Deadline: 04-Aug-2025
Enabel seeks to select a not-for-profit organisation that will design and manage a subsidy fund that will support micro, small and medium enterprises in Kigoma region to access entrepreneurial finance.
The selected organisation will receive a grant to establish an MSME subsidy fund that will work in complementarity with the other intervention pillars of the Wezesha Binti project.
Objectives
- The general objective of this Call for Proposals is to create an improved business environment in which strengthened value chains and enterprises offer decent and green job opportunities to youth, specifically young women.
- The action which is the subject of this Call for Proposals has the following specific objectives:
- To improve youth and female-owned business access to entrepreneurial finance so that they can start and grow their businesses leading to the creation of decent and green employment.
Sectors or Themes
- This call focuses on the provision of blended financial support to micro, small and medium enterprises who fall within the Wezesha Binti project target groups. The focus of this call is the MSME fund which will provide early-stage financing to entrepreneurs who will have passed the Wezesha Binti project pre-qualification processes. The priority sectors in which the beneficiary enterprises will operate are agriculture, aquaculture, information and communication technology (ICT) and cultural sectors. Broadly, the fund shall also support entrepreneurs that are in the green and circular economy.
Funding Information
- The total indicative amount available under this Call for Proposals is 560.000 EUR. The contracting authority reserves the right not to award all of the available funds.
- Any grant application under this Call for Proposals must fall between the following minimum and maximum amounts:
- Minimum amount: EUR 460,000
- Maximum amount: EUR 560,000
- Duration:
- The initial planned duration of an action may not be less than 24 months or exceed 30 months.
Eligible Costs
- Only “eligible costs” may be covered by grants. The types of eligible and ineligible costs are indicated below. The budget is both an estimate of costs and an overall cap on “eligible costs”.
- The reimbursement of eligible costs may be based on one of the following formats, or any combination of these: – direct costs (management costs and operational costs) actually borne by the contractingbeneficiary.
- Structure costs (overheads): these are maximum 5% of the Operational Costs.
- The applicable rate for structure costs will be calculated beforehand by Enabel based on the analysis of the balance sheet of the contracting beneficiary. Enabel may also use an external organization to estimate this rate.
- Once the rate is accepted, the structure of costs are fixed and do not need to be justified.
- Structure costs will be paid during the execution of the grant on the basis of actual operational eligible expenses accepted by Enabel.
Ineligible Costs
- The following costs shall not be eligible:
- Accounting entries not leading to payments;
- Provisions for liabilities and charges, losses, debts or possible future debts;
- Debts and debit interests;
- Doubtful debts;
- Currency exchange losses;
- Loans to third parties;
- Guarantees and securities
- Costs already financed by another grant;
- Invoices made out by other organisations for goods and services already subsidised;
- Subcontracting by means of service or consultancy contracts to personnel members, Board members or General Assembly members of the organisation subsidised;
- Any sub-letting to oneself.
- Purchases of land or buildings
- Compensation for damage falling under the civil liability of the organisation;
- Employment termination compensation for the term of notice not performed;
- Purchase of alcoholic beverages, tobacco and derived products thereof.
- Salary bonuses
Target Groups
- Direct Beneficiaries:
- The direct beneficiaries of the MSME subsidy fund are youth and women-owned enterprises that are at various stages of the entrepreneurial life cycle.
- Indirect beneficiaries:
- Indirect beneficiaries of this grant are lead (anchor) firms and employers who will be eligible for support linked to improving work facilities to make them more inclusive and conducive for female employees.
Geographical Coverage
- The geographical scope of this grant action covers the whole of Kigoma region but with a particular focus on Kigoma Municipality, Kigoma DC, Kibondo DC, Buhigwe DC, Kasulu Town Council and Kasulu DC.
Eligibility Criteria
- Applicant:
- To be admissible for grants, the applicant must satisfy the following conditions:
- be a legal person; and
- be a national or international non-government Organization or foundation that has experience in providing financial services to micro, small and medium enterprises in Tanzania
- be established or represented in the United Republic of Tanzania; and
- be directly responsible for the preparation and management of the action and not be acting as an intermediary: and
- Have demonstrated experience in providing financial literacy and managing loan or small grant disbursements to youth and female-owned MSME clients
- Must have a demonstrated track record of developing financial ecosystems for entrepreneurs, and experience in de-risking early-stage and growth financing for MSMEs.
- Have an active Bank Account for the past 24 months; and
- Must have in-house financial capacity and experience for assessing MSME funding requirements, disbursing funds and providing post-investment follow-up and support.
- To be admissible for grants, the applicant must satisfy the following conditions:
For more information, visit Enabel.
