Posts

Gold Box: A small business baking it big

I have always been entrepreneurially minded and when my spouse started developing an entrepreneurial spirit in 2014, I knew something good was in the offing for us.

Read more

Jordan SME grows while rebuilding lives of Syrian refugees

Arabella for Aluminium provides employment opportunities to refugees in one of Jordan’s poorest governates.

Former lawyer, Mohamed Darwish, is lucky to have a job on Arabella’s factory floor. Darwish is one of the estimated 1.5 million Syrian refugees presently living in Jordan. His family may have escaped the death and destruction of war when they fled from Aleppo in Syria, but building a new life is not easy.

With close to a third of Jordan’s private sector labour force employed by SMEs, the sector has a crucial role to play in addressing the refugee crisis. And with Arabella located just a few kilometres away from the Zaatari Refugee Camp in the Governate or Irbid, this SME offers a rare employment opportunity at a decent wage to both Syrians and local workers.

Under the Nomou Programme, Arabella is a GroFin Jordan SME client that specialises in aluminum extrusion, fabrication, decoration, and surface treatment & coating. In 2015, GroFin provided the company with financing to purchase equipment and complete infrastructure work at its new production site. But only a few months after it started operations, an unexpected halt in production could easily have seen the business fail.

When cracks appeared in three of the company’s extrusion press containers – which are crucial to its production process – it had no choice but to halt operations. Two of the containers were shipped to Thailand for repairs and while the third was repaired locally, the process still took several months.

Arabella was soon unable to meet its obligations to GroFin and would have defaulted under a traditional financing framework – likely forfeiting its assets and going under. However, GroFin’s model provides room to adapt its financing to the needs of the client and was able to devise an alternative payment plan to allow Arabella to overcome this difficult period.

“Not all business support is about increasing sales and revenue. It is also about helping the client to survive and overcome tough times.”

Wael Sunna, Investment Manager at GroFin Jordan, says small and medium-sized businesses are extremely vulnerable to shocks and the ability to overcome such unexpected setbacks is key to their survival. “Not all business support is about increasing sales and revenue. It is also about helping the client to survive and overcome tough times,” Sunna explains.

GroFin has also provided Arabella with further advice to improve its cash flow through negotiating better payment terms with suppliers and improving collections from clients through shorter payment terms. In 2017, GroFin provided the company with additional funding needed to boost its stock of aluminum pellets to meet higher demand for its products.

With GroFin’s support, Arabella has been able to continuously increase its production and sales. At the end of 2018, the company employed 84 workers, compared to 49 a year before, 20% of whom are Syrians. Arabella continues to grow and is expanding its production facilities even further through the addition of a new furnace for processing scrap aluminum.

“GroFin became our partner when banks refused our loan applications. In the beginning we were short of experience, but we found all the support we needed in GroFin.”

Mr. Sobhi Al Zubi, the entrepreneur behind Arabella, says he will never forget GroFin’s support and loyalty to his business. “GroFin became our partner when banks refused our loan applications. In the beginning we were short of experience, but we found all the support we needed in GroFin. They were there to help us with everything from planning to marketing and sales,” he says.

Sobhi says perseverance and determination were crucial to his success.

“I am always positive, despite the setbacks. I always keep looking forward – never back. You have to feel successful on the inside, then even people who start from nothing can become successful.”

Learn more about the The Nomou Programme and GroFin funding and business support for entrepreneurs and SMEs in the Middle East.

Nigerian entrepreneur paints it forward


Successful paint dealer now trains women to start their own businesses

My vision for the company is to become the leading coating company in the country and to create jobs for thousands of Nigerians.

Read more

Facing Jordan’s SME challenges & growing in frozen food market

Small and medium-sized businesses employ around a third of Jordan’s private-sector labour force. Yet, World Bank Enterprise Survey data shows that nearly 49% of small and 33% of medium-sized businesses in the country still cite access to finance as a major constraint to their growth.

GroFin allowed Al-Mutamayeza for Frozen Food Trading, which trades under the name Saboba, to overcome this challenge by providing the business with three successive rounds of financing. The company distributes high-quality frozen and processed meat and poultry products. Thanks to GroFin’s investments and continued business support it was able to expand into new geographical regions in Jordan, venture into new market segments and broadened its product range.

