INCEPTION REPORT PRESENTATION Inception report FARM INCOME - - PowerPoint PPT Presentation
INCEPTION REPORT PRESENTATION Inception report FARM INCOME ENHANCEMENTS AND FORESTRY CONSERVATION PROGRAM PROJECT 2 (FIEFOC 2) TO UNDERTAKE DESIGN, VALIDATION, IMPLEMENTATIONS AND DELIVERY OF ACTIVITIES UNDER THE ENABLE YOUTH CHALLENGE FUND
FARM INCOME ENHANCEMENTS AND FORESTRY CONSERVATION PROGRAM –PROJECT 2 (FIEFOC 2) TO UNDERTAKE DESIGN, VALIDATION, IMPLEMENTATIONS AND DELIVERY OF ACTIVITIES UNDER THE ENABLE YOUTH CHALLENGE FUND PILOT PROGRAM WITHIN THE WATERSHED AREAS OF, WADELAI, TOCHI, MUBUKU II, DOHO II, AND NGENGE IRRIGATION SCHEMES UNDER FIEFOC II BY IMPACT BOOSTER CONSORTIUM.
Enable youth
In this program we will target a total of 100 young Agripreneurs between the ages of 18 and 35 years with a focus on women and support them in starting successful businesses. The participating youth will be from around irrigation schemes in the areas
Kween (Ngenge). We will introduce the selected candidates to new technologies and innovative business models, and help them build up the local ecosystem that can support them best. At the end of the 6 months of intensive business acceleration program we will provide seed investment of maximum 8,000 USD to each of the 90 most promising Agripreneurs.
IMPACT BOOSTER CONSORTIUM PARTNERS
The Program is being implemented in a consortium of 3 partners: Impact booster, 3A strategic management Consultants and Agribusiness Booster
The partners
iMPACT Booster:
iMPACT Booster, is a business accelerator that provides the expertise, hands-on support and connections to help your business enter emerging
great innovations through the pioneer gap and turn sustainable ideas into profitable companies.
Agribusiness Booster:
Agribusiness Booster actively participates in local SMEs in Asia, Africa and Latin-America. Our mission is to create local jobs, global networks and a sustainable impact combined with economic returns.
3A strategic management Consultants:
Over the last 15 years, the company and the people behind it have provided consultancy services in Africa: Uganda, Kenya, Tanzania, Rwanda, Burundi, South Sudan, Malawi and South Africa.
The main changes as described in this inception report are proposed based on tested assumptions and to mitigate risks.
developed to the same level, we propose to work with all five regions and focus on areas around the scheme and also outside the scheme.
level has been taken into account, meaning some of our existing e-learning modules do not apply to the target group. The curriculum as well as the trainings are designed with a focus on application which fits with the pragmatic way of learning of the target group.
Findings from the Inception phase ...Continued
platforms IBA and Babele will not suit the needs of the program. The application form will be provided to the entrepreneurs in both an on- and offline version.
business ideas and also encourage entrepreneurial people to enroll for whom we distinguished a couple of scalable and replicable business concepts they could take up. Also we will allow a larger group to enter the bootcamp and the training program in order to generate enough quality pipeline to reach 90 funded enterprises.
structure will change from the structure in the initial proposal. Consultations with relevant these agencies, the proposed new structure was preferred. The fund will be disbursed through commercial bank(s) with MWE as the account holder.
The program is built upon 5 stages
Curriculum development A tailor made curriculum has been developed together with 5 suppliers that were selected by the target audience during a pilot training week.
