Small  Business Support

Helping people to be able to sustain and improve their livelihood is an important part of our work in Kibera. Many people try to make a living by running small businesses and therefore providing small business support is a way we can help people to improve their quality of life. Two of the key problems are a lack of capital to start or build the business and lack of business training. To help address these issues we have established a Micro Enterprise Development programme. Support comes in the form of a modest Micro Enterprise seed fund, administered by a local committee of volunteers providing small business loans to set up or expand local small businesses. In addition to this, we provide small business development training and support. The initiative is registered with the Kenyan government as a community-based organisation (CBO) under the name of New Community 2019 Micro Finance.

Living Waters Social Enterprises charity works alongside NC Kibera projects to seek funding to support small business and capital projects and promote fundraising.

Some of our micro-enterprise loan beneficiaries

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Chips and samosas

Florence established her business on Kibera Drive with an initial 5,000 KES loan and ran into difficulty when the price of potatoes rose and she stopped making a profit. She diversified into making samosas, and was supported with a further loan once the price of potatoes fell again to buy more potatoes which is a high ticket item for the size of business. A sack of potatoes will typically last 3 days. Now the business is selling both chips and samosas in equal quantities.

Small business video training

In 2019 the global Covid pandemic restricted travel and in response, the focus of our interaction with our partners in Kenya became increasingly on-line. Born out of a need to provide small business training, initially for young people graduating from the twelve-step narcotics restoration programme, we developed a training course to help to establish and expand small businesses that are the heartbeat of the local economy.

As we've gained experience, we have made the course more generic so that it can be re-used in different settings. The material is available here for download and use.

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Coordination

Kenya Committee

This project would not exist today were it not for the energy, drive, enthusiasm, and wisdom of the local committee in Kibera. Each one with a passion to see positive changes in their community.

 

All are successful business people in their own right who are able not only to manage the MED loan fund but provide help and encouragement to those requesting business loans and also build the local small business community by organising regular training and networking events. There is a real wealth of practical experience within the local community. The committee is helping to unlock that business potential.

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Our local committee comprises:

From left to right:

William Mbuvi (member)

Mark Tizodi (member)

Benjamin Muthoka (transitional member and previous chair)

Ann Ndaka (chair)

Jane Chepkerin (treasurer)

Billy Rogo (hon secretary)

Gerson Amimo (member, not shown)

UK Support

Our team from the UK includes volunteers from different business streams with a range of skills and experience.

Neil Moore leads the Small Business Development work, helping initially to establish the micro-enterprise loan scheme, and now provides ongoing business support and training. Now semi-retired following a varied career in IT, he is able to focus more energy on the NC Kibera projects. Neil lives in Southampton with Hilary his wife and has two grown-up children, Sam and Anna.

Chris Romilly is a Chartered Engineer and consultant, with over 17 years experience of Digital TV Broadcast Networks plus contract management and design positions. He was part of the team that initiated the micro-enterprise loan project, visits Kibera regularly, and has set up the Living Waters Social Enterprises UK charity. Living in Southampton and married to Carol, he has two grown-up children.

Small Business Training

In 2019 the global Covid pandemic restricted travel and in response, the focus of our interaction with our partners in Kenya became increasingly on-line. Born out of a need to provide small business training, initially for young people graduating from the twelve-step narcotics restoration programme, we have developed this training course to help to establish and expand small businesses that are the heartbeat of the local economy. Each week a group of 6 - 12 young people have met with a facilitator to watch the short video lesson, discuss the contents and then work through the exercises. Answers to exercises and questions for the tutor have been posted on the group's WhartsApp chat wall.

As we've gained experience, we have made the course more generic so that it can be be re-used in different settings. The material is available here for download and use.

