Client stories

Celebrating success

With support from GroFin in the form of finance and on-going business support, many entrepreneurs have achieved and gone beyond their initial business goals - achieving long-term success and contributing to the upliftment of their families, communities and economies.

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IES Electrical Suppliers (South Africa)

	IES began trading in 2000, providing off-the-shelf solutions in partnership with electrical consulting engineers. After a few years it became clear that the contracting business was booming and expansion was the logical route to follow. However, the business experienced problems accessing the funding required for growth.

	Finance was provided for the refurbishment of new premises, the purchasing of equipment and vehicles as well as working capital to finance the growth.

	The GroFin team assisted the business with all aspects of structuring the business, including the critical financial analysis that was needed before their finance was approved.

	Since receiving assistance from GroFin, IES has expanded its business and outgrown its existing premises. The IES fleet currently comprises six vehicles and the company has extended its service delivery to most parts of Gauteng, Mpumalanga and North West provinces in South Africa.

Glade Digital (Ghana)

	After years of running a successful printing business, entrepreneur Godwin Mate identified an opportunity in the market for large scale digital printing. However, due to resource and capacity constraints his business was unable to respond to the growing demand.

	With GroFin’s finance Godwin purchased a large format flatbed printer - the first of its kind in Ghana.

	GroFin provided him with constant guidance on growing his business. Noticing the detrimental effect a sudden change in Foreign Exchange would have on the company’s budget for imported paper stock, GroFin suggested the company import stock in bulk in order to manage an unexpected fluctuation in currency. We also gave Godwin invaluable advice on record-keeping and accounting, resulting in the hiring of an accountant to manage the company’s finances.

	With the flat-bed technology and professional service he provides, Godwin has attracted the business of high profile corporate companies in Ghana, ensuring that Glade Digital is well on its way to a successful new chapter.

InDepth Engineering (Kenya)

	In 2000 Kingori Wathobio started InDepth Engineering, a borehole drilling business focused on providing Kenyans with clean, easily accessible water. The demand was great and in just six years he was able to grow a solid network of regular contacts and suppliers. Although he began his business using hired equipment, this became unreliable in the face of a growing workload and the hiring cost was negatively affecting his cash flow.
	GroFin recognised that InDepth Engineering had the potential to make a consistent profit with the correct support and the opportunity to reduce their expenses. We provided the business with the finance to purchase two sets of drilling equipment and a support truck.

	The local GroFin experts were aware that business expansion and increased profits must be coupled with a more formal business structure, so they assisted the team in applying good corporate governance to their business. The InDepth team now hold regular board meetings where strategic decisions are taken for the benefit of business.

	The purchase of their own equipment removed the added expense of equipment hire, resulting in increased cash flow. Sales have increased over 1000% percent over three years and profitability has increased by over 200%.

Ecos Medical Foundation

	When Norbert Katongole wished to start his own medical diagnostic centre, he needed specialised equipment to position the business as a leading provider of ultra-sound, medical and radiography services.

	GroFin regonised Norbert's expertise in the field and his proficiency as an entrepreneur. We are therefore providing the finance for him to purchase the necessary medical equipment and a standby generator.

	GroFin assisted Norbert in liaising and negotiating with the medical equipment dealers. We also worked with him on his business marketing strategy and execution in order to meet the sales projections after receiving the equipment.

	The business has already seen results through acquiring two extra permanent staff, with more to be recruited after the medical equipment has been purchased. Through our guidance, Norbert has purchased an standby generator so that he can run his business despite power outages.

Lima feeds (Kenya)

	Charles Gituka started his business in 1994 using money from his savings to buy animal and poultry feeds from manufacturers and sell them to local farmers. Slowly the business grew and he opened up a store where he sold his products to farmers and shopkeepers. He noticed the market opportunity and cost savings in supplying his own animal feeds and began to investigate opportunities to expand. However, due to a lack of collateral, approaching traditional financial institutions was not an option.

	Following GroFin’s detailed review of the business model, its potential for growth and how well Charles understood the animal feeds market, we provided him with the finance to buy a truck and two mortars. This allowed the company to increase the amount it could produce - leading to increased sales.

	GroFin provided Charles with dedicated support in growing his business, giving him valuable advice on record-keeping and accounting. With our direction, he also adjusted some of his business practices to make them more effective. He now imports sunflower and cotton seed cakes, as well as the wheat and maize required to make animal feeds in bulk thereby saving on production costs and increasing profitability.

	With the purchase of new equipment and vehicles, Charles could automate his processes and no longer needed to mix the feeds by hand. He now produces more within a shorter space of time - producing an average of 350 bags of feed a day as opposed to the previous 180 bags. GroFin’s support has had a significant impact on the business – properly managed record-keeping and accounts allow him to keep track of stock and plan for future demand. Charles is now equipped to efficiently manufacture and brand a wide range of animal feeds under his own name, and has recently qualified for additional finance from GroFin which will equip him to expand even further.