Curriculum consists of three building blocks Business Skills: Business modeling , Financing and repayment , Business registration (trading license, URA), criteria for the loan handout, Start business activities, Create a support network Soft Skills: Interpersonal relations, Presentation / Pitching skills, Storytelling, Facilitation and training skills, Being a role-model, Gender balanced business Technical skills: Value addition, Storage, Processing, Use of technologies (in collaboration with technical/private sector partners), Climate Smart agriculture
Modules will consist of a mix of different activities, such as:
Trainers and mentors will be trained extensively beforehand
curriculum understanding and proper use of available tools. Training: Use a training of trainers approach. Mentoring: Strong preference for local mentors
Offer the following options: 1. Entrepreneurs that already have an enterprise 2. Business Cases with pre-arranged market access, such as:
3. Develop new product processing a mix of available commodities 4. Agricultural Support Services, mechanization/marketing
The assessments will be broken down in 3 aspects
PHASE 1 INCEPTION SELECTION (1 month) PHASE 2 BOOTCAMP PHASE (1 week) PHASE 3 VALIDATION STAGE (4 months) PHASE 4 PITCHING (1 week) PHASE 5 SCALING PHASE (1.5 year) Pitching & Selection (1 day) Boot camp (5 days) Business skills (3 days) Soft skills (3 days) Technical training (12 days) Assessment (1 day) Coach & Mentor (18 days) TEAM A TEAM B TEAM B TEAM B TEAM C TEAM D TEAM D
Content Assessment and Selection Pitch workshop Leadership, Networking Sales 10/12 people per day, assess based
assessment (observation) and peer selection Content Problem solving Business models Social enterprises Lean Validation Financial modeling & planning (incl. record keeping, saving, loan management, disbursement 8.000 USD) Business case selection Market assessment Team work Networking Negotiating Program information on training and funding structure Pre-arranged business cases
Content Business modeling Financing and repayment Business registration (trading license, URA), Criteria for loan handout Start business activities Create a support network
Content Interpersonal relations Presentation skills Storytelling Facilitation skills Be a role-model Gender balanced business Content Technical skills Value addition Storage Processing Use of technologies Climate smart agriculture Content Pitching / selection day Awarding loan Repayment Content Coaching Peer-to-peer mentoring Implementation Financial man Repayment Scaling up Collecting stories
a mix of:
inter vision – peer-to-peer coaching
(e-clubs) Every 2 weeks training weekend 8 weekends / 8 modules Split in 3 value chains groups: 75% training in value chain group 25% training in bigger group Recurring activities in each module:
Each module contains: 25% technical (knowledge/skills) 25% market exposure (visits, speakers, real-life practice) 50% mindset / attitude / leadership
50
candidate10
candidate50 candidates 40 candidates 30 candidates 20 candidates
Selection round Selection No of selected agripreneurs Round 1 All applicants will answer the application questionnaire; Every question generates points and the 50 candidates with the highest points will be invited for selection round 2 50 Round 2 All applicants will be invited for a selection day that consists of two parts: 1/ active workshop in small groups and 2/ pitching contest. We will have 3 - 5 assessors around for the whole day that will rate all candidates on their performance during that day. 40 Round 3 Bootcamp participation. After the intense 5 day bootcamp experience a final selection for the program is made. This selection will be based upon the reports of:
30 Round 4 The remaining candidates will pitch to the Investment Committee (IC); 25
■ Individual (potential) ■ Ambition and skills (potential ) ■ Realistic expectations of potential of meaningful income generation and customers / contract opportunities ■ Minimum 10% own contribution to expected investment costs ■ Scalability ■ Linkages to climate-smart agriculture and/or climate resilience planning in business models will be given a preference ■ Potential outreach to large network of smallholders, many of whom are women
Rating criteria
The rating criteria of the second round selection day are all related to the level of entrepreneurship and leadership competencies our candidates possess. Relevance:
Effectiveness:
and train our candidates in this specific field of agripreneurship? Impact:
Climate:
Business Development Services To be implemented by 3A strategic management
Background
■ 3A Strategic Management Consultants Ltd was founded and registered in Kampala, Uganda in early 2003 ■ Over the last 15 years, the company and the people behind it have provided consultancy services in Africa: Uganda, Kenya, Tanzania, Rwanda, Burundi, South Sudan, Malawi and South Africa. ■ Kennedy Ssejjemba, the Director for 3A has over 15 years experience in BDS provision and has worked with Truvalu.enterprises before. ■ 3A is a local partner in the EY Project and is a member of Impact Booster Consortium ■ 3A role in the EY project is to provide BDS for the 5 irrigation schemes ■ Different business cases will be identified and developed during implementation that will require BDS expertise from time to time as they emerge. The required expertise will be
under 3A
Why BDS is required?
■ The provision of financial support and training to agripreneurs is not enough, and does not ensure their future survival. ■ After start-up, agripreneurs must acquire a variety of business skills to run their
employees to acquire these non-core skills. ■ Agripreneurs require BDS support to develop the skills in-house, or to outsource to local providers. ■ BDS is advantageous in ensuring the survival, productivity, competitiveness and growth of agripreneurs
What BDS services will be offered?
Enterprise Management services
Marketing services
Human resource management
Technical/ production services
equipment/materials. Research and studies
How will the BDS be offered?
■ BDS will be offered as a bundled offering of related services and products. ■ BDS experts will be assigned to provide agripreneurs’ specific service/product needs e.g. providing information on market research and
■ The delivery of BDS services will be tailored to the requirements of the recipients. ■ Emphasis will be placed on promoting a culture of entrepreneurship. ■ Initiatives to promote mentoring and coaching will be undertaken. ■ BDS is hands-on in a one-on-one relation with the entrepreneur.
BDS Experts role.
■ Coach and mentor agripreneurs. ■ Identify broader factors, trends and influences that may impact agripreneurs and project objectives. ■ Gather and analyze information from diverse sources to provide solutions to agripreneurs. ■ Share information and assist agripreneurs to adapt to a changing environment. ■ Document and maintain records on BDS activities. ■ Ensure the adoption and implementation of specific business skills needed by the agripreneurs to grow their businesses.