Raed and Mohammad Saboba founded the company bearing their name in 2007 in Zarqa, Jordan. They first approached GroFin in 2013 to finance the purchase of additional inventory to expand the distribution network of the business. GroFin also supported Saboba in the formalisation of its business plan and financial projections, equipping the entrepreneurs to monitor progress against the forecasted plan to better identify areas of improvement.

As Saboba grew, GroFin continued to work closely with the business to optimise its product range and pricing, as well as its brand positioning and marketing reach. In 2015, GroFin encouraged Saboba to explore new markets and provided the business with financing to introduce new products targeting hotels, restaurants and catering companies. In response to GroFin’s advice to diversify its product range, Soboba later obtained additional financing to acquire the right to distribute a global brand of powdered milk and other dairy products in Jordan.

Due to the success and improved profitability the company has achieved since partnering with GroFin, Saboba has acquired new premises and its brand is now well-known in Jordan.

“GroFin’s financial and business support resulted in extending our geographical coverage, increasing our number of products from 12 to 25, hiring new employees, and growing sales by over 15% annually,” says Raed Saboba, co-owner of the business.

Saboba currently employs 35 workers, compared to 21 at the time of GroFin’s first investment. However, the company’s growth has not only allowed it to create new job opportunities, but also to enhance the life and careers of its employees. Wafaa Tom is a female employee who joined Saboda in 2016 and heads up the company’s finance department.

“The growth in the company’s operations impacted my knowledge and enriched my career as I am currently dealing with bigger transactions related to a number of reputable customers.”

Alaa Al Faqeer, another female employee at Saboba, says she struggled to find a job with a decent salary as she did not have any tertiary education. All of this changed when a friend encouraged her to apply for a job at Saboba.

“Saboba paid for my tuition to enrol at university and I received a degree in Accounting, which helped me to further develop my career. When I got engaged, Saboba also generously participated in my wedding expenses, as my husband and I could not fulfil all of them,” she says.

GroFin Jordan - SabobaGroFin Jordan - SabobaGroFin Jordan - Saboba

At a mere 14.4%, the World Bank points out that Jordan’s female labour force participation rate is the lowest in the world for a country not at war. This is despite the fact that women comprise more than half of Jordanian university graduates. Gender discrimination in hiring practices contributes to this number, as well as to the country’s high female unemployment rate of nearly 24%. With GroFin’s support, Saboba has empowered Tom and Al Faqeer to overcome these barriers.

Rwanda woman entrepreneur lifts local community out of poverty

Agasaro Organic helps local farmers by adding value to their produce

Pineapples grow easily in the fertile soil of the Nyamasheke District in Rwanda’s Western province. But with the fruit in such high supply during the harvest season and no local means available to process it, farmers here have always struggled to get a decent price for their produce.

As in the rest of the country, agriculture is the main source of income for many households. The Rwandan economy may boast a low unemployment rate, but national labour statistics show that over 60% of the country’s workers are in fact self-employed in the agricultural sector. These subsistence farmers typically have little control over the prices they are paid for their produce and so remain trapped by poverty. Women are also most likely to bear the brunt of poverty as, according to Oxfam, they head close to a third of agricultural households and provide almost two thirds of the labour on family farms.

Agasaro Organic is helping to change this for the 552 farmers in Nyamasheke who now act as its contracted suppliers, Agasaro is a woman-owned business which processes pineapple, maracuja, strawberry, honey and other agricultural products to make organic juices and biscuits.

Agasaro not only offers farmers fair pricing, but also assists them with training and fertilisers to improve their yield. Sindayigaya John (33), a pineapple farmer who employs 25 workers to work his land, says working with Agasaro has allowed him to earn more than double the income he did when he sold his fruit at local markets:

“Working with Agasaro has improved our lives. My two children are now going to a better school and I am paying my employees’ salaries on time, which has also improved their lives. My vision is to one day also start a business like Agasaro.”

