The Graça Machel Trust’s Investment Team held three entrepreneur roundtables in June, August and November 2021. These sessions pulled together over 33 entrepreneurs from South Africa, Kenya, Zambia, Malawi, Rwanda, Uganda and Tanzania. Different business sectors, including Agribusiness, Agro-processing, Manufacturing, Renewable Energy, Education, Financial Services, Construction, Health, Technology, Transport, Creative and Mining, attended the sessions. The discussions helped gain valuable insights on women’s experiences and challenges when trying to grow their business during COVID-19, including funding access and support. Highlights on expectations around due diligence and how entrepreneurs can better prepare themselves for funding were explored.
These roundtables are critical for relationship building with entrepreneurs as they form part of the Trust’s pipeline development efforts. In addition, they engage entrepreneurs in various discussions that highlight their particular needs to inform the Trust’s design of a responsive solution.
Riding on the success of the inaugural Entrepreneur Roundtable on June 3, 2021, the second GMT Entrepreneur Roundtable: Understanding the Fundraising Journey – An Entrepreneur and Investor Perspective was hosted virtually on Zoom on August 5, 2021. Led by Andia Chakava, Investment Director, Korkor Cudjoe, Women Creating Wealth Technical Advisor, and Jane Muia, Investment Analyst at GMT, the session engaged entrepreneurs in various discussions that highlighted their particular needs will inform the design of a responsive solution by the Trust.
They looked at fundraising from the entrepreneur and investor journey perspectives, reflecting on entrepreneurs’ experiences growing their business during COVID-19, funding access, including challenges faced, and the type of support required. Discussions highlighted the expectations around due diligence and how entrepreneurs can better prepare themselves for the process. GMT’s fund strategy and investor readiness support to businesses were also shared alongside the different types of capital available to allow entrepreneurs to assess their suitability.
Kgomotso Malope, MotSO Designed, South Africa
“We do interior design and manufacture wallpaper. A month before the pandemic hit, we moved from a big warehouse to my house and worked in a double garage. (This was so we can save on rental money and use that money saved to rent retail space for our wallpaper and other decorative accessories). This relocation enabled us to save and keep our doors open, not retrench any staff, and we pivoted into printing covid Branding material.
The move made me realise that we don’t need a huge space (large warehouse) to work. We also started selling our wallpaper online, and most of our sales are online sales.
Before Women Creating Wealth , I hadn’t attended any entrepreneurial training. What I need most and would value would be the financial side of the business. Also, these training sessions indirectly offer opportunities to network with fellow attendees. I have done a lot of business with ladies I met through the program”
– Kgomotso Malope, MotSO Designed, South Africa
The event also aimed at relationship building with entrepreneurs as part of GMTs pipeline development efforts. The Entrepreneurs were called upon to make commitments towards driving this initiative of a gender lens investment vehicle designed by African women for African women in partnership with the Trust. They made commitments towards getting their businesses ready for funding and being GMT’s ambassadors for the gender lens investment fund. Nine women entrepreneurs from 4 countries (South Africa, Kenya, Zambia and Malawi) participated.
Key Highlights from the speakers:
- Women entrepreneurs continued to show much resilience despite challenges faced during the COVID pandemic. They responded effectively by reviewing their products and pivoting by providing online services, creating a new product, repackaging their products, or scaling down appropriately. As a result, some are going beyond survival to making an impact within their communities.
- Entrepreneurs are looking for technical assistance (TA) programs that provide access to market and market linkages, partnerships and networking opportunities, and skill-building and investor readiness support.
- Lack of Trust, limited knowledge of investors and their products and lack of confidence are some of the challenges towards funding that entrepreneurs continue to face.
- Need for investor education for women entrepreneurs. This should cover different forms of capital, capital providers, and suitability for their businesses before embarking on the fundraising journey and shed light on changes women entrepreneurs should be prepared to deal with when certain investors come on board.
- Women entrepreneurs got a much-needed confidence boost and encouragement to never sell themselves short, avoid the imposter syndrome trap, and overcome fear in accessing the capital their businesses need to grow.
- Through this convening, it was encouraging to see that entrepreneurs are still committed to being GMT’s ambassadors for the gender lens investment fund and expressed willingness to share the opportunity with their networks.
This article was compiled by Andia Chakava the Investment Director, Korkor Cudjoe the WCW Technical Lead, and Jane Muia the Investment Analyst at the Graça Machel Trust.
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