Role of 3A strategic Management.
■ Recruit BDS experts and assign them to the EY project ■ Monitor and supervise activities of BDS Experts ■ Manage the BDS development budget and remunerate experts. ■ Document and maintain records on BDS activities. ■ Work with other consortium members when needed to implement project activities.
BDS Provision Team by 3A
BDS EXPERT BDS LEAD Benon Webare Kennedy Ssejjemba John Abaho Michael Kalungu Sylvia Mwesigwa Joseph Odumna
"The original BDS Experts are retained as was
we observed during inception period that different business cases will be identified and developed during implementation that will require different capacity and expertise from the available BDS Experts. Therefore, we propose that from time to time as these business cases emerge, we might require to outsource the required experts under 3A the mandated BDS Experts provider. The required expertise will be
process."
Fund Structure by AbB
Background
■ EYCF project is composed of two components: The training and mentoring program; and the fund management program. ■ The training program will select, train and mentor youth with startups who will be beneficiaries of the Investment fund to provide them with capital for their enterprises. ■ The Fund management program will evaluate the worthiness of the selected and trained 100 enterprises to whom the investment fund will be extended as a loan facility at low interest rates. ■ The fund management program will also ensure that the funds are repaid and a revolving fund is created that can be used to invest in new youth and women entrepreneurs at the end of the 24 month project.
Consultations
■ IMPACT Booster made consultations with the relevant stakeholders on how best to structure the Investment Fund under ENABLE Youth Program. The following institutions, with specific focus on the youth were consulted: ■ Bank of Uganda, Agriculture credit facility (ACF), Ministry of water and environments
component, Ministry of Finance (MFPED), Directorate of debt and cash Policy (Management), Ministry of Finance (MFPED), Private Sector Development Unit (PSDU), Ministry of Finance (MFPED, Enterprise Growth & Development. ■ Commercial banks; Post bank, Pride microfinance, Stanbic Bank, Centenary bank, Dfcu bank. ■ The Focus of consultation and discussion was majorly on issues to do with:
world with specific focus on ACP, Asia and Brazil.
Utilization of the Enable Youth Challenge Fund (EYCF):
Use of Loan Proceeds ■ Purchase of machinery and equipment ■ Purchase of inventory ■ Working capital loan Success Measurement ■ Financial impact : loan and interest fully repaid ■ Social impact : Start-up becomes commercially viable or is able to attract follow-up investment Initial Capital Outlay ■ Loan from EYCF ■ 10% in cash or in kind contribution from Agripreneur Loan Structure ■ Secured straight loan in UGX ■ Fixed assets or inventory as collateral ■ Interest rate of 5% - 10% p.a. (TBD) Loan Amount & Repayment ■ Maximum loan amount of US$ 8,000 (UGX 28m) ■ Maximum grace period of 6 months from drawdown ■ Maximum loan period 24 months Financing Costs (to Agripreneur) ■ Interest + principal repayment
Fund structure
■ The Investment funds (€700,000) will be deposited in a special account in Bank of Uganda administered by the Ministry of Water. ■ From there, the funds will be disbursed to agreed number of selected commercial banks with participating agreements. ■ The start-ups that are successful will access the funds through the selected commercial banks and through which they will also repay the funds. ■ The selected banks will pay interest on the deposited funds they hold(TBD) at a rate pre-negotiated with Ministry of Water and Environment and incorporated into the participating agreement. ■ At the end of the project, the accumulated repaid funds (minus potential losses, plus accrued interest) will be transferred back to the Government of Uganda through the Bank of Uganda account.
Investment Funds Flow
Summarized Fund Structure
Participating Commercial Banks
■ Commercial banks will disburse funds to the investees approved by Investment Committee (IC) and receive repayments, plus agreed on interest from the agripreneurs. ■ DFCU, Centenary, Stanbic, Post bank, and Pride Microfinance Ltd are widely known as Agri-financing institutions. However, agreed number of banks will be selected by the IC based on a criterion defined by the Fund Manager, which broadly includes the following:
access
■ The Fund Manager has designed the participating commercial bank agreements draft to be approved by the Investment Committee.
Bank sector Mapping
Investment committee composition
■ The investment committee (IC) as described in the ToR, will be made up of the government institutions / departments, private sector and the Consultant as Ex-official member. The investment Committee primarily will be responsible for the overall supervisory and oversight function. The IC will be composed of:
■ Note: Three members of the committee form a quorum. ■ The TOR for the Investment committee have been drafted by the Fund Manager and need approval by MWE.
Investment decision making.
