The Accelerator Magazine - 1st version by The Accelerator Magazine

THE

January 2015

ACCELERATOR

Magazine

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Discover the entrepreneurial superstars of Rwanda

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Accelerating Rwanda’s entrepreneurs towards greatness The private sector is the engine of growth in any society; in Rwanda and Denmark, from Singapore to California. When I came to Rwanda and started Educat more than six years ago, it was with the aim to play my part in boosting the private sector engine; to create jobs and reduce poverty through the power of business. Private sector growth requires innovative, forward-thinking and ambitious entrepreneurs driven by the will to see their ideas succeed. Being an entrepreneur is not for everyone. It requires an incredible determination and will power, it requires skills and a delicate interpersonal understanding and the ability to overcome the many challenges that appear on the path to success. It requires a distinct DNA and mindset that few people have and most aspire to. The high potential entrepreneurs of tomorrow need to be identified and empowered through access to finance and required expertise, mentorship and coaching. Through this combination of visionary, hard-working entrepreneurs and strong support systems we will see long-lasting, sustainable impact through job creation and entrepreneurship development. The Accelerator Magazine showcases the vibrant and dynamic Rwandan entrepreneurial eco-system with special focus on the ideas and dreams behind the businesses we see on the market today. This magazine is also an ode of appreciation to institutions, stakeholders and initiatives that have been put in place to support entrepreneurs through different platforms and approaches. However, neglecting the challenges 2 • The Accelerator Magazine

The Accelerator Magazine Published by Educat

Chief Editor

and frustrations of entrepreneurship would be undermining the journey, and through the magazine we also see that although much has been achieved there is still room to become even better. By exploring and discussing business development and entrepreneurship from all possible angles we hope to spark dialogue across the entire field and contribute to a higher quality entrepreneurship ecosystem built on a foundation of impact and innovation.

Johanne Højbjerg Møller, Pow-Wow Communications powwowcommunications@gmail.com

Co-editor Denise Museminali Design & Layout Francisco Sanches Photographers Head Photographer: Alex Niragira alexniragira@gmail.com

Before I leave you to enjoy the magazine, I would like to direct your attention to Educat’s newest initiative: A private company offering corporate services to boost the private sector and business environment in Rwanda even further. The new initiative will be launched on January 30th in partnership with British Council, and you can find more information about it on our website www.educat.dk

Blue Monday Francisco Sanches Lasse Helbo Staahlnacke Tom Gilks

Finally, I close this message by thanking all that contributed to bringing this magazine from concept to implementation. A special thank you to The Swedish Embassy for their support to Educat. We look forward to continue our strong partnership in the future. I further extend my deepest gratitude to all the organisations that work tirelessly to see entrepreneurs strive in Rwanda and beyond. When we all work to keep the engine going, there is no limit to where we can go.

Apollo Munanura Richard Ellis Pamela Connell Richmond Runanira Kevin Thierry Gatete

Andreas Nørlem CEO & Founder of Educat

Writers Denise Museminali Ibithal Arafat Kevine Lilliane Ikirezi Lasse Helbo Staahlnacke External contributors

Marketing Consultant Exclusive Media Ltd Printed by Kalaos Media Visit www.educat.dk for the digital copy of The Accelerator Magazine and Educat’s Facebook page to participate in competitions and get updates on Educat’s work.

Contents

CREATE A MARKETING CAMPAIGN AND WIN 500,000 RWF

Crave: The Dream of Local Liquor

Celebrating Rwanda’s Entrepreneurial Superstars

Cephas Nshimyumuremyi – Chemistry Teacher and Super Entrepreneur

12 Competition: create a marketing campaign and win 500,000 Rwf 13 Spotlight: Hervé aims for the best sausages in Rwanda

14 The Office: Collaboration, Creativity, Community 16 Joint Forces in the Battle Against Unemployment 18 Changing Minds: boosting the entrepreneurial spirit among youth 21 Spotlight: Irenne’s Business Dream is Carved in Wood 23 Innovative and Sustainable Entrepreneurship Development 25 Amani Takes Fish Flavour to the Next Level 27 Take the Lead on Your Finances

28 Business and Entrepreneurship, A Cultural Revolution 32 The Legacy Continues 34 Spotlight: Richard makes photography count in Rwanda 35 Setting the Trend in Rwandan Media: The Journey of Igihe 36 You Come to Rwanda and There Is Inspiration Everywhere 38 Ignite Fund: The Impact Investment Vehicle 41 Let’s Talk About Impact 42 HeHe – Breaking Boundaries through Technology 44 Spotlight: Henri and The Sun Will Charge Your Phone 45 Rwandan Government Connekts With Young Innovators 46 So, You Want to be An Entrepreneur? 48 Get Quized!