Isimwe Noella (26), also farms pineapples with her parents and five brothers. The family supplies three tons of fruit to Agasaro every week to earn around Rwf1,500,000. Before they could only make Rwf200,000 to 300,000 at local markets:

“The quality of my crops has also improved because of the assistance and fertilisers which Agasaro provides us. Working with Agasaro has financially transformed our lives at home,” Noella says.

While Agasaro’s were increasing steadily, inadequate packaging equipment was limiting its ability to increase production. In 2017, a lack of packaging materials even started to impede sales growth. Agasaro and other Rwandan manufactures previously relied on imports from Kenya to obtain plastic packaging. But stringent new Kenyan legislation banned the use of manufacturing of certain types of plastic bags used for commercial and household packaging.

Isabelle Uzamukunda, the owner and managing director of Agasaro, approached GroFin for working capital to finance the purchase of new packaging machines to help address this shortage. As part of its business support offering, GroFin assisted Uzamukunda in the selection of appropriate packaging machines and helped her to review her business plan.

Uzamukunda says the financing and support she has received from GroFin has helped to increase Agasaro’s sales and staff complement:

“Before receiving GroFin’s support my monthly sales were never above Rwf20.2 million. Now my current turnover stands at Rwf29 to 30 million. I had 16 staff members, but now my team has grown to 26 employees.”

Ntwali Victor (34) is one of these new employees. Victor tried to support his wife and child by doing casual or temporary jobs before he started working as an electrician at Agasaro a year ago. His wife couldn’t find permanent work either but earning a steady salary has helped to change that too:

“I paid for my wife to complete technical school and now she has a small sewing business. I can pay my rent on time, pay for medical services and send my child to a better school. We were two jobless people at home – now one of us has a permanent job and the other a business to run.”

GroFin has also assisted the business with networking and market identification and Uzamukunda says this has helped Agasaro to qualify for grants from different donors:

“I have the contract for a $199,000 grant for the construction of a modern plant in-hand and signed. This is all because of GroFin’s financial support and business advice which have taken me to another level as a businesswoman.”

Former President Jakaya Kikwete visits Binti Africa Clothing Workshop

Former president Jakaya Kikwete has urged Tanzanians to support the local fashion industry and praised local fashion houses for producing high-quality clothing of international standards.

Mr Kikwete made these remarks during a recent visit to Binti Africa in February, the fashion house from which he has been buying his vintage African print shirts since his presidential tenure. Binti Africa specialises in the production of clothing from African textiles. It is the only fashion house styling the officials of the Tanzanian Government, with the current vice president of Tanzania, Honorable Samia Hassan Suluhu, among its clients.

Mr Kikwete was very impressed by Binti Africa’s workshop and the creativity and quality of its current designs. He congratulated Johari Sadiq, fashion designed and CEO, on being self-employed and for producing top-quality clothing which can compete in the global market.

Johari Sadiq, CEO of Binti Africa and GroFin Tanzania Entrepreneur

Johari Sadiq, CEO of Binti Africa and GroFin Tanzania Entrepreneur

Mrs Sadiq founded Binti Africa in 2009 at the age of only 23, but with no business background or experience in the fashion industry she struggled to access finance to grow the business. The ILO Women Entrepreneurs Survey 2014 revealed that 85% of women interviewed in Tanzania financed their start-ups from their own savings, mainly due to high interest rates and collateral requirements. It also indicated that access to business development services (BDS) is crucial for women entrepreneurs to strengthen their capacity to start, effectively manage and grow their business.

But Mrs Sadiq’s passion for fashion led her to persevere and 2016 she obtained the finance she needed to set up a modern factory from GroFin, a pioneering private development financial institution which specialises in financing and supporting small and growing businesses across Africa and the Middle East. GroFin provided Binti Africa with funding to acquire modern equipment and high-quality fabrics which enabled it to create the exquisite garments it has become known for.

“My advice to other women entrepreneurs is to never be afraid of failure. Massive failure leads to massive success. Take risks, be open to learning lessons and take criticism well. Believe in yourself, because what a man can do, a woman can do just as well,” Mrs Sadiq said about her journey as a women entrepreneur during an interview with GroFin last year.

