Methodology Presentation of FARZ Foundation.

1. 1 First Islamic Microfinance in Pakistan

2. FARZ METHODOLOGY 2

3. Vision “To bring social change through poverty alleviation by improving productivity and capacity of clients and staff” 3 First Islamic Microfinance in Pakistan

4. Mission Empowering the poor through innovative products and diverse business opportunities, by integrating social performance focused microfinance with collaborative community health and education partnerships. 4

5. Farz Methodology 5 First Islamic Microfinance in Pakistan FF support to client’s for Enhance its Business income Needs & Wants of one Family Average life of family 40 year Star t Female (Avg 20 year old) Profitable Business Child Future Protection OtherSource of Income Health Asset Building Family Male (Avg 20 year old) FF create habit in Client’s Life that they build asset through “FARZ COMMITTEE” FF Save health Expanses of their Clients through “Health Care Services” FF Aware to clients that they focus on their children Education through “Children Education Awareness program” FF facilitate to their Clients for creating other source of income through “Mudarbaha”

6. An Integrated Approach 6 First Islamic Microfinance in Pakistan

7. TARGET MARKET 7 First Islamic Microfinance in Pakistan

8. Product Packages for Each Market Lower 8 First Islamic Microfinance in Pakistan

9. Murabaha First Islamic Microfinance in Pakistan 9

10. MurabahaTarget for One Social Center (Branch) First Islamic Microfinance in Pakistan 10 Year 1st

11. Clients Graduation Strategy 11

13. To allocate the Potential working areas for social center

14. Product need assessment.

15. Potential businesses.

16. Cash flow of different businesses.

17. Size of micro trade.12 First Islamic Microfinance in Pakistan

19. Collection of CVs as per given date.

21. Conduct 1st interview13 First Islamic Microfinance in Pakistan

23. Farz Methodology

24. Basic Selection criteria of FARZ FOUNDATION

25. Area survey

26. Effective Mobilization skills

27. Clients appraisal training

28. Cluster formation steps

29. Conduct of community meetings

30. Customer relationship management

31. Social performance management

32. Delinquency management

33. Monitoring14

35. Basic Selection criteria of FARZ FOUNDATION

36. Area survey

37. Effective Mobilization skills

38. Clients appraisal training

39. Cluster formation steps

40. Conduct of community meetings

41. Customer relationship management

42. Social performance management

43. Monitoring

44. Islamic banking & finance . Conventional microfinance

45. Farz Methodology

46. Interview and selection for one month internship

47. Selection for 11 month on a contract.

48. After 11 month, contract extension / permanent employee. 15

50. Mobilization16 First Islamic Microfinance in Pakistan

51. Kicking of Operations Branch Structure Office Boy 17 First Islamic Microfinance in Pakistan

52. Cluster structure 18 First Islamic Microfinance in Pakistan Cluster Committee

53. Delivery Process 19 First Islamic Microfinance in Pakistan

55. Identification of the potential businesses. 20 First Islamic Microfinance in Pakistan

56. 21 First Islamic Microfinance in Pakistan

58. Systems and procedures for taking our product.

59. Your and our responsibilities for managing social performance at cluster level.

60. Introduction of program.22 First Islamic Microfinance in Pakistan

62. Information Collection (Home Related)23 First Islamic Microfinance in Pakistan

63. 24 First Islamic Microfinance in Pakistan

64. 25 First Islamic Microfinance in Pakistan

65. 26 First Islamic Microfinance in Pakistan

66. 27 First Islamic Microfinance in Pakistan

68. Financial Analysis

69. Repayment Capacity

70. Business Information Collection 28 First Islamic Microfinance in Pakistan

71. 29 First Islamic Microfinance in Pakistan

72. 30 First Islamic Microfinance in Pakistan

73. 31 First Islamic Microfinance in Pakistan

74. 32 First Islamic Microfinance in Pakistan

76. 34 First Islamic Microfinance in Pakistan

77. 35 First Islamic Microfinance in Pakistan

79. To Purchasing of Asset / Stock as per demand of Client’s Business 36 First Islamic Microfinance in Pakistan

80. 37 First Islamic Microfinance in Pakistan

82. Transfer of Ownership38 First Islamic Microfinance in Pakistan

83. 39

84. 40 First Islamic Microfinance in Pakistan

85. MONITORING & EVALUATION 41 First Islamic Microfinance in Pakistan

87. Field visits of bottom to top Management.

88. Fortnightly Meetings with 100% Clients.

89. Social Performance Management.42 First Islamic Microfinance in Pakistan

90. 43 First Islamic Microfinance in Pakistan

91. 44 First Islamic Microfinance in Pakistan

92. Asset Building 45 First Islamic Microfinance in Pakistan

93. Farz Committee 46 First Islamic Microfinance in Pakistan

94. Committee Group 47 First Islamic Microfinance in Pakistan

95. First Islamic Microfinance in Pakistan 48 1st Month of Committee 1st Total Collection of Committee Pool goes to Farz Foundation Share PKR:200 In Committee Pool Farz Foundation as a Member Committee Pool and Total Collection= PKR: 2,200 Farz Foundation as Committee Manager (FF) 10 Members of Community from One Cluster Each Member Share PKR:200 In Committee Pool

96. First Islamic Microfinance in Pakistan 49 2nd Month of Committee Share PKR:200 In Committee Pool 2nd month Total Collection of Committee Pool goes to Committee Group Organizer Farz Foundation as 1 Member Committee Pool and Total Collection= PKR: 2,200 Committee Group Organizer 10 Members of Community from One Cluster PKR: 2,200 PKR: 2,200 +220 in one year Members become partner of FF Members get PKR: 2,440 after one Year or Monthly PKR:20 Each Member Share PKR:200 In Committee Pool Investment Poolof Farz Foundation (FF & Community are partner in MURABAHA Business)

97. First Islamic Microfinance in Pakistan 50 3rd to 11th Month of Committee 3rd to 11th, every month Total Collection of Committee Pool goes to Committee Members through Lucky Draw Share PKR:200 In Committee Pool Farz Foundation as 1 Member Committee Pool and Total Collection= PKR: 2,200 Committee Group Member 10 Members of Community from One Cluster PKR: 2,200 +220 in one year PKR: 2,200 Members get PKR: 2,440 after one Year or Monthly PKR:20 Members do partnership with FF Each Member Share PKR:200 In Committee Pool Investment Poolof Farz Foundation (FF & Community are partner in MURABAHA Business)

98. 51 First Islamic Microfinance in Pakistan

99. Health Care 52 First Islamic Microfinance in Pakistan

101. Health Awareness Program53 First Islamic Microfinance in Pakistan

102. 54 First Islamic Microfinance in Pakistan

103. Future Protection Program 55 First Islamic Microfinance in Pakistan

105. Entrepreneur Development Program 57 First Islamic Microfinance in Pakistan

106. Clients Capacity Building Strategy 58

107. 59 First Islamic Microfinance in Pakistan