Deadline: 22-Mar-24
The International Labour Organization (ILO) under the PROSPECTS program has launched a business plan competition to help refugees and host communities to start and develop small businesses in Alemwach, Ethiopia.
The implementing partner will be responsible for supporting the preparation, organization, and implementation of the BPC.
The Business plan competition (BPC) will aim to provide a selected number of refugees and host communities with technical, financial and non-financial support to start and develop small businesses as well as income-generating activities with the potential to create job opportunities also for other refugees and hosts. The BPC is open to both communities, but quotas will ensure that a minimum number of refugee businesses will be selected. Collaborations and joint ventures between refugees and host communities including in the form of cooperatives and joint ventures are highly encouraged to promote social cohesion amongst both groups.
Objectives
- Provide refugees and vulnerable host communities with immediate and direct financial and nonfinancial support that is needed to start and develop income-generating activities that have the potential to create jobs in and around Alemwach.
- Provide entrepreneurship, business management, financial literacy and technical capacity building for a selection of refugees and host community members participating in the business plan competition through the provision of upskilling and reskilling trainings based on the needs assessment developed during the competition.
- Link refugees and host community members with financial services providers to raise awareness about the business potential that represents this new market segment, support reducing the perceived risk by financial services providers and provide an outlet for refugees and host communities to trust and be more confident towards the financial sector.
- Demonstrate the viability of successful business creation and development by refugees to BDS and financial services providers as well as private sector actors that might be reluctant to see refugee settlements as a viable market for service provision.
- Engage selected public and private partner organizations including BDS and financial service providers, Dabat TVET college, Dabat Woreda Agricultural Office, – Dabat woreda local economic and development and job creation bureau, and LED offices as private sector associations in the organization of the competition in a way that encourages networking and exchanges, as well as paving the way for further action to build capacities and improve coordination among public and private stakeholders.
Competition Phases
- The BPC will be organized in different phases with different types of support and technical assistance being provided at different stages, as follows:
- Phase 1: Co-design the concept for a BPC with the ILO and key partners
- The implementing partner will work closely with the ILO and partners or/and steering committee to consolidate a concept and work plan for the BPC and ensure that it is context specific. The ILO has initial drafts of a concept and work plan, and the implementing partner will review this draft, propose changes if need, and use the work plan as a joint working document throughout the implementation of the BPC. In the design of the BPC, the implementing partner should ensure that the focus remains on both refugees and host communities.
- Phase 2: Launch, sensitization, and support to business idea development
- This initial phase will focus on the official launch and spreading of information regarding the business plan competition. It is important that all potentially interested and eligible participants have a clear idea of the process and requirements to maximize its potential impact. To this end, at least one large ‘launch workshop’ should be held to spread information. Additionally, a marketing campaign involving flyers, posters and social media posts shall be launched to spread the information.
- Phase 3: Submission and evaluation of ‘project ideas’
- Making use of the results of brainstorming sessions and GYB training, the participants can then submit their business ideas. A template form to be filled in will be provided to all interested participants. These initial business ideas will then be analyzed by a jury of experts and 70-120 project ideas will be selected. A minimum of 40% of selected ideas will need to involve at least one refugee as part of the business team, and a minimum of 30% of refugee, host community or joint business each will need to be led by women.
- Phase 4: Support to business plan development and financial management
- Under this phase, the 50-100 project ideas selected will receive further support to develop solid and welldetailed business plans based on their business ideas. To this end, participants will benefit from ‘Start your Business (SYB) trainings during which they will be taken through the process of business plan development by expert trainers. Additionally, participants will benefit from the ILO Financial Education training, adapted to the needs of refugees and host communities in Ethiopia, to build their capacity and help them optimally manage household and small business finances.
- Phase 5: Submission of business plans
- Building on the received support, the 70-120 participants can now submit their full-fledge business plans to the jury of experts. The jury of experts will select 50-60 winning business plans. The selection will be based on a range of criteria including number of jobs that can be created, feasibility of the project idea, degree of innovation of the project idea and quality of the business plan. At least 40% out of the 30-40 business plans selected shall include refugees, and at least 30% shall include women.
- Phase 6: Announcement of winners and prices
- The winning business plans will now be announced and receive their prizes. All winners will be part of a continuous support programme that includes individual coaching and counselling sessions as well as ‘Improve your Business (IYB)’ training to strengthen business management skills, and further technical skills training to strengthen technical skills as needed.
- Additionally, the winners will receive a financial contribution (to be determined in the co creation phase of the project). All winners will be connected to financial services providers and receive support to facilitate access to adequate loan products, adapted to their socio-economic situation in terms of loan sizes, loan term, interest rate, collateral requested, KYC documents, etc., to support them in financing the remainder of the required start-up capital.
- Phase 6: Provide ongoing technical support and conduct
- M&E The Implementing Partner will continue to facilitate access to needed business development and financial services, including through the provision of coaching and other forms of post-training support to the winners of the BPC. The Implementing Partner will also conduct monitoring and evaluation, collecting information on business growth and impact in terms of jobs created and/or improved as a result of the interventions and collect lessons learned and success stories, in close collaboration with the ILO.
- Phase 1: Co-design the concept for a BPC with the ILO and key partners
Eligibility Criteria
- Registered CSO/non-profit organization including government institutions.
For more information, visit International Labor Organization.