■ All entrepreneurs participating in the Enable Youth Training Program will pitch to the Fund manager and a group of external investors. ■ Based on this pitch the Fund Manager selects the start-ups, which are invited to present their funding propositions to the Investment Committee. ■ 12 to 25 start-ups per round will be presented to the Investment committee. ■ The Fund manager supervised by the Fund Lead will prepare an advice in the form of an investment memorandum to the Investment committee. ■ Based on this advice, approved selection criteria and the funding proposition of the entrepreneur, the Investment committee takes a formal decision on whether a loan is granted and the amount of the loan.
Loan repayment
■ Repayment of the loan starts six months after disbursements of the loan, so the entrepreneur has time to build the business. ■ The repayments will be made through the commercial banks which were used by the investees to receive them (through approved modality: mobile digital system, bank account, etc.) as approved by IC. ■ The fund manager will monitor the repayment till the end of project. Because the program period has been decreased from four to three years, not all loans will have been repaid by the end of the program period. MWE will monitor the repayment of the loans after program period into its bank account. ■ To ensure repayments are made, a credit control system and a credit policy will be designed by the Fund Manager, and included in the Investment Memorandum for approval by IC.
Fund Monitoring
■ This function is overseen by the Investment Committee, but implemented by the Fund Manager. The Fund Manager will produce reports on a quarterly basis. These reports will include: ■ Loans system implemented to capture name of borrower, loan number, principal, interest rate, credit officer responsible, etc. ■ Monthly fund financial statements ■ Quarterly investment report to IC ■ Monthly loan reports ■ Monthly bank reconciliation ■ Fund Manager to conduct field visits to the Agripreneurs on a monthly basis ■ Tracking of planned revenue and costs versus actual revenue and costs of business
Appendices
Annex ix.1: Template: MOU between Ministry of water and Environment, commercial banks and the roles of each party in the disbursement and recovery of the investment fund Annex ix.2: Template: Investees’ financing agreement for approval by investment committee Annex ix.3: Template: Selection criteria for the youth to receive funding Annex ix.4: Template: TOR for the Investment Committee
Monitoring and Evaluation - MEL
The monitoring, evaluation and learning (MEL) framework for the Enable Youth program is designed to ensure appropriate and consistent monitoring by the Enable Youth program, to enhance accountability, and to facilitate knowledge sharing, communication of achievements and continuous reflection and improvement of the program.
The Approach will focus on 4 major aspects
surveys, either online or submitted in person, at the end of each accelerator round.
activities implemented by the Enable Youth program, pre- and post- surveys will be developed for the training packages, designed in close collaboration with the trainers and correlating with their key learning objectives.
the progress of the mentees, which will include information on their observed behaviours and behavioural change.
their progress in the final year of the program
MEL Matrix
Level Timing Respondents Data Source Tool Purpose Indicator Target Rolling Baseline Selection round 1 Participating youth and women Self-report qualitative and quantitative data Online and
application form. Select agriprenuers based on location (target areas) and entrepreneurship No of agriprenuers that meet the set selection criteria 250 Selection round 2 Participating youth and women Database Expert rating scorecard Assessment of practical skills No of agriprenuers with practical skills 200 Selection round 3 Participating youth and women Database Peer rating scorecard Empower youth and women to assess their peers, increase participation and
No of agriprenuers with good interpersonal skills 150 Trainers and mentors Database Expert rating scorecard Assessment of practical skills
Level Timing Respondents Data Source Tool Purpose Indicator Target Monitoring program activities Before and after training Participating youth and women Self-reports Pre and post KAP survey Capture changes in knowledge, attitudes and practices No of agriprenuers reporting changes in Knowledge, attitudes and practices 150 End of each accelerator round Participating youth and women Anonymous self-report Anonymous feedback forms Capture participants reflections on the process, teaching style, relevance of training, etc. to feed into programme learning No of agriprenuers filling in anonymous feedback reports At least 50% End of each accelerator round Key stakeholders Qualitative interview reports Semi-structur ed KIIs Provide key stakeholders with the
experiences, challenges, successes and recommendations, increase transparency, learning and facilitate knowledge sharing No of stakeholders interviewed 12 (As per inception report stakeholder matrix) End of implementat ion year Key stakeholders Qualitative interview reports Semi-structur ed KIIs To give stakeholders the
experiences, challenges, successes and recommendations No of stakeholders interviewed 60 End- of each accelerator round Mentors Narrative reports Diary format survey Enable mentors to reflect on changes observed among the participating women and youth No of Mentors participating in the survey at least 50% (5)
Level Timing Respond ents Data Source Tool Purpose Indicator Target Ongoing monitoring After funds disbursed Fund Manager Financial monitoring on disbursements and repayments Financial disbursements monitoring tool Ensure funds are disbursed to the rightful beneficiaries nd at the right time No of agripreneurs receiving disbursements No of agriprenuers repaying promptly 90