Biotitiale shows small business can share in Ivory Coast mining boom

It is no secret that Africa needs to add much greater value to the metals and minerals extracted by the continent’s mining sector. Commentators often highlight the need to attract foreign investment to help move Africa up the value chain by building the capacity to process the commodities it currently exports.

Extracted by the continent’s mining sector. Commentators often highlight the need to attract foreign investment to help move Africa up the value chain by building the capacity to process the commodities it currently exports.

Yet, the important role that locally-owned small and medium-sized businesses can play in not only processing what mines produce, but also providing them crucial services, is easily overlooked. Biotitiale, an Ivorian consulting firm providing laboratory testing and analysis, has proven how access to finance and support can help small businesses to benefit from growth in an industry dominated by large players.

Biotitiale was founded in 2012 by Dr. Kossonou Yao Kamele to service mines in Côte d’Ivoire and the surrounding region. Holder of a Doctorate (PhD) in Food Science and Technology, Dr. Kamele spent seven years working for well-known companies, but was inspired by a passion for entrepreneurship to start Biotitiale.

The firm is dedicated to qualityenvironmenthygienesafety and health test and analysis. Biotitiale provides these services to help its clients to reduce risks, streamline processes and improve the sustainability of their operations. Its laboratory performs quality testing and analysis on a wide variety of substances including source and waste waterfoodstuffs, and soil and rocks. Biotitiale also provides training to help its clients to comply with environmental management and audit standards to meet ISOQHST and SST standards (Quality-Health-Safety-Environment).

According to the International Monetary Fund (IMF) Côte d’Ivoire posted impressively high economic growth since 2012,  when political turmoil in the country began to recede and the business environment improved. Biotitiale was well-positioned to take advantage of this upswing, as well as a boom in the country’s mining industry after the implementation of a new mining code in 2014. Although the company secured contracts with large miners, its much larger competitors still hold the lion’s share in the market for laboratory and testing services in Côte d’Ivoire. This is not least because the industry is extremely capital intensive.

By 2017, Biotitiale had established a strong client base, but a shortage of capital to purchase new equipment was holding the business back. GroFin provided the company with financing to purchase new high-end laboratory equipment, which has greatly improved turnaround times and helped Biotitiale to gain additional market share.

The new equipment means that the Biotitiale’s laboratory can now perform between 300 and 500 sample analyses per day. Before this would have taken an entire week. This improved capacity means the firm can keep better pace with demand from the fast-growing mining industry, while GroFin’s business support has also helped Biotitiale to win new clients in other sectors through improving marketing.

The World Bank expects the Ivorian economy to grow by 7.3% during 2019 – which will keep it among the top performers in the Sub-Saharan region. Côte d’Ivoire’s Chamber of Mines also expects the mining sector to continue its expansion to contribute 5% of the country’s GDP by 2020. But at the same time, the IMF has pointed out that despite impressive economic growth in recent years, poverty level in Côte d’Ivoire has remained stubbornly high. The need to grow and ensure the sustainability of small businesses to boost job creation, therefore remains urgent.

Biotitiale has not only created and sustained much-needed jobs, but also continues to make a positive contribution to the growth of the Ivorian mining sector. Its services help mines to ensure the health and safety of their workers and to protect nearby communities and the natural environment.

Bugesera Agribusiness: Impacting bottom of the pyramid farmers in Eastern Rwanda

Opening a large business in an area where almost 50 percent of the population live below the poverty line might deter some of the hardiest business people, not so Mr. Christophe Kanyandekwe, owner of Bugesera Agribusiness Company Ltd, also known as BABC.

A mechanical engineer, Mr. Kanyandekwe bought BABC which is located in Gashora, Bugesera district, Eastern Province of Rwanda, in 2014. Prior to his acquisition the company which started operations in 2008 was run by a farming cooperative called Indakuki Cooperative. When Mr. Kanyandekwe bought the factory, he retained the 328 members of the Indakuki Cooperative as suppliers of maize kernels, as he did not want the members to lose their livelihoods.