©AlexNiragira

Crave: The Dream of Local Liquor Charles Muhizi Desmarais is a man on a mission: With his company Crave Liquor, which produces highquality Rwandan gin and vodka, he aims to woo the international market – and the Rwandan consumer It all started three years ago when Charles Muhizi Desmarais was on vacation in Rwanda from his home in Canada. He noticed that all the alcohol on the shelves in Kigali was imported. “I wondered, why doesn’t Rwanda have its own alcohol brand? I saw a gap in the market and thought this could be a great idea; making Rwandan liquor,” Charles explains. Charles Muhizi Desmarais, who is half Rwandese, half Canadian, left his business in Montreal and moved to Rwanda to pursue his alcohol business. Today, three years later, Crave Liquor Limited is ready to go into production. Their first product Wangu, which is pineapple and passion flavoured gin in 100 ml bottles, is ready to hit the shelves in Rwanda by early 2015. A long journey Initially, Charles and his partners, Tamon Oshimo and Oscar Karangwa had hoped to be in production 4 • The Accelerator Magazine

within the first year of starting up, but the process turned out to be more complicated than expected. “Going into production requires a lot of standards in terms of hygiene, equipment, building facilities and so on. We had to change a lot of things to live up to the newest regulations before the authorities would approve us. I think they must have visited us at least a dozen times”, Charles explains while giving a tour of his production facility in Kininya on the outskirts of Kigali. Crave’s first line of products, Wangu Gin, is packed in small plastic bottles, and just as Charles had ordered hundreds of thousands of the bottles earlier this year, plastic bottles were banned in Rwanda from 2015. “From an environmental point of view it makes a lot of sense to ban plastic bottles. We were just not prepared for it, so it came as a big surprise and was definitely a big

set-back. But we’re back on track now”, Charles says. Promoting Rwanda Up until now, Charles and his partners have invested 200,000 US Dollars in Crave; building the factory, importing machines from China, buying equipment and training staff. Despite challenges, delays, and more expenses than expected, the three guys behind Crave have a bigger drive than ever. The dream of making Rwanda’s owns high-

©AlexNiragira

quality alcohol brand that can gain international recognition is what keeps them going. “It is important for Rwanda to have our own local products. First of all it contributes to the economy through job creation and tax revenue. Furthermore I believe it’s an identity thing. We want to produce local products; from Rwanda for Rwandans – but also something that can be sold outside of the country.” Towards self-sufficiency Surrounding Crave’s factory are five hectares of land, where Charles and his team are planning to grow their own crops to use in production of Crave’s three products, Wangu, Fly Gin and Crave Vodka. As of now, Charles buys the pure spirit from Uganda and mixes it with the rest of the ingredients in their factory, but soon they will be growing and producing all the ingredients locally.

“We are going to plant potatoes and corn to use to distil our own alcohol, and we will use pineapple, passion fruit and chili to flavour our products”, Charles explains. By growing, producing, and packaging everything locally, Crave wants to show that high-quality products with an international appeal can be generated in Rwanda. “Often, African products are not associated with high quality on the international market. We want to change that with Crave, introducing a high-quality and affordable product reflecting Rwanda.” Dreaming Big Despite being a young company and only just getting ready to enter the market, Charles and his team have high ambitions for the future. “Right now we are focusing on reaching the Rwandan market with Wangu, which is only 300

Rwf per bottle. Next year we hope to start exporting our more exclusive products, Fly Gin and Crave Vodka to the rest of Africa, and on a more long-term scale to set up distribution in Europe and North America. Imagine going into a bar in Montreal and order a Rwandan Crave drink!” Today Crave has eight employees and plans to have at least 20 by mid-2015. Charles plans to stay in Rwanda and expand his business even further, creating more jobs and a bigger brand. Rwanda has become his passion, and despite the challenges he has faced in the process of starting Crave, his enthusiasm for doing business in Rwanda overshadows them. “There are enormous possibilities in Rwanda. What keeps me encouraged is to know that even with all the regulations and the challenges we have faced, we’re all on ‘Team Rwanda’. Everyone wants to see Rwanda grow.” The Accelerator Magazine • 5

©FranciscoSanches

Celebrating Rwanda’s Entrepreneurial Superstars The stage was set for one of the biggest entrepreneurship events of the year, when Educat in partnership with RDB, GTBank, The Swedish Embassy, Royal Dutch Airlines KLM and many more revealed the winners of The Educat-GTBank Entrepreneurship Award during Global Entrepreneurship Week in November And the winner is Confetti flew about and the crowd was cheering as Cephas Nshimiyumuremyi and his business Uburanga Products, producing natural beauty products from local herbs and ingredients, won the title as Rwanda’s next Entrepreneurial Superstar and took home praise, publicity and a substantial financial prize. To celebrate entrepreneurs as superstars is not too far off. Entrepreneurship and innovation is on everyone’s agenda in Rwanda, trying to build an image as ’The Singapore of Africa’ and hence the centre of entrepreneurship, innovation and 6 • The Accelerator Magazine

ICT. Educat works to strengthen young entrepreneurs through tailormade programs, and for the third year in a row through one of the biggest entrepreneurship competition in the country, The EducatGTBank Entrepreneurship Award. Entrepreneurship in the curriculum Today, three out of four of Rwanda’s population is below the age of 35, causing big challenges in terms of youth unemployment. Along with the challenges comes a great need for entrepreneurship and job creation, and expressions such as

