Loans help Montenegro family earn income from tourism
Tourists from across Montenegro and other countries flock to the ‘Budvanska rivijera’ coastal area around Budva, a 2,500-year-old settlement and one of the oldest on the Adriatic sea coast. Sandy beaches, diverse nightlife and beautiful examples of Mediterranean architecture are helping the region to compete for precious tourist dollars as the industry is impacted by the global economic crisis.
Here the hard-working Kapisoda family has struggled and sacrificed to earn a living from a small auto-body repair shop and by renting out three of its bedrooms to tourists during the short mid-June to mid-September tourist season.
...the recent growth in their family business encouraged Olgica and Radovan to pursue their wish of having a fourth child During that time the five family members, including parents Olgica and Radovan together with daughters Andjela (6), Jovana (11) and son Milan (9) would cram into the dining room for meals and to sleep at night.
Income generated from this period would supplement the modest earnings from the auto-body repair shop, and would need to see the family throughout the rest of the year.
But thanks to a small amount of savings, the support of family and friends and two loans from AgroInvest, World Vision’s microfinance institution in Serbia and in Montenegro, the Kapisodas have been able to renovate an old inherited property to offer 10 rooms to tourists. Their visitors now have space and privacy and so does the family, which is expecting a fourth child.
In fact, the recent growth in their family business encouraged Olgica and Radovan to pursue their wish of having a fourth child, who they plan to name Matija; a traditional Montenegrin male name.
“We had lots of help from our friends and family. The micro-credit came just in time. With all that in one place, we decided to go for another child, knowing that now we can provide decent living for all our children,” says Olgica (33) who is in the ninth month of pregnancy.
The 8,000 Euros provided within the last two years by AgroInvest enabled the Kapisoda family to rebuild the sanitation system in all ten rooms and refurbish each of the rooms. While the facade of the house is yet to be completed, all ten rooms are ready to be rented out at a discounted price of 7 -8 Euros per person, per night. Once the facade is complete, the rooms will be rented out for 10 Euros per person, per night.
More room for tourists also means more room for each family member, which is welcomed news for the Kapisoda children.
“I am happy because now I have my own room where I can play and do my homework,” says nine-year-old Milan.
I am happy because now I have my own room where I can play and do my homework The new business will enable the Kapisodas to generate more income throughout the summer season to provide better care for their children throughout the whole year.
Besides improving the sanitation system, Olgica and Radovan will be able to use the extra earnings to pay for school supplies such as books, which will encourage their children’s love of learning and generally improve their education.
Elsewhere across Budva, around 95% of AgroInvest clients are using their loans to improve accommodation and service capacities.
Many, like the Kapisodas, have the entrepreneurial drive to start a business, but often need some financial help and direction to see it take flight.
AgroInvest has operated in Montenegro over the past ten years. The country has extremely valuable potential for sustainable tourism development and aims to become one of the most significant high quality tourist destinations in the Mediterranean and Europe.
Here the hard-working Kapisoda family has struggled and sacrificed to earn a living from a small auto-body repair shop and by renting out three of its bedrooms to tourists during the short mid-June to mid-September tourist season.
...the recent growth in their family business encouraged Olgica and Radovan to pursue their wish of having a fourth child During that time the five family members, including parents Olgica and Radovan together with daughters Andjela (6), Jovana (11) and son Milan (9) would cram into the dining room for meals and to sleep at night.
Income generated from this period would supplement the modest earnings from the auto-body repair shop, and would need to see the family throughout the rest of the year.
But thanks to a small amount of savings, the support of family and friends and two loans from AgroInvest, World Vision’s microfinance institution in Serbia and in Montenegro, the Kapisodas have been able to renovate an old inherited property to offer 10 rooms to tourists. Their visitors now have space and privacy and so does the family, which is expecting a fourth child.
In fact, the recent growth in their family business encouraged Olgica and Radovan to pursue their wish of having a fourth child, who they plan to name Matija; a traditional Montenegrin male name.
“We had lots of help from our friends and family. The micro-credit came just in time. With all that in one place, we decided to go for another child, knowing that now we can provide decent living for all our children,” says Olgica (33) who is in the ninth month of pregnancy.
The 8,000 Euros provided within the last two years by AgroInvest enabled the Kapisoda family to rebuild the sanitation system in all ten rooms and refurbish each of the rooms. While the facade of the house is yet to be completed, all ten rooms are ready to be rented out at a discounted price of 7 -8 Euros per person, per night. Once the facade is complete, the rooms will be rented out for 10 Euros per person, per night.
More room for tourists also means more room for each family member, which is welcomed news for the Kapisoda children.
“I am happy because now I have my own room where I can play and do my homework,” says nine-year-old Milan.
I am happy because now I have my own room where I can play and do my homework The new business will enable the Kapisodas to generate more income throughout the summer season to provide better care for their children throughout the whole year.
Besides improving the sanitation system, Olgica and Radovan will be able to use the extra earnings to pay for school supplies such as books, which will encourage their children’s love of learning and generally improve their education.
Elsewhere across Budva, around 95% of AgroInvest clients are using their loans to improve accommodation and service capacities.
Many, like the Kapisodas, have the entrepreneurial drive to start a business, but often need some financial help and direction to see it take flight.
AgroInvest has operated in Montenegro over the past ten years. The country has extremely valuable potential for sustainable tourism development and aims to become one of the most significant high quality tourist destinations in the Mediterranean and Europe.
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