Today BABC is the largest agribusiness in Eastern Province and it has supply contracts with 86 cooperatives who represent approximately 70,000 farmers. In a province struggling to deal with poverty and with people thinking about how they will put food on the table, companies like BABC provide a lifeline. Each of the farmers that supply the company through their cooperatives are at the very least assured of having a captive market for their products. As many Rwandan farmers are at the bottom of the pyramid, agri-businesses like Bugesera Agribusiness encourage local farmers to see farming as a viable enterprise.  This is important in a country where agriculture is a mainstay for thousands of families.

In the first quarter of this year, according to the National Institute of Statistics of Rwandaagriculture contributed 31 percent to the country’s GDPAgriculture is expected to play a vital role in reducing poverty and ensuring the country is self-sufficient in its nutrition needs.

Mr. Kanyandekwe is also a shrewd businessman in that he finds reliable buyers for his products. One of these buyers is Africa Improved Food Ltd., a company who is taking the fight against malnutrition in Africa head on. BABC signed a contract with the company to provide them with 600 to 1500 tons of soy beans a year for the next three years.

As BABC grew it found itself in need of finance and in GroFin it found a partner willing to help. GroFin, which has made a name for itself investing in small growing businesses(SGBs) has agribusiness as a sector of focus  across sub-Saharan Africa and MENA. Another large Rwandan agribusiness that GroFin supports is Yak Fair Trade. Therefore, partnering with a company like BABC made sense for GroFin. The financing allowed BABC to purchase new equipmentbuy additional raw materials and expand its warehousing capability. In addition to the financing the GroFin Rwanda team provided business support to BABC, which started pre-finance, when the company was advised to properly register its assetsPost finance the company received help on how to better structure its sales and marketing strategy. Additionally, advice was provided on production process automation, improvement of packaging system, and looking into export possibilities. To further help BABC, GroFin Rwanda will introduce BABC to PUM experts who will be providing advice on product certification.

Through GroFin’s finance and business support, BABC is able to sustain 62 permanent jobs of which 24 are held by women and 51 are low skilled/semi-skilled.

“Thanks to GroFin, I was able to expand capacity and make a greater impact in our province of Eastern Rwanda. I think agribusinesses in Rwanda must not hesitate to invest in our agricultural sector.” – Christophe Kanyandekwe

Giving Tanzania women entrepreneurs their place in the sun

Women entrepreneurs play a pivotal role in the private sector comprising microsmall and medium enterprises in TanzaniaWomen owned enterprises increased from 35%in early 1990s to 54.3% in 2012, according to estimates by the International Labour Organisation (ILO).

The ILO Women Entrepreneurs Survey 2014 revealed that 85% of women interviewed in Tanzania financed their start-ups from their own savings, mainly due to high interest rates and collateral requirements. It also indicated that access to business development services (BDS) is crucial for women entrepreneurs to strengthen their capacity to start, effectively manage and grow their business.

Apart from limited access to finance and business development services, women also face challenges unique to their gender, which may influence the decisions they make when starting or growing their business. Research shows that women owned enterprises do not grow at the same rate compared to businesses owned by men; most of them remain small. In Tanzania, of the 1.716 million women-owned enterprises estimated in existence by the ILO, over 99% are micro enterprises with fewer than five employees and almost three-quarters have only one employee.

We turned to three successful women entrepreneurs in Dar-es-Salaam whose businesses have grown with GroFin’s finance and support, to share their insights on what it takes for women to start and grow their enterprises in Tanzania.

First up, Ms. Johari Amour Sadik is the founder, head designer and owner director of BintiAfrica, which specialises in the production of clothing and accessories made from African textiles, with sales outlets at ADA Estate Kinondoni and at Mbezi.

Next is Ms. Edditrice Temba, who runs Mambo Jambo Tours and Travels located at C & G Plaza, Mikocheni B along Mwai Kibaki Road.

Rounding up the powerhouse trio is Ms. Anna Habib Mponezya, who powers Bahari Bakery, a multi-presence café and bakery with its flagship outlet at Kunduchi Beach, Kichangani.

Excerpts from a joint interview:


1. Research shows that most women-led businesses stay small. In your view, what holds back women entrepreneurs from growing their businesses?