’be a job creator, not a job seeker’ is widely known from as early as primary school level to encourage young people to start their own venture. The entrepreneurship environment in Rwanda is often highlighted as role model to other African countries, and Rwanda was recently ranked third among African countries on The World Bank Group’s Ease of Doing Business Index. Educat has worked in Rwanda for the past six years, strengthening the entrepreneurship environment and transforming good ideas into sustainable businesses with inter-

national investment potentials. Every year in November, Educat in partnership with the Government of Rwanda, the private sector and the Swedish Embassy, organises a big entrepreneurship competition to celebrate young entrepreneurs. ”There is no standard recipe to make a young business succeed. That is why we are working oneon-one with each of the entrepreneurs, and we can see the impact of our work. It creates jobs in all layers of society and induces poverty reduction. That is also why we make a big effort to celebrate these young entrepreneurs as superstars once every year”, says Andreas Norlem Christensen, who founded Educat six years ago. Access to finance

Cephas Nshimiyumuremyi won six million Rwandan Francs, and he is planning to spend the money to expand his business and reach bigger

target groups and thus employ more people to his factory in Rubavu. The lights are off, the confetti cleaned up from this year’s big entrepreneurship event, and now the real work of Cephas and Educat starts: Utilizing every penny of the cash prize to secure growth in one of Rwanda’s up and coming businesses. • The Educat-GTBank Entrepreneurship Award is among the biggest in Rwanda and takes place every year in November during Global Entrepreneurship Week. • 12 finalists from all provinces of Rwanda competed for the title as Rwanda’s next entrepreneurial superstar after being selected among 500 applicants. • This year’s winner, Cephas Nshimiyumuremyi from Uburanga Products, won a cash prize of six million Rwandan Francs, an international flight ticket to a destination of own choice, free online advertisement on igihe.com and access to Educat’s Business Accelerator Program.

©FranciscoSanches

Educat is working with entrepreneurs within a variety of sectors: From fashion designers and artists, mechanics and hairdressers to food processing and manufacturing of beauty products and school materials. All of them share a passion to grow their businesses and create profit, and all of them share the

challenges of accessing finance. Bank loans are off limits to most entrepreneurs, so Educat is partnering up with banks, capital funds and international investors to secure access to finance and growth for the small businesses. GTBank is main financial partner to the award, providing prize money to the top-three entrepreneurs, and according to Olabayo Veracruz, Managing Director of GTBank Rwanda, this kind of event is an important step to support local entrepreneurs to access finance: “GTBank is committed to providing solutions for business development in Rwanda. The Entrepreneurship Award is a reflection of our pledge to provide local entrepreneurs with the necessary resources and support to create sustainable businesses that will have a positive impact on their lives, community and the economy as a whole. We are happy to be part of this novel project.”

The Accelerator Magazine • 7

©BlueMonday

Cephas Nshimiyumuremyi Chemistry Teacher and Entrepreneur Superstar This year’s winner of the Educat – GTBank Entrepreneurship Award is taking chemistry and science to a whole new business level. Cephas Nshimiyumuremyi is a chemistry teacher who decided to use his background in science s to make herbal jellies from local plants to treat skin conditions. His business, Uburanga Limited wooed the jury, and Cephas took home a 6 million Rwf cash prize and the title as Rwanda’s next entrepreneurial superstar.

I have received so many compliments from my distributors because they have noticed that since the award more people have come looking for my products. It has been a good experience, and I know it will get even better.

We sat down with Cephas for a talk about life and business.

How did you get the idea to start Uburanga Limited?

Cephas, what have you been up to since winning the Educat – GT Bank Entrepreneurship Award? I feel like a famous man, everyone sees me and congratulates me. 8 • The Accelerator Magazine

Next week I will be a very busy man. Doing interviews with the press, travelling to Kampala to purchase packaging materials as I prepare to participate in multiple expos.

I got the idea from being a teacher. The salary of a teacher is not enough to help you fulfill your dreams. You need financial means to achieve your goals. Since primary school I would think to

myself “how can I become and entrepreneur?” I didn’t know exactly how I would do it but I knew one thing; that I wanted to use science in one way or another. In secondary school, my passion grew even stronger, so when I finally started university I collected 2000 Francs to buy ingredients and began testing medicinal plants for their effect on skin diseases caused by bacteria. Tell us a bit about your entrepreneurial journey I was selected by Rwanda Development Board (RDB) as one of the highest potential students at what was then the Kigali Institute of Education. They awarded me by funding laboratory research for my products. This was useful to me

Also, 60% of the people that use our products have seen a positive change. These people have now become our brand ambassadors and they help us remain strong against competition because they believe in our products. Cephas’ advice to upcoming entrepreneurs:

and my journey as an entrepreneur. Although I always told people about the benefits of my products, the scientific proof really showed that my business was serious and ready to be on the market. Uburanga Herbal Jelly was the first product I launched. It was just me running the business and producing only 60 units. After receiving a loan from Umwarimu Sacco I introduced more products, and today I have 9 employees and we produce 9000 units. With the Educat – GT Bank Entrepreneurship Award we will go up to 15 employees and increase capacity too. How do you perceive your business’ future?

What are the main challenges with starting a business in Rwanda? Our competitors are very strong, they launched their products a long time ago and this has contributed to the confidence of their customers. As a new company this is always a threat to us. Our competitors are always looking to eliminate the competition - especially with companies like mine now that we are becoming well known at such a rapid rate. But I hope and believe that this will not hinder the success of Uburanga Limited. We will always do our best and increase the quality of our products.