Clip Cut (Kenya)

	At the time of approaching GroFin, Clip Cut was carrying out the business of shredding and selling plastic waste. Based in Nakuru, 150 kilometers west of Nairobi, the business bought plastic waste from the Nakuru area, shred it and transported it to Nairobi where it was sold. As demand grew for recycled plastic products the business needed to acquire a plant and equipment in order to manufacture plastic pellets, which are more compact and easier to transport than shredded plastics. In addition, he needed to finance a vehicle and working capital.

	GroFin recognised the potential of the business to continually generate free cash. We therefore provided the entrepreneur with the finance to purchase the equipment to produce plastic pellets, a 10-ton truck to transport all products to Nairobi, and working capital to finance operations and purchase raw materials.

	In addition to finance, we gave them guidance in creating a business plan and provided them with tools to assist in financial planning.

	Clip Cut are now successfully selling plastic pellets, which have a 20% higher margin than their initial trade of shredded plastics. Their sales have increased, resulting in a performance that has improved their revenues four-fold.

Ogopa Trading (Tanzania)

	Ewald Chuwa opened his shoe store in Shinyanga; about 1 000km from Dar es Salaam. Later, he moved to Dar es Salaam itself to establish three outlets, taking advantage of the city’s status as a business hub. As he grew accustomed to trading in the city he realised that his business could achieve far greater successes as a wholesaler. However he needed finance to make this vision a reality.

	GroFin recognised Ewald’s abilities as an entrepreneur and provided him with the working capital necessary to increase the stock of the business and allow him to grow the capacity of the business to the level that he desired.

	GroFin helped Ewald grow his business through assisting him in structuring his operations. We advised him to set up computer-based bookkeeping system and to employ a storekeeper/ accounting clerk to ensure the smooth running of the business. Through his partnership with us Ewald also improved the business’s banking culture and adherence to best practices.

	With GroFin’s unwavering support Ewald’s business has made the smooth transition from retailer to wholesaler. Since the partnership the business has seen the benefits in terms of sales, profits, as well as business growth.

Nana Hostel (Uganda)

	While supervising the construction of a hostel, Tom Kaaya noticed there was a gap in the market for university accommodation. He envisioned a hostel that would not only provide accommodation to students of the nearby Makerere University, but also provide a shopping arcade, restaurant and recreational amenities for the benefit of the surrounding community.

	GroFin recognised his potential as a seasoned entrepreneur with a business capable of making a profit year after year and provided him with enough finance to build a six storey hostel.

	A team of GroFin experts provided Tom with guidance on his business plan and on identifying a capable management team.

	With the help of GroFin to get the project off the ground, the hostel has been successfully built, with all rooms occupied. The team has grown from one entrepreneur with a vision to 50 permanent employees. After transforming Nana Hostel into a successful enterprise, the partnership continues. Tom has again approached GroFin for finance towards his transport business that he now wishes to establish.

Newstar (Nigeria)

	From humble beginnings in 1982, entrepreneur Ahmed Jimoh steadily grew his business in line with market needs. Over the years he shifted from providing black and white to full colour photography, and finally to sophisticated digital equipment. However, a lack of modern equipment was restricting the business’s growth and put severe pressures on his cash flow.

	GroFin recognised Ahmed’s experience and capability as an entrepreneur and offered him the finance to purchase state-of-the art photographic development equipment to position Newstar above its competitors.

	We provided Ahmed with support to grow his business further, working on ways to bring in more income and attract more customers. This included assisting him in increasing the marketing efforts on his most popular products and pricing them correctly, as well as looking at untapped potential market segments in order to drive future sales.

	With GroFin’s support, Ahmed has been able to grow his client base, increase his cash flow and position Newstar for tremendous growth.

La Reference (Rwanda)

	After eight years of managing other people’s businesses in the pharmacy sector, Jean Clement Twamugabo started La Reference pharmacy in 2008. Despite his rich professional experience, he had failed to obtain financing from traditional sources of finance.

	GroFin recognised the potential of the business and Jean Clement’s experience as an entrepreneur and provided him with the finance to purchase furniture and stock he needed to start his business.

	With years of experience in supporting small and medium enterprises (SMEs), we are aware of the challenges faced by start ups and fast growing businesses. We drew from this knowledge to assist Jean Clement in transforming his business proposal into an implementable plan. As the business grew we assisted him in introducing a financial management package which has helped control operations and monitor the business’s performance.

	After two and a half years of GroFin’s support, La Reference’s sales activity has increased almost tenfold and their realised sales are 125% higher than initially projected.