Johari:  In my experience, cultural background, social and political territory provide the primary grounds for challenges that hinder women entrepreneurs from growing their businesses.

In our society, girls and boys are perceived and treated differently, and as they assume their place as adults, men are necessarily regarded as superior to women.

While I consider this thinking primitive, it exerts a major influence on our society and is responsible for the social prejudice directed against women. In short, it has been ingrained in our minds that women are better suited for work within the home and men are better at risk-taking.

Against this social backdrop, it is very challenging for women entrepreneurs to: –

  • Be strong enough to defy social expectations
  • Find mentors, preferably other women entrepreneurs, who can support and guide them in the start-up stage
  • Have access to sufficient or appropriate funding
  • Create or establish a proper networking system
  • Earn respect in this male-dominated industry
  • Balance work and family life
  • Overcome a constantly lurking fear of failure

Edditrice: To my mind, the main reasons women entrepreneurs stay small are as follows:

  • Very limited access to finance
  • Lack of adequate initial seed capital to start on a strong footing.
  • Lack of acceptable collateral as required by banks
  • Social stereotypes which tend to view women as weak business leaders
  • Lack of business networking – most women business owners face a challenge in building meaningful business / social networks which could easily translate into better business prospects for them.
  • Lack of entrepreneurial skills – most women start a business based on a passion that they have but once the business is up and running, they tend to fall back into the mundane routine of managing the business. In the process, they forget to upgrade their entrepreneurial skills through continuous education and knowledge within their specific industries.

Anna: As a primary challenge faced by women entrepreneurs in the path of growing their business, many of them do not have access to credit to support their business, largely due to cultural norms. For instance, to obtain credit, one must produce collateral, while many such collaterals are in the names of their husbands, or partners.

Another impediment is male chauvinism, due to which businesses owned by women are considered second-class.


2. Can you tell us about any gender specific challenges you faced in starting your business?

Johari: I started this business when I was only 23 years old. Fashion has always been my passion since childhood, therefore I never saw myself doing anything else apart from what I am doing now.

I have been employed twice but the idea of putting my talent and creative thinking on hold just to make a living in a corporate world was so unsatisfying that I decided to walk away and never look back. Thus, I took a huge leap of faith.

On this journey, some of the toughest challenges I faced as a woman entrepreneur were;

  • Lack of experienced mentors: I never had an experienced mentor to guide me and give me perspective. My family and friends were my support system and my mother was my closest mentor. Since none of them were experienced entrepreneurs, everything amounted to learning by doing which was very challenging indeed.
  • Access to funding: Who in his/her right mind will be willing to fund a 20-something female entrepreneur with no business background or experience in the world of fashion and only passion for her line of work? Besides having no capital or assets to put as collateral, no recommendations or influential people to vouch for her work?
  • Avoiding culture vultures: Some even wanted to take advantage of my age and feminism on the pretext of supporting me.
  • Establishing a proper network: I had to constantly prove my worth by working twice as hard as everyone else, rising beyond expectations, being very determined and never losing sight of who I am, where I came from and where I wanted to be.
  • Balancing work and family: While constantly working, it is hard to always be available for your family and friends. However, it certainly helps to have a supportive and understanding family that always has your back and a few close friends who share the same goals as you.
  • Constantly fighting the fear of failure

Edditrice: As a woman entrepreneur, I faced these specific challenges:

  • We lacked adequate seed capital to start on a strong footing. We had to grow gradually from ground up with initial capital and grow slowly but steadily by reinvesting profits back into the business.
  • Being a married woman, it was a challenge to meet men for business meetings, at least at the very start of my innings in the business world. So, it is fair to say that I too experienced some social stereotypes first hand.
  • Suffering from a do-it-alone mentality of trying to multi-task and do everything on my own.
  • Facing staff management issues in terms of retaining staff in the initial stages of the business, because, well, you are a woman and they tend to take you less seriously.
  • Lack of confidence, a predicament I believe many women would relate to.
  • Understanding the market and creating a niche for myself based on my business strengths, by overcoming perception issues against women business owners and getting stakeholders to focus on my business instead.

Anna: Dealing with regulatory bodies in Tanzania is hard if you are a woman. You are considered an outsider, making it comparatively hard to get permits.