• Look at the resources that you have nearby and make something out of them. • Don’t be intimidated by what others are doing, and more especially, don’t be afraid of competition. Competition is good, and usually it comes when you are on the path of success. • Keep pushing forward. For me, business gave me a sense of identity. Cephas Nshimiyumuremyi can be reached via telephone on: 0788722935 or via email on: cephas.rw@gmail.com

©FranciscoSanches

I want Uburanga Limited to become the solution to skin diseases caused by bacteria all around Africa. I want everyone in Africa to feel like we have a solution, and

I believe this solution will come from Rwanda. We also aim to increase production and distribution by having at least two distributors in each district. Locally manufactured products like ours have great potential and must be empowered.

• Use the little means you have and utilize your knowledge to achieve your entrepreneurial dreams. The power of knowledge is very important in business, because success in business comes when you provide a solution for consumers.

The Accelerator Magazine • 9

©FranciscoSanches

10 • The Accelerator Magazine

The Accelerator Magazine â&#x20AC;˘ 11

Competition

CREATE A MARKETING CAMPAIGN AND WIN

500,000 RWF

Do you want to win 500,000 Rwf to develop your business further? Create the strongest marketing campaign to boost your sales and share it with us on www.educat.dk. The winner takes home 500,000 Rwf to take their plan into action. How would you spend 500,000 rwf to boost your sales?

Where will it take your business?

Do you need money to promote?

How to boost your business?

Are you ready to compete?

What is a good marketing campaign?

The power of communication

How do you distribute a campaign wisely?

What will YOUR campaign achieve?

Simply go to educat.dk or scan the QR code with your smart phone to fill out the campaign formula. 12 â&#x20AC;˘ The Accelerator Magazine

©TomGilks

Spotlight

Hervé aims for the best sausages in Rwanda Herve Tuyishime is the owner of Paniel Meat Processing Company, famous among other things for their spicy sausages on sale in supermarkets all over Kigali – and outside of Kigali too. Paniel Meat Processing Company has been running for two years now; Herve identified a gap in the market and decided to not only process meat but also have a livestock farm of pigs, goats, sheep, chicken and rabbits. How did you get the idea? The Idea came to me when I was in the Hangumurimo competition in 2012. I realized how much of an influence I would have if I started up the business, adding

value to the Agro-based business sector in Rwanda.

How do you perceive your business’s future?

What are the main challenges with starting business in Rwanda?

I picture my business as setting the bar for other agro-based businesses in Rwanda. Being amongst the best food processing businesses in the industry and with the current projection of the business, I have no doubt that I will achieve my goals. In my view, the sky is the limit. What would your advice be to an aspiring Rwandan entrepreneur?

The main challenge is to know how to professionally go about the maze; more specifically, I found it a challenge to put what was stated in my business plan into action. Achieving every objective in every concept of the plan was hard since the day-to-day people in my business usually did not have a common understanding of the overall concept. Tying the end knots of the whole concept was hard for me, because it always seemed like I was in it alone.

Dream big and never stop dreaming until your dream has been turned into reality. Nothing is impossible if you are passionate about what you do; you just need to never give up on yourself. The Accelerator Magazine • 13

©Lasse Helbo Staahlnacke

The Office: Collaboration, Creativity, Community

The Office is a unique co-working space in Kigali connecting entrepreneurial forces from all sectors and areas of expertise. While co-working spaces are still new to Rwanda, more and more entrepreneurs, organisations and businesses see the value of collaboration across the entire entrepreneurship eco-system

Emerging partnerships

“Innovation occurs at the margins between different approaches, perspectives, skills and experiences, and that is what The Office can offer”, he explains while giving a tour at The Office’s space in Kiyovu. The building now hosts a variety of entrepreneurs, NGOs and private companies who all share a passion for entrepreneurship, innovation and business development.

The initial philosophy behind the establishment of The Office was to create a venue for collaboration between the entrepreneurs of Kigali and the entrepreneurial support organizations – local as well as international. For the founder of The Office, Jon Stever, the main goal is to provide the best possible settings through which cooperation and partnerships can emerge.

A collaborative venue like The Office is a perfect opportunity for peer-topeer interactions, allowing the entrepreneurs to learn from one another and create beneficial partnerships. However, The Office doesn’t just connect entrepreneurs, but also artists, makers, researchers, organizations, and anyone engaging in intellectual and creative pursuits in the name of empowering innovation.

Rising between low brick houses, nurseries and small shops in Kiyovu, The Office, with its massive photographed portraits decorating the four-storied white building, can’t help but catch your attention. What is inside the building is even more eye-catching: Rwanda’s first and biggest co-working space, The Office.