182994054_292437225791302_62153756385390

1. Introduction

  1. Presenter introduction.

  2. How the series will work (10-15 minute video followed by discussion/exercise then post results on WhatsApp).

  3. Objectives of the overall training.

  4. Objectives of THIS video session.

  5. First Topic: Business benefits and risk

    1. Why have a business (what do you want to achieve)?

    2. Decide on the type of business (eg. selling products or selling services).

    3. Start small (that doesn’t mean it has to stay small).

    4. Think about the advantages and disadvantages of owning your own business (as opposed to working for someone else).

    5. Think about businesses you could run and think about the advantages and disadvantages of each.

2. Getting started

  1. Re-cap on the learning from last time.

    1. Understanding the advantages and disadvantages of owning your own business

    2. Understanding the advantages and disadvantages of different businesses.

    3. Selecting a business you could do.

  2. This session will start to focus on real, practical businesses.

  3. Consider what kinds of businesses participants could start with, (sales or service).

  4. Start small.

  5. Understand the cost of setting up the business.

  6. Understand when a proposed business is not feasible.

  7. Next time we’ll look at how to keep the business running.

3. Start-up, income and expenditure

  1. Review exercises from the last session and comment.

  2. Re-cap on the learning from last time.

  3. Choose a real business to start.

  4. State what is needed and how much it will cost to start a real business.

  5. Confirm that the chosen business is viable because the required resources and money are, or will be available.

  6. The last session focused on getting started and the next few sessions will focus on managing money to keep the business going.

  7. Analysis of start-up costs.

  8. Income and expenditure.

  9. Profit calculation.

  10. Is the business viable? (income greater than expenditure?).

Video (uncompressed)

4. Managing money

  1. Re-cap on the learning from last time.

  2. Analysis of start-up costs.

  3. Income and expenditure.

  4. Why it is important to manage business money properly. 

  5. A model for managing money.

  6. Explain different money pots.

  7. Work through money pots for three business examples - Poultry, Milk ATM and Selling mango pots.

5. Balance sheets

  1. Re-cap on the learning from last time.

  2. Managing money.

  3. Different “money pots” for specific things.

  4. Saving for infrequent items and business growth.

  5. Introduce the balance sheet.

  6. Complete the balance sheet for the example business using the estimates from previous sessions.

6. Managing risk

  1. Re-cap on the learning from last time - balance sheets.

  2. Introduce identifying risk.

  3. Introduce mitigating risk

  4. Introduce the risk analysis example.

  5. Introduce the risk analysis exercise.

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Video (uncompressed)

7. The business plan

  1. Re-cap on the learning from last time - managing risk.

  2. The key to managing risk is planning ahead. This is the whole point of the business plan.

  3. The business plan draws together everything we’ve covered so far into one place.

  4. Introduce the business plan template.

  5. Introduce the exercise.

8. Unique selling point

  1. Re-cap on the learning from the previous week including the 5 golden rules of presenting.

  2. Today will cover the unique selling point.

  3. Introduce the term and how companies can use straplines to reinforce their USP.

  4. Consider some well-known straplines and USPs.

  5. Consider a strapline and USP for your business.

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Video (uncompressed)

9. Growing the business (part 1)

  1. Re-cap on the learning from the previous week.

  2. The next three week’s sessions will work towards writing a proposal to grow the business that could be used for a loan application.

  3. This week focuses on reporting the financial health of the current business.

  4. Consider what factors would persuade a loan company to lend money.

  5. Write a balance sheet for actual income and expenditure.

  6. Consider reporting existing savings to support a loan proposal.

Video (compressed)

Video (uncompressed)

10. Growing the business (part 2)

  1. Re-cap on the learning from the previous week.

  2. Today and next week’s session will continue to work towards writing a proposal to grow the business that could be used for a loan application.

  3. This week focuses on writing an EXPECTED balance sheet and calculating the return on investment.

  4. Consider what the impact of weekly loan repayments would be on your (expected) balance sheet.

  5. Using the total loan value and the weekly loan payments, calculate the return on investment.

  6. Understanding what the R.O.I. means.

  7. Working through the estimated balance sheet and R.O.I. with an example (juice sales).

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Video (uncompressed)

11. Growing the business (part 3)

  1. Re-cap on the learning from the previous two weeks.

  2. Today will cover puting the proposal together into one document.

  3. Overview of the parts of the proposal, then in-depth look at:

  4. Business details

  5. Loan purpose and value - how it will benefit the business

  6. Current business - actual balance sheet

  7. Future business - expected balance sheet

  8. Return on investment and repayment period

  9. What have we learned?

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Video (uncompressed)

12. Business proposal presentations

  1. Re-cap on the learning from the previous three weeks.

  2. Today will cover presenting the proposal.

  3. Introduce “Dragon’s Den” TV show where entrepreneurs pitch to investors (dragons).

  4. Five golden rules of presenting.

  5. Introduce the exercise.

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Video (uncompressed)