world.


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How MCE’s Loan Guarantees Work

  • To qualify as an MCE Guarantor, you must be either an Accredited Investor or a Tax Exempt Entity.
  • Guarantors sign a Philanthropic Guarantee Agreement (PGA) pledging to make a tax-deductible (for tax payers) contribution to MCE in the future if a Microfinance Institution (MFI) or Small and Growing Business (SGB) to which MCE has lent money fails to repay its loan. View a sample PGA.
  • With each minimum guarantee unit of $1 million (for the MFI pool) or $500,000 (for the SGB pool), MCE borrows half of the guaranteed amount from preeminent lenders like the U.S. Overseas Private Investment Corporation and New Resource Bank. MCE never borrows more than 50% of the total value of its guarantees.
  • MCE’s professional portfolio team then scours the developing world to identify creditworthy MFIs and SGBs that generate social impact in their communities.
  • After completing a rigorous due diligence process, MCE makes loans to select MFIs and SGBs with its guaranteed pool of capital. Every loan is approved by MCE’s Loan Committee, which is entirely composed of Guarantors.
  • The historic repayment rate of MCE’s MFI borrowers since 2006 is an impressive 98%. On the very small chance that an MFI or SGB cannot pay all or a portion of its loan obligation, MCE’s Board of Directors (100% of whom are Guarantors) formally declares the loan in default.
  • Under the PGA, Guarantors share the loss of a default on a pro rata basis and make a tax-deductible payment to MCE calculated as the amount of the default divided by the number of guarantee units. For information about our portfolio default history, please contact us at
  • As of June 2019, more than 110 Guarantors are in MCE’s guarantee pool, representing $135 million of guaranteed capital (many Guarantors sign up for more than one guarantee unit).View list of MCE’s current MFI Guarantors.
  • For its SGB Fund, MCE has established a loan loss reserve (LLR) of $1M that will cap first-dollar exposure for Guarantors at $10,000 per loan guarantee per calendar year. MCE may, with its board’s approval, substantially replenish the LLR one time should it be exhausted at a future date.
  • Any Guarantor may exit the program with 18 months advance written notice, which is required so that MCE can secure a replacement Guarantor or make adjustments in the MFI and SGB lending portfolios.

Impact Reports


MCE’s guarantor model enables me to use my assets to help some of the poorest people in the world – while retaining and managing my portfolio. I am fortunate to be a part of this unique group of individuals, whose generosity reaches so many people with such impact.

– Gregory S. Ledford, Guarantor since 2007, Managing Director, The Carlyle Group, Washington, D.C.


Interested in Becoming a Guarantor?

For more information about becoming an MFI or SGB Guarantor, please contact:

Catherine Covington
Managing Director and Chief Business Development Officer
San Francisco, California | (404) 372-8747

MCE in Action

From January 19-24, 2015, nineteen of MCE’s Guarantors, staff, and friends traveled to Ecuador to see MCE’s innovative approach to impact investing in action. Watch the video here!

Contact Us

Interested and want to learn more about MCE? Fill out the contact form below and we’ll get right back to you!