14 • The Accelerator Magazine

Sharing is caring Collaborating and sharing business ideas don’t come natural to all Rwandan entrepreneurs; worries about plagiarism and competition make many young businesses prefer to work alone. However, Jon Stever has experienced that the culture within The Office membership has evolved as people have seen the benefits of collaboration. Building an office community involves much more than the physical space, desk chairs and wireless internet; it is greatly reliant on developing a culture, which in this case has proven very successful. Sharing, collaboration, and trust among initiators are important elements to the creation of sustainable entrepreneurial eco-systems all around the world, which has been a big focus from day one of The Office:

been co-organized for the benefit of entrepreneurs and other initiators at the Kiyovu co-working space. Raising the roof

©Lasse Helbo Staahlnacke

“The purpose of the office is to become a hub of hubs, recognizing that collaboration is the most important component of successful and vibrant entrepreneurial ecosystems”, Jon Stever explains. A diverse eco-system Several different organizations are located in The Office building, all benefitting from being gathered under the same roof. The Educat Centre, which was established in beginning of 2014, now covers the whole first floor of the building, while numerous organisations and companies such as HeHe Limited, One Acre Fund, BiD Network and Ejo Partners also reside in the building. All of them are mutually drawing on each other’s com-

petences, when in need of advice or when collaborating on specific projects. During this year’s Global Entrepreneurship Week, for instance, Educat was carrying out the Rwandan Start-up competition at The Office’ premises, which was followed by the Social Enterprise Happy Hour allowing people to network under informal settings. These were initially two different events, but became a vibrant cohosted event improving the whole experience for both the audience and Start-up contestants as Educat, One Acre Fund, Think Impact, The Office, Aiesec and Grow Movement joined their forces. Additionally, several of other networking events, arts exhibition, workshops etc. has

Next step in optimizing an already well-functional actor in the ecosystem of Kigali is to construct a roof over the 4th floor of the building making it a permanent utilizable area. The Roof will constitute a physical space for community innovation, hosting cultural, artistic, educational, and networking oriented events. Furthermore, it will be a free and open place for everyone; from young entrepreneurs, creative people, students and everyone in between to come together. With initiatives like The Office and other co-working spaces, which have begun to appear in recent years, the stage is set to proactively further opportunities for the younger generation in Kigali, making society – and not least the entrepreneurs themselves – ready for innovation.

Anekke Evers and Yvan Gatoto – Ejo Partners “Anything you need is just a doorstep away! And the diversity and vibe in this place is amazing.”

Teta Gisa – HeHe Labs “A co-working environment is amazing because you can benefit from feedback and idea generation through all the organizations and entrepreneurs working in the building.”

Arianne Umukesha and Solange Dukunde – One Acre Fund “It is fantastic to be with people from so many different backgrounds. We help each other both professionally and personally. We have had great experiences collaborating on events, where combining forces with organizations simply improved the quality of the outcome.”

Maxime Dieudonné – Safe Boda “I created a start-up company called Safe Boda together with HeHe Labs, whom I met through working at The Office.”

The Accelerator Magazine • 15

©AlexNiragira

Joint Forces in the Battle Against Unemployment

Entrepreneurship and Business Development is key to overcome the unemployment challenge in Rwanda. In recognition of the private sector’s essential role in future job creation, the new National Employment Plan calls for great support to entrepreneurs and SMEs. Combatting the high unemployment rate in Rwanda, especially among youth, is high on the agenda for national development. According to Rwanda’s Vision 2020 and Economic Development and Poverty Reduction Strategy (EDPRS2), private sector development and especially development of small and medium sized enterprises (SMEs), is the main pathway to create more jobs around the country. According to Rwanda Bureau of Statistics, micro, small and medium sized enterprises account for approximately one third of employment in Rwanda and 55 percent of the country’s total GDP. In other words, the role of entrepreneurs and SMEs in the economic development of Rwanda as a whole is vital. 16 • The Accelerator Magazine

Creating more jobs Out of the five million Rwandans that make up the work force, 77% are farm workers and informal sector workers, having jobs that often provide them with so little work and payment that they almost don’t qualify as being employed. In contrast, only 7% of the workforce has stable jobs in the public and formal private sector, so-called office jobs. The solution to this challenge is clear: Create more non-farm jobs, mainly through the private sector. These are some of the key points in The National Employment Program presented by Ministry of Labour. “The National Employment Program is made to contribute to creating new jobs all over Rwanda. On a national level this is done through two main focus points:

youth employment and SME development. Growing micro-, small and medium sized enterprises is a main target for the National Employment Program’s skills development component,” Francois Ngoboka, National Employment Program Manager at Ministry of Labour, Mifotra, explains. According to the latest numbers from Ministry of Trade and Industry, around 125,000 young Rwandans enter the labour market every year. The national target for employment is to create 200,000 new non-farming jobs every year. So far, that target is far from being met. In 2012 a total of 100,000 jobs were created, and while the numbers for this year have not been published yet, it is already clear that the annual target will

again not be met, according to Ministry of Labour. Hands-on skills According to The National Employment Program, several challenges are slowing down the rate at which SMEs can impact economic development, especially limited access to skills, technology and finance for people that want to start or grow their business. ”Often, young people do not have necessary employable skills when they graduate from our learning institutions. They need hands-on, technical skills enabling them to get employment or start their own business ”, says Francois Ngoboka, National Employment Program Manager at Ministry of Labour.

