Family+finances

Family finances [[image:family_finances.jpg align="right"]]
This page describes how to invest in a small business and borrow from the microfinance bank, family actions that are grouped under the family finances tab in the MV Sim. For more information about the family fund, village fund, and other monetary aspects of the game, see finances.






 * Your small business income depends on the amount of capital you have invested in the business, your family's productivity, the amount of time you allocate to small business management, and village prosperity.
 * If precipitation is low, or if there is a malaria epidemic, your return on capital will decrease.
 * If the village has a road and/or electricity, your return on capital will increase.
 * The monetary value of your small business capital is shown above the map. The value of your capital depreciates over time.

Borrow from microfinance bank

 * You can borrow money from the microfinance bank to invest in capital for your small business, or to increase the value of your family fund.
 * You may request a loan from the microfinance bank at any time, but you can only hold one loan at a time.
 * The interest rate that you are offered depends on whether there is a drought or an epidemic. Once you have taken out a loan, the interest rate remains fixed for the duration of the loan.
 * The total amount that you may borrow depends on the value of the capital you have invested in your small business. This capital is considered collateral. If you do not own any capital, you may take out a small loan equal to the cost of meeting subsistence for your family for one season.
 * You will pay back the loan over 8 turns. Payments are automatically deducted from your family fund. If you do not have enough money to cover a loan payment, you will lose some of your small business capital.


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