Enabler of Financial ServicesFor the World’s Poor

Edgardo HerbosaFounder, Managing Director

The Absence of Financial Services for the Poor inhibits their Economic Development

4.5B poor , mostly farmers and fisherfolks , the largest body of workers in developing countries

cannot establish bank accounts

cannot borrow money from banks

are “penalized” to move money

b2b Mission

Address the banking needs of the world’s poor by providing a holistic financial services platform.

MEMBERS

AGRI-BANK

CO-OP

with CA/SAe-commerce

B2BCENTERS

E-MARKETPLACE

Agriculture sector

REMITTANCE BANK

Remittance sector

cash cardm-commerce

BORROWERS

MFI Network

MFI

Microfinance sector

b2bb2bpricepricenownow.com.com empowers cooperatives to secure the best empowers cooperatives to secure the best prices for their products by selling through an e-marketplace with prices for their products by selling through an e-marketplace with an on-line account-to-account payment system. an on-line account-to-account payment system.

PART 1: E-COMMERCE

E-Commerce Value Proposition

• Production-driven plantingDecision Making

Standpoint

Marketing Standpoint

Banking Standpoint

• Market-driven planting

Before

• Vulnerable to Middlemen• Low margin and traders enjoy mark-up • Passive

• Direct to Buyers • Only 1% transaction cost • Active

• Checks bounces• Costly to send and receive payments

• Payments are secured by the bank • Convenient and cost effective

After

b2bb2bpricepricenownow..comcom empowers cooperatives to transfer funds efficiently through mobile phones and cash cards:

1. cooperatives members2. members members3. Diaspora members

PART 2: M-COMMERCE

M-Commerce Value Proposition

High Administrative Costs•distributing dividends & collecting dues

No Access to Financial Services • Due to minimum requirements, many are “unbanked.”• Penalized when moving money.

Cooperatives

Members

Logistical Hardships • Cost commuting and waiting in lines to collect dividends and pay dues

Members

Diaspora High Transactional Cost &Logistics • Spend $12 to remit money to the unbanked.• Long delivery time.

Lower Costs

They are now Banked

Ease in sending and receiving money

Lower Transactional costs and Real Time delivery on Cash Card

AfterBefore

Fund Transfer: Cooperatives to Members

3. b2bpricenow.com simultaneously broadcasts dividends to each member’s cash card account. Each member receives an SMS confirmation.

SMS

MEMBER MEMBER MEMBER

Broadcast of Payroll and Dividends

CO-OP

B2BPRICENOW.COMCurrent Acct /Savings Acct

Cash Card

1. Cooperative logs onto b2bpricenow.com website to “Broadcast Dividends” and to transfer the respective funds from its CA/SA.

Fund Transfer

2. Cooperative uploads to b2bpricenow.com website a spreadsheet of dividend breakdown.

On-line Spreadsheet

Internet UserInfoTXT Server

Landbank HostServer

Fund TransferRecipient’sCellphone

Submit TransferRequest

Authenticate, check balance, transfer funds

Confirmation

Send confirmation details

Interface to Broadcast Payments

Confirmation

Send SMS notification

ConfirmationConfirmation

B2bpricenow.comServer

Sep 11 1530: Your cashcard account no 0035-5555-0005 hasreceived P2,500.00Your current balance isP6,750.00. Ref: 123456

SMS MessageReceived!

Broadcast Payments Display

Sample Mobile Commands

TO PAY BILLS/PURCHASEFROM MERCHANTS

Type:PAY (space) <amount>

(space) <recipient userid> (space) <mpin>

Send to +639178108983

TO TRANSFER FUNDSTO OTHER CASH CARD HOLDERS

Type:Trans (space) <amount>

(space) <recipient userid> (space) <mpin>

Send to +639178108983

PAY 1500 PLDT 2005 TRANS 15 Juan 2005

PART 3 : b2bcenters

b2bb2bpricepricenownow.com.com empowers cooperatives to earn from income empowers cooperatives to earn from income diversification through the sale of ICT products and services diversification through the sale of ICT products and services

Secret Sauce

Expansion with Agriculture Banks in Developing Countries

“ “ APRACA endorses the replication b2bpricenow.com-APRACA endorses the replication b2bpricenow.com-Landbank E-COMMERCE FOR FARMERS PROGRAM Landbank E-COMMERCE FOR FARMERS PROGRAM Philippine model to its other member banks in the Asia –Philippine model to its other member banks in the Asia –Pacific region and further endorses b2bpricenow.com as a Pacific region and further endorses b2bpricenow.com as a strategic partner “strategic partner “

Mr. Benedicto S. Mr. Benedicto S. Bayaua Bayaua Secretary General Secretary General APRACA *APRACA *

•APRACA is a 30 year old association of 22 Asia Pacific countries with APRACA is a 30 year old association of 22 Asia Pacific countries with 53 member banks and institutions which mission is for the sustainable 53 member banks and institutions which mission is for the sustainable rural development to uplift the rural poorrural development to uplift the rural poor

APRACA is …

oo

USD 500 billion dollar agriculture trade with 650,000 cooperatives

CONTENT e-Commerce

CONECTIVITY b2bcenter

m-Commerce

MANTRA :

REMITTANCE

MFI Network

Philippines 89M

Thailand 64M

China 1.3 B

India 1.1 B

Indonesia 243M

Vietnam 84M

Capabilities vs Per Country Roll-out Schedule

June ‘07 December ‘07 March ‘08

E-commerce for FarmersProgram

M-commerce for the poor Platform

Enabler of Financial Services for the Unbanked

MICRO INSURANCE

World’s Poor

b2b

APRACA Banks

BARA, UofAApplied Anthropology

TechnologySilicon Valley

Social Metrics

Financial Metrics

DoubleBottom

Line

Thank you!