SME Forum Having identified SMEs as the main source to job creation, the need to secure an efficient and collaborative support system for them is more important than ever. For that very reason, Ministry of Trade and Industry, MINICOM, has established an SME forum in which all stakeholders, both from private and public sectors, civil society and SMEs are brought together to discuss issues affecting SMEs. The first SME Forum took place on 15-16 December 2014 in Kigali and was attended by stakeholders from spheres of public, private and civil society to discuss issues

affecting SMEs and ways to give them the best possible support to grow their ventures. According to Ministry of Trade and Industry, the SME Forum “is a high-level platform which will engage leaders in a concrete and constructive dialogue where all parties involved hold each other accountable”. During the 2 day event, Minister of Trade and Industry Hon. François Kanimba addressed those in attendance with a brief and powerful message noting that “We are very happy that so many have answered the call and supported the first ever SME forum which is sure to be the beginning of something great. I hope that we are setting an example for other key clusters and urge them to also create such a platform for idea exchange amongst individuals and organisations with a common goal that is beneficial for the citizens of Rwanda. Let us come together again at next year’s forum having accomplished the goals we have set for ourselves this year.”

©AlexNiragira

One of the ways in which The National Employment Program supports skills development among youth is to partner with bigger companies and investors to carry out trainings of youth subsidized through The National Employment Program.

“For example, we had a company from China coming to work in Rwanda. Initially they planned to bring 200 employees from China to do the work, but that doesn’t do any good for the employment situation here. So we made a deal where they train local people to do the job, and we pay for the training”, Francois Ngoboka explains.

The Accelerator Magazine • 17

Commentary

Changing Minds: boosting the entrepreneurial spirit among youth

ÂŠAlexNiragira

By Pamela Connell, Deputy Principal, Student Welfare, Riviera High School

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©AsabaSalomon

The word ‘Entrepreneurship’ is synonymous with Rwanda, a small but vibrant nation of the East African Community. The entrepreneurial ecosystem is a thriving hub of youth, having a go at beating the country’s unemployment problems by supposedly being job creators instead of job seekers. Too often, however, after graduating university youth loose the drive of risk-takers and end up as job seekers or unemployed. Currently, the world has the largest population of youth aged 15 to 24 in all of history, and almost 90 percent of them live in developing countries. Recently released figures from the International Labour Organisation observed that youth employment is worsening, with 73 million youth worldwide actively looking for work. According to Rwanda’s second Economic Development and Poverty Reduc-

tion Strategy, key challenges facing Rwanda include high levels of under-employment in rural areas and insufficient non-farm jobs being created. At a media conference for Global Entrepreneurship Week 2013, Mr Apollo Munanura of Rwanda Development Board stated “One of the greatest challenges facing Rwanda at present is a mind shift of the youth.” These seed words became the launch pad to Changing Minds: Youth Entrepreneurship Empowerment Rwanda (YEER). Focusing on the mindset Changing the minds of youth in the final years of secondary school is paramount for a number of reasons. Firstly, students don’t know what they don’t yet know; their minds are open and insatiable to their futures and yet are also

open and vulnerable to anti-social behaviours. As school leavers, they are first in line to unemployment due to little skills or experience. Secondly, school leavers are hungry for career advice and development. Once a university student, the decision is more or less made, but is that decision in line with the labour market in 5 years time? Up to now, students choose their careers in areas of passion or strengths which only leave them unemployed by the end of a 4-year degree. Thirdly, secondary students have very little understanding of the roles and interconnectedness of the nation’s key stakeholders such as the Ministry for Trade & Industry (MINICOM), RDB, and Private Sector Federation (PSF) among many. For these very reasons it is vital that the entrepreneurial mind of secondary school-age youth be reached and impacted. The Accelerator Magazine • 19

Coming together in the name of entrepreneurship Changing Minds: YEER conference is an initiative of Riviera High School, a private boarding school located in Kabuga, Gasabo District. During Global Entrepreneurship Week 2014 in November, the inaugural two-day conference hosted at Rwanda Revenue Authority, gathered 330 secondary students from 31 schools to inform, enlighten, challenge and present handson workshops to broaden their worldview of the future. Keynote addresses came from the Minister for Trade & Industry together with representatives from RDB, RRA and PSF. Important workshops were conducted by Educat, a local NGO very practical in their approach in urging the youth to seize their idea and make it happen; Digital Opportunity Trust (DOT) who help young people unpack their potential and asset map their surroundings, similar to Think Impact who adopt an approach of ‘Asset Based Community Devel-

20 • The Accelerator Magazine

opment’ for entrepreneurship. Also presenting were co-founders Schools Entrepreneurship Network (SEN) and Emerging Leaders & Entrepreneurs (ELE) together with other young entrepreneurs. A major outcome of the conference was a petition, which included signatures of all participants in order to lobby the Ministry of Education to ensure that in the future, the compulsory Entrepreneurship Curriculum is designed to be more experiential than the current theoretical approach, a discouragement to entrepreneurship. Honorable Minister Francois Kanimba of Minicom mentioned several times the need for secondary schools to initiate and incubate their students to graduate with entrepreneurial minds. For this to happen, Principals and Head Teachers need to improve strategies to develop experiential initiatives. Looking to the future Riviera High School’s own pathway through entrepreneurialism

is believed to be unique: Students are involved in volunteerism, event management, career relevant internships, business plan competitions with potential access to seed funding to take the idea into action. Furthermore, the oldest students get the chance to join a number of registered Business and NGO ventures are availed to gain business skills and take on the world. This is apart from regular entrepreneurial club programs within the school academic year and one-to-one mentorship given to exuberant students already with start-up opportunities. The next steps for Changing Minds: YEER is to develop a forum for Principals and Head Teachers to respond to the Minister’s call to strategically map such incubators in support of developing Rwanda’s youth prior their graduation of secondary school. This approach can ensure successful career pathways to combat the global trend of school leavers and unemployment.

