Business Development Gateway 1 Business Development Gateway Presentation

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Business Development Gateway 1

Business Development Gateway 1

Business Development Gateway Presentation on BDG Poverty Policy Week Made at J. K. Nyerere

Business Development Gateway Presentation on BDG Poverty Policy Week Made at J. K. Nyerere Hall Wednesday 27, November 2013 2

Business Development Gateway TPSF IN BRIEF • Established 4 th November 1998 • To

Business Development Gateway TPSF IN BRIEF • Established 4 th November 1998 • To advocate and seek change in public policy for better business environment • Has 500 members organised in 11 economic clusters • Promotes Private Sector Development • Now pushing for empowerment of local businesses • Implemented cluster 2 of PSCP 3

Business Development Gateway Background to BDG Programme • Part of PSCP of GOT programme

Business Development Gateway Background to BDG Programme • Part of PSCP of GOT programme to realise Enterprise Development as per NSGRP (MKUKUTA) • Implemented on behalf of GOT by Tanzania Private Sector Foundation (TPSF) • Four (4) years programme funded by IDA Credit (2008 -10), and by DFID (2010 -13) • Covers all 26 regions of URT 4

Business Development Gateway BDG Objectives were • To inculcate entrepreneurship culture to participants •

Business Development Gateway BDG Objectives were • To inculcate entrepreneurship culture to participants • To teach participants essentials of writing a BP • To teach participants benefits of formalising business • To teach marketing, Production and Biz records • To increase business income of participants • To create employment • To reduce income poverty 5

Business Development Gateway 6

Business Development Gateway 6

Business Development Gateway BDG (Business Development Gateway) BPC (Business Plan Competition) BDP (Business Diagnostic

Business Development Gateway BDG (Business Development Gateway) BPC (Business Plan Competition) BDP (Business Diagnostic Programme) Mafunzo na uwezeshaji 7

Business Development Gateway Programme Implementation • Identification of Partners (SIDO, ZNCCIA, NMB, PBZ, TCCIA)

Business Development Gateway Programme Implementation • Identification of Partners (SIDO, ZNCCIA, NMB, PBZ, TCCIA) • Train technical partners (SIDO, ZNCCIA, Business Advisors) • High level programme launch – Kilimanjaro Hotel • Countrywide promotion (TVs, Radios, Newspapers, road shows) • Competitive application with deadlines – business like • Personal participation – no representation, no excuses • Build Competences (train, test, inspect, advice) • Reward HARD WORK (grants, follow up) • Aftercare Services – Business Clubs 8

Business Development Gateway Programme Results - SMEs • Over 33, 000 applications in four

Business Development Gateway Programme Results - SMEs • Over 33, 000 applications in four years • Over 9, 200 trained in practical business development • TZS 20 bn disbursed in seed grants in 4 years • 6, 000 Winners awarded SEED grants • 42% women, 40% youth participants • 85% formalised, 40% created jobs in first year • 82% increased incomes, 80% increased profits • 142 BDSPs trained on Innovation and 9

Business Development Gateway Programme Results – Partners • TPSF known in all parts of

Business Development Gateway Programme Results – Partners • TPSF known in all parts of the country • TCCIA – Promotion and member recruitment • ZNCCIA – Promotion and member recruitment • SIDO – Promotion, training, assessing, records custody • NMB Bank - Has developed special loan for BDG • PBZ, Zanzibar - Developing special loan for BDG • ZIFA – Training • COSTECH – Promotion and recruitment of clients • TIC – Promotion and integration 10

Business Development Gateway Why establish and support TECC (I) • Successor institution to BDG

Business Development Gateway Why establish and support TECC (I) • Successor institution to BDG and CCP • Evident need for an institution with practical focus on Enhancing Innovation and Enterprise Competitiveness (BDG & CCP experience) • Time to think of innovative approaches to SMEs interventions (going beyond the current equation) IDEA+TRAINING+SEED MONEY=SUCCESS • Evident cases of potential medium-large scale industrialists 11

Business Development Gateway Why establish and support TECC (II) • Many more SMEs need

Business Development Gateway Why establish and support TECC (II) • Many more SMEs need skills (3. 1 m in 2012 survey) • Scale-up After Care Services for BDG & CCP Alumni • Business to Business Linkage (investment, markets) • Business Growth Support (BDS, Finance, Incubation) • Focus on Innovation and Competitiveness • Capacity Building of BMOs, BDSPs, LGAs • Training Cluster Initiative Facilitators • Resources for growth finance , risk capital, innovation 12

Business Development Gateway Conclusions • TPSF has demonstrated capability to supervise • BDG programme

Business Development Gateway Conclusions • TPSF has demonstrated capability to supervise • BDG programme has effected changes to businesses • BDG programme brings positive results in lives • Sales, Incomes, Employment, Taxes, Confidence • BDG programme has just shown a way, more is needed • Build capacity for innovation and competitiveness • Build capacity to access business growth resources • Business Finance, Business Services • Mentoring and handholding • Train BDSPs and LGAs on innovation and competitiveness • Tanzania need all support it can get to become competitive 13

Business Development Gateway Young Beneficiaries Harieth Kaduma in Mtwara, aged 24 years. Prior to

Business Development Gateway Young Beneficiaries Harieth Kaduma in Mtwara, aged 24 years. Prior to joining BDG she had one old sewing machine which she worked with on a veranda in front of someone’s shop. She did not have many clients because she was not trusted and had no capital to buy materials. She participated in BDP and went through to stage three and won TZS 2. 4 million grant. With the grant she bought several manual and electrical sewing machines, 2 over-lock machines and embroidery machine. She is now renting better premises in a commercial area, employs 2 full time tailors and trains an average of 4 girls every 6 months. As a result she can now receive large orders and sufficient raw materials. 14

Business Development Gateway More Beneficiaries 15

Business Development Gateway More Beneficiaries 15

Business Development Gateway ENDS Thank You for your time & Contributions Godfrey Simbeye Executive

Business Development Gateway ENDS Thank You for your time & Contributions Godfrey Simbeye Executive Director TPSF – Voice of the Private Sector! 16