3. What were the steps you took to overcome these challenges?

Johari: To get past these challenges:

  • I accepted the fact that this journey will be more than tough and no one would ever have compassion on me because I chose this path for myself. Moreover, society expected me to fail as a young, inexperienced woman, thus failure was not an option.
  • I surrounded myself with well-minded and focused people who constantly motivated me, advised me, pointed out my mistakes and grounded me.
  • I constantly set goals for myself, learnt from my mistakes, sought and listened to advice, listened to criticism and learnt from my peers.
  • I got involved in events and workshops, learnt the practices of the fashion industry and how it is evolving worldwide, thus continuously educating myself on latest trends and developments.
  • I created a proper networking base.
  • I constantly tried to perform beyond expectations with hard work and perseverance.
  • I stayed truthful to who I am, what I want and what my goals are.
  • I learnt to be aggressive and competitive.

Edditrice: I followed these steps to overcome my challenges:

  • Underwent training in business skills and people management skills.
  • Started attending more business networking events and exhibitions.
  • Involved my husband more in the business, rather than relegating him to the role of a silent partner.
  • Gained more confidence as a business owner as I realised that some of the earlier challenges were caused in fact by a general lack of confidence in myself.
  • Increased personal and business networks within and outside the industry.
  • As I gained more experience in the business, I also developed a better understanding of the market and the needs of my customers.

Anna: Persistence and perseverance were my arsenal in successfully overcoming my challenges.


4. Who has supported you on the difficult path of entrepreneurship?

Johari: I would not have been able to walk this path were it not for:

  • First and foremost, my family, which has constantly had by back by believing in me.
  • My closest friends – those who shared the same mindset and goals as me.
  • My team, which has played a significant role in every success the business has had and continues to have.

Edditrice: The following have been pillars of my support system:

  • GroFin, whose finance and support is a big boost. I can now clearly see my vision and dream of Mambo Jambo Tours and Travel becoming a respectable mid-sized corporate entity come to fruition.
  • My husband and partner, who complements my efforts and endeavours.
  • A few mentors within the tourism industry, whose insights and business advice have come to my rescue at the time I most needed them. I have also benefited in terms of having developed some very useful business relationships along the way.

Anna: I must appreciate the support of my husband, Habib Mponezya, in overcoming the hurdles that I faced on the challenging path of entrepreneurship. He supported me not only morally, but also financially where he could. My friends also motivated me with their ideas and suggestions.


5. What is the advice you would offer to other women entrepreneurs?

Johari: My advice to other women entrepreneurs is to never be afraid of failure. Massive failure leads to massive success. At the very least, you can never succeed in business without failing at some point. Take risks, be open to learning lessons and take criticism well. Work with others, educate yourself through books, social media or any other tool, but mostly, open yourself up to learn from your peers.  Believe in yourself, because what a man can do, a woman can do just as well.

Edditrice: I would like to offer the following tips to other women entrepreneurs:

  • You can achieve anything you set your mind to. Challenges eventually make you stronger and wiser as you overcome them and navigate your way to becoming an entrepreneur who commands respect.
  • Maintain your strong values and uphold quality standards. Remember, as a business owner, you are the brand ambassador of the company.
  • Build on relationships and business connections. No one succeeds alone. Relationships are a great means to win and retain customers for your business too. After all, business research shows that people like doing business with their friends.

Anna: Trust yourself. You can achieve anything so long as you persevere and take steps in the right direction. Also, once you have secured capital through credit, do not divert it to non-business expenditures.


So, can other Joharis, Edditrices and Annas expect to find their place in the sun anytime soon?

The future looks exciting indeed for women entrepreneurs in the region. The Global Entrepreneurship Monitor (GEM) 2016/17 Women’s Report finds that Sub-Saharan Africa leads the way in female entrepreneurship globally, with nearly 26% of the female adult population engaged in early-stage entrepreneurial activity in the region. Even more heartening is that almost 62% African women entrepreneurs said they started a business because they are taking advantage of opportunity, rather than out of necessity.

