Currently, the system is skewed to benefit the rich and keep the poor disadvantaged. As a result, the poor are unable to find funding. James Gutierrez wants to change this in the near future. Gutierrez is searching for ways to use technology to revolutionize lending. The venture capital fund that Gutierrez is a founding partner of, focuses on series A investments. There is also Progreso Financiero, a lending company co-founded by James Gutierrez. The company has given $1.5 billion in loans to individuals who otherwise would not have access to them. Changing the system will require more than liquidity though. Laws must be passed that will foster an environment for change. Gutierrez has been an advocate for the increased availability of small loans for over a decade. Aura and oportun, companies Gutierrez helped fund, were classified as a CDFI( Community development financial institution). With over 40 million Hispanics with little to no access to bank funding, even with a CDFI classification, it will be difficult for Aura and Oportun to make a significant change. Huge systemic changes are required to bring access to funding for these people.
How to convince corporations to invest in sustainability
James Gutierrez is certain that providing tax breaks and subsidies to corporations investing in sustainable projects will encourage more investments into the community. Each company would be given a rating so that shareholders could see how one company ranked against other companies. This would force companies to innovate or risk losing business to more innovative companies. The world is changing and technology is one of the driving forces behind this change. 10 years ago face-face meetings were the best way to acquire an investment. Today, people are perfectly comfortable with investing digitally. Technology can be used to educate the average Joe, it can be used to force companies to disclose company information and it can be used to bring more individuals out of poverty.