A microenterprise is a type of small business that is often unregistered and run by a poor individual. Specifically a microenterprise is defined as a business having five or fewer employees and a seed capital of not more than $35,000[citation needed]. Because microenterprises typically have no access to the commercial banking sector, they often rely on "micro-loans" or microcredit in order to be financed. Microfinance institutions often finance these small loans, particularly in the Third World. Those who found microenterprises are usually referred to as entrepreneurs.