Across Israel, small business owners have faced challenges stemming from the October 7, 2023, attacks and ensuing war: halted operations, economic hits, safety concerns, and more, whether due to their location in impacted areas in Israel, business owners being called up for IDF reserve duty, or a decrease in business due to the tolls of war on the country.
Enter SparkIL. A peer-to-peer lending platform launched by The Jewish Agency and Ogen in 2022, SparkIL facilitates interest-free loans for Israeli businesses by connecting Israeli borrowers with social micro-lenders around the world.
“We see ourselves not only as a financial platform but as a bridge between global Jewish communities and Israeli entrepreneurs,” explained Naama Ore, SparkIL’s CEO.
For Shiri, who runs a tourism business in the Golan Heights with her husband, renting out cabins to visitors in need of a restful retreat, October 7 majorly affected their ability to make a living. And when her husband was called up for reserve duty as a combat soldier, fighting in both Gaza and Lebanon, Shiri was left alone with their five kids, exhausted and worried, and with a business to try to keep afloat.
“When the fighting reached the north, there was a drastic drop in business. But even during the war, when all the B&Bs were shut down, we still made sure to welcome soldiers returning from Lebanon, whether for a hot shower or a good deal so they could recharge and head back with strength,” she shared. “The Jewish value of mutual responsibility is one I identify with strongly, and in times of crisis – and we’ve had quite a few – when it really counts, everyone shows up. Every small business here is someone’s big dream that they are building in the State of Israel. Thank you to SparkIL for the loan for my business, for supporting my dream.”
Aharon, another small business owner who runs a vineyard, has also benefited from support through SparkIL.
“Deciding to grow grapes in the Negev desert, everyone said it was impossible. Taking the land, working it with my own hands, planting vines….I turned the desert into a paradise and built something that will remain long after I’m gone,” reflected Aharon. “Every small business in Israel, especially in these times, is a story of courage. When you support us, you become part of the miracle, and I’m grateful to SparkIL supporters for believing in me.”
Beyond the loans, SparkIL also pairs business owners with business mentors through Ogen, so they receive advice and resources alongside the monetary support, further helping ensure they find success in building or rebuilding their businesses and can pay back the loan within the five-year repayment period.
For lenders worldwide, SparkIL provides a way to give directly to a small business of their choosing, supporting Israel’s economy in a real, measurable way.
“Supporting Israeli businesses through SparkIL is how I give back, nourishing dreams and strengthening lives in Israel,” stated David, a lender from Chicago, Illinois.
“If I can help Israeli business owners and their families, in small part, get back on their feet, then I’m grateful for the opportunity,” said Ari, a lender from Cleveland, Ohio.
And when the Israel-Iran war occurred, SparkIL leaped into action, providing a special emergency fund totaling ~$4.5 million in interest-free loans to small businesses in Israel. To date, SparkIL has supported over 550 businesses with more than 35 million shekels (~$10 million).