Marine Limo Services (Oman)

	Muscat-based Marine Limousine Services began operating in May 2008 by providing luxury taxi hire, wedding transportation services and guided tours to customers. As the success of the business grew, they wished to expand their offering across other cities in Oman. However, in order to securely grow the business without affecting its cash flow, they required a combination of finance and guidance in expanding to additional cities.

	Judging by the business’s success in Muscat, GroFin was confident that they would achieve the same positive results as the business grew. We therefore provided the finance to grow their fleet of vehicles from three to seven.

	We assisted the business in developing an effective finance and administration system and process to suit the expansion of the business. We also assisted the company in its marketing plan and helped them obtain new contracts with local hotels and travel agencies.

	Since partnering with GroFin, their sales have more than doubled and they have extended their services to Northern Oman and Dubai.

Kingsley Tloubatla (South Africa)

	In 1999 Kingsley Tloubatla was inspired to start his own business. Even though he had valuable experience as a businessman operating a number of retail outlets, obtaining finance for a thriving fuel station remained a challenge. However, on contacting GroFin his experience was different.

	GroFin saw the potential in Kingsley and provided him with the finance he needed to purchase his fuel station and worked with Kingsley as a partner from the start.

	GroFin partnered with Kingsley even before the finance was approved by assisting in developing a business plan to achieve profitability and success. During this partnership, the experts at GroFin gave him regular, relevant advice and support. The fuel company selling the garage turned down Kingsley’s application to operate on the proposed site as their model indicated negative cash flow in the third year. This model was requested and together with Kingsley GroFin picked up a vital error in their formulae. This valuable insight and attention to detail led to the fuel company approving the purchase.

	Since partnering with GroFin in 2005, Kingsley’s business has grown from strength to strength. He has recently sold his successful filling station at a considerable profit.

Citizen Medical (Nigeria)

	Citizen Medical, a family-managed hospital, has established a solid reputation in Nigeria as experts in obstetrics and gynaecology. After 17 years of operation, they had reached a point where they needed the finance to open another branch of their hospital, and the support to ensure their management structures could cope with the additional premises.

	GroFin recognised the potential for this already successful business to generate positive cash flow with a new outlet. We provided them with the finance for the new property, as well as for furniture and fittings required to make it a world-class facility.

	Our local experts gave the entrepreneur valuable advice on adjusting their organisational structure and corporate governance to suit its larger scale. Complying with Environmental and Social Governance (ESG) is critical in running a hospital, and so we also gave them valuable advice and support in ensuring that they were adhering to all necessary regulations and adopting best practices in running such a facility.

	By complying with the ESG principles of running a hospital – for example ensuring the appropriate disposal of medical waste and payment of statutory levies – along with Citizen Medical we were able to mitigate any risks of sanctions resulting from non-compliance. This has saved the business significant costs and ensured that they continue to do business.

MALE Integrated (Nigeria)

	Michael Ale started Male Integrated Science (MIS) by selling water in tankers in his neighbourhood and supplying automotive gas oil (AGO) to surrounding companies. The business soon secured 400 borehole contracts. However, by hiring equipment, over 80% of the contract proceeds went to the owners of the rigs and with sub-contracting the other operators took 90% of the contract value, which restricted the scope of MIS to source and supervise their contracts.

	GroFin saw the potential profitability of the business and financed MIS to purchase the equipment and vehicles it needed to reduce its monthly expenses.

	A dedicated GroFin Portfolio Manager noticed that, in addition to his core business of drilling, Michael was trying to offer a range of other services. He was spreading himself too thin and not channelling his energies into activities that could drive his cash flow. With GroFin’s support, Michael turned his focus to a few core activities: borehole drilling, water treatment, geotechnical investigation and environmental geophysics. This helped his business generate profit to survive and prosper.

	Since GroFin’s provision of finance and expertise, the financial and operational aspects of the company have improved immensely.

Ilips (South Africa)

	When Shane Thompson began Ilips (Industrial Lifting, Instrumentation and Pumping Supplies) in 2006, he offered the South African market a unique supply of underground mining communications, tagging and tracking systems. His products proved so popular that his total turnover more than doubled in two and a half years. Ilips’ market was ready for its products, but its infrastructure was not.

	GroFin provided Ilips with an injection of capital to establish a secure supply chain and fund their rapid growth.

	GroFin assisted Shane in establishing the infrastructure necessary for a business of his size, including upgrading his entire accounting system. We also initiated and facilitated the sole distribution rights in Southern Africa for his key SA supplier. Following GroFin’s guidance on stock control, Shane is now able to cite how much stock is at each of his branches and what stock has been ordered. He has also invested in a Customer Relationship Management (CRM) system to track and manage his client portfolio to ensure that, as Ilips grows regular clients are still given the dedicated service they have become accustomed to.

	The business has already seen results through a drastic increase in business, with several new agreements been concluded and huge opportunities in the future.

a winning formula

Client stories

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