©TomGilks

Spotlight

Irenee’s business dream is carved in wood Irenee Gumushime always wanted to be a carpenter, so after working as a teacher in Nyamata, he decided to pursue his dream and started his own carpentry company. He strives to make furniture that fit every need of his customers. Tell us a little about your business? We design our products based on orders from our clients. I sit with my customer, who describes his/her idea of the furniture, which I then put down as a sketch. When the customer is happy with the sketch,

I can start carving it. I don’t have a big cash flow yet, so I ask for 60% of the total amount in advance in order to start creating the furniture and buying necessary materials. What have been your main challenges? If it wasn’t for Educat’s inputs to my business, I would not have become a real entrepreneur. They taught me how to keep books of accounts and gave me tips on how to manage my business effectively. Now, I am in full control of the cash flow of my business.

How do you envision your business’ future? My business is now progressing, and my dream is to have both a workshop and a showroom. What is your advice to aspiring Rwandan entrepreneurs? Do not allow yourself to be discouraged by lack of money, regardless of how little you have. Business can be done with any amount you have; what counts is how you make it progress.

The Accelerator Magazine • 21

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22 â&#x20AC;˘ The Accelerator Magazine

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Innovative and sustainable Entrepreneurship Development

ÂŠAlexNiragira

Commentary

By Apollo Munanura, Head of

Business Development Division, Rwanda Development Board

Entrepreneurship Development is one of the strategies used by Rwanda Development Board (RDB) to increase business starts-ups and to promote vibrant SMEs development in Rwanda. We implement this through various capacity building and awareness creation activities aimed at empowering youth and women with entrepreneurial skills to achieve their dreams. We believe that building the next generation of young Rwandan entrepreneurs will ultimately lead to vibrant small and medium sized enterprises and also contribute to creating jobs and reducing poverty. This program is designed not only for the youth and women out of school but also students who are encouraged to start thinking about enterprising their acquired skills. We look forward to building a critical mass of Rwandan youth and women entrepreneurs in the near future. We endeavor to pro-

vide growing and potential entrepreneurs with the right skills and knowledge to become competitive players in local and global markets. In 2014 Educat and RDB partnered on two exciting initiatives, the Entrepreneurship Caravan & The Start-Up Competition. The Entrepreneurship Caravan, which covered higher institutions of learning in all of the five provinces, was designed to promote an entrepreneurial mindset, acquire knowledge about the many support opportunities for entrepreneurs in Rwanda and provide a framework for youth to take their business ideas into action. The start-up competition, which attracted 500 applications, suceeded the entrepreneurship caravan. The process involved training, coaching, mentorship and was climaxed with the awards. The Entrepreneurship Caravan and The Start-up Competition were

directly interlinked and had the specific objectives of: Creating awareness of enterprise and self â&#x20AC;&#x201C;employment as a career option for students; Instilling an entrepreneurial mindset to all Rwandans (young, male and female); Developing positive attitudes towards innovation, enterprise and self-employment, To encourage new start-ups and support all unique aspects of entrepreneurship. Both of these initiatives encourage thinking out of the box and turning ideas into businesses. We are happy to see many more youth today getting involved in entrepreneurial activities with desire to succeed. We therefore need to continue being part of a strong support system that will ensure their business growth, and we look forward to much more entrepreneurship development in 2015. The Accelerator Magazine â&#x20AC;˘ 23

AGORA AFRICA EXPERTS IN PROCESS CONSULTATION We: · Give strategic advise to top management · Train managers on all levels to deliver quality · Optimize your processes around cost, quality and delivery Contact: Jakob Nørlem: jn@agora.as www.agora.as/africa 24 • The Accelerator Magazine

AGORA – Your partner in growth

©AlexNiragira

Amani Takes Fish Flavour to the Next Level A good idea is always the first step to a successful business. For Amani Twagirayezu his good idea of turning dried sardines into powder and using it for cooking resulted in winning the prize as best Start-Up in 2014 and the chance to grow his business further. When Amani Twagirayezu is not busy with academic life at college of Agriculture and Veterinary Medicine in Univeristy of Rwanda, he is running his business Triumvirate Food Company. Amani currently produces and packages Isambaza Flour (ifu y’isambaza), a fish flour made from sardines that are populous in Lake Kivu. His product can be used in a variety of tantalising ways; from seasoning on dishes to soups and stocks. He one day hopes to start his own fish farm that breeds and distributes sardines all over the region. During Global Entrepreneurship Week, Amani was awarded with the 1st

place prize of the Rwanda Start Up Competition. A competition hosted by Educat and Rwanda Development Board (RDB) to identify and recognise young entrepreneurs with high potential business ideas. How did you get the idea? Fish is common in Rubavu, where I am from. Actually my sister has been in business for some time now selling fresh fish in the area. One day I started to wonder “what do people without a fridge or cooling unit do to keep their fish from spoiling?” Then as time passed I began to notice that a

lot of other products were being ground up into powder form as a way of preservation; that’s when I decided I was going to try to do the same thing with sardines from Lake Kivu. I experimented by sun drying a few sardines then manually pounding them into a powder - and it worked. I was still in high school and so I did not do much with the idea until I was in University; that’s when I decided to really push the concept further. I was particularly encouraged when I was chosen by Educat as a finalist in the Start-up Competition. The Accelerator Magazine • 25

What are the main challenges with starting a business in Rwanda?