However, Sub-Saharan Africa also has the highest discontinuance rate – at 8.4%. As many as 56% of women entrepreneurs in the region cite either unprofitability or lack of finance as a reason for closing their business. At GroFin, we provide women entrepreneurs with pre-finance business support to make their businesses investment-ready, as well as widen access to finance for those eligible to receive our funding and post-finance business support.

With investments in 113 businesses owned by women and a third of the jobs sustained by our investees held by women, GroFin holds women empowerment central to its investment philosophy. If you are a woman entrepreneur looking for a combination of finance and support to take your business to the next level, we invite you to check if you qualify by filling our pre-assessment questionnaire here.

GroFin Rwanda deepens agribusiness reach in East Africa

After transforming Rwanda into a model for conflict-affected states, the Government of Rwanda is now focusing its reform efforts on a vital needs sector: agribusiness. What makes this sector so crucial is that over 75% of Rwanda’s workforce is concentrated in agriculture. Against this backdrop, GroFin is deepening its efforts to reach out to agribusinesses such as Yak Fair Trade Ltd, based in the Rwamagana district of Rwanda’s Eastern Province.

Yak Fair Trade Ltd was founded by entrepreneur couple Mediatrice Uwingabire and Janvier Gasasira in 2010. The agribusiness works hard to improve the quality of maize and beans, two of the most consumed staple foods of East African Community, through a project aimed at controlling quality from production to final consumption. The company has signed exclusive supply contracts with 65,000 farmers grouped into 52 cooperatives in Eastern, Southern and Northern Provinces, both ensuring grain supply for its own use as well as benefitting farmer livelihoods in its community. It also sells the surplus to other institutions such as the World Food ProgramAfrica Improved Food and UNHCR.

Besides, given the importance of animal protein as a readily available source of nutrition to low income households, Yak Fair Trade Ltd is also diversifying into the processing of quality cowsgoatrabbitfishpork, and chicken meat through a mini-processing plant that it has recently installed in Kigali-Nyarugenge. The plant relies principally on supplies from small holder farmers supported by the Girinka project. The One Cow per poor family or Girinka project is based on the premise that providing a dairy cow to poor households helps to improve their livelihood by commercialising dairy products. Since its introduction in 2006, more than 203,000 families have benefited from the programmewith a target of reaching 350,000 Rwandese families by end 2017.

In August 2017, Yak Fair Trade approached GroFin for finance to expand the milling capacity of its maize flour plant that currently produces at 40% of its daily production capacity. In addition, the agribusiness secured a sizeable new supply contract from Africa Improved Food (AIF) in mid-2017. A joint venture created in 2015 between Government of Rwanda and a consortium of four partners: Royal DSM, the majority shareholder, the Dutch Development Bank (FMO) and the British government’s development finance institution CDC Group; AIF produces high quality nutritious complementary foods for infants as well as pregnant and breastfeeding mothers.

In addition, for its meat processing venture, the company needed finance to purchase a distribution van with refrigeration capabilities for easy distribution of meat products to consumers within Kigali.

Apart from finance, GroFin is also assisting the business with conducting a detailed Environmental Impact Assessment and re-defining the duties and responsibilities of the main shareholders towards improved corporate governance.

GroFin’s capacity to extend business support to agribusinesses such as Yak Fair Trade has been enhanced by a grant from the USAID East Africa Trade and Investment Hub (the Hub)The grant will involve GroFin screening 200 agribusinesses and offering tailor-made technical assistance to promising SMEs across Rwanda, Tanzania, Kenya and Uganda, ensuring that many more agribusinesses such as Yak Fair Trade can benefit from this partnership between GroFin and the Hub.

Already, this grant has catalysed the creation of 55 skilled and semi-skilled jobs as well as sustained 16 existing jobs at Yak Fair Trade. Moreover, all 65,000 farmers that supply to Yak Fair Trade will benefit from the enhanced business value chain. Finally, our investment and support has high implications for women empowerment as the company is led by a female CEO and female employment stands at 43%.

With GroFin’s finance and support, we are set to deepen our reach to farmers, expand employment to four times the current levels, and improve food security for the community,” concludes Janvier, the company’s co-founder and Chief Operations Officer.