©FranciscoSanches

The biggest challenge in my business is with raw materials. Between September and November it is forbidden by law to fish in Lake Kivu so that the fish can breed, grow and replenish in numbers. I think this period is important and I agree with it but it causes production challenges. Another challenge I have is getting people to try my product. I think it’s a great tasting and versatile product but I have to work hard to get people to taste it. How do you perceive your business’ future?

What would be your advice be to an aspiring Rwandan entrepreneur? My advice would be to the youth, there is a lot of unemployment out

there so try and protect yourself against that by thinking of a business idea. Think of how you can transform something regular into something unique and different. And I would also advice aspiring entrepreneurs to express and expose their ideas so that they don’t die out of inaction. Contact Amani on: Tel: 0725768538 Email: twagirak2006@yahoo.com

©AlexNiragira

The first thing I plan to do is get my own grinding machine, the one I use right now is rented. Once I get a new machine I will also get certification from Rwanda Bureau of Standards. The certification will allow me to explore new avenues of distribution and even explore opportunities of exporting within the region.

I also love experimenting and I am passionate about post-harvest technologies, so I will be spending more time researching other products to make from sardines once the Isambaza Flour picks up on the market.

26 • The Accelerator Magazine

Take the

lead

©AlexNiragira

on your finances

Are you dreaming to start a business but intimidated by taxes, financial statements and cash flow projections? Fear no more: Educat’s Chief Finance Advisor, Innocent Mutuyimana, says entrepreneurs should not be scared of finances. With these 5 key points of guidance, any entrepreneur can effectively manage the financial part of their business and advance their vision.

Pre finance

Basic Financial Literacy: At the beginning stages of a business, finance is all about keeping records on a cash-in / cash-out basis. Entrepreneurs should create a file, where they store all their revenue records as well as expenses. Then seek the services of a professional accountant to help you monitor and manage your company finances periodically. Basic Cash Flow Budgeting: Once you have covered the process of record keeping, what comes next is monitoring the financial trends of the business and using this information to make a budget. Budgeting is a disciplinary tool that helps you monitor the flow of transactions and whether you have delivered or exceeded your financial goals as a business.

Taxation

Taxation: Understand the taxes that apply to your business so that you can financially prepare and comply. Getting into a routine when it comes to taxation can help your company avoid any losses and penalties that might occur due to failure to comply with tax policies.

Post finance

Advanced financial literacy: As your business grows, so will the level of financial procedures; now you might be monitoring payables or depreciation etc. At this point it would be wise to incorporate accounting software such as Quickbooks, which makes monitoring your finances easier and more streamlined. Access to finance and the Decision Making Process: The work doesn’t end once you have secured capital for your business; there are obligations that come after. For example if you have received a loan you must prepare ways in which you will be able to service this loan and avoid defaulting, which could damage your credit forever. ©Lasse Helbo Staahlnacke

©JeanPaulSebageni Creative Communications

Commentary

Business and entrepreneurship, a cultural revolution By Thierry Kevin Gatete, lawyer, blogger & TV-host When Jean Pierre Sebageni returned to Rwanda in the early 2000s and started his communications business, Creative Communications, he was constantly frustrated by the Rwandan youth he employed; they would turn up to work late, with a hangover, looking rather beat and leave at the sound of 5pm. They lacked focus, gave their minimum and didn’t stay long in the job. To remain operational, JP had to rely on young East Africans, who had a visible professional edge to do the bulk of his work, while he maintained one or two Rwandans for patriotic purposes… By 2005 things completely changed; the same young Rwandans were becoming focused, professional, sober and on top of things; JP was pleasantly shocked! Surprisingly, he started seeing that after all, it is the regional kids that were more relaxed; In fact they weren’t, the Rwandan kids were 28 • The Accelerator Magazine

just driving the charts nuts with their delivery! It took him two more years to understand what had happened; You see, before 2000, these kids all had a dream – like every other kid on the African continent – of trying their hand in the West; they simply didn’t envision their future here. So the job at JP’s communications company was just for passing time while looking for the papers, or a stage in a journey towards the West. By the year 2005, private universities were set up, infrastructure was being availed; internet, fast food, coffee shops, fashion shows, clothing shops, parties, loan facilities for small cars; all the things they saw on TV were finally here, in Kigali. So there was no need to leave; in fact, they grew a proverbial need to keep the job at JP’s, which, if they were not careful, they would loose to young Kenyans. Suddenly it became critical to deliver, be promoted, get a pay raise, etc.

As they worked harder, they got more clients, they made more money, they started being proud of themselves; a total paradigm shift, a cultural revolution. That was between 2005-2010; and the little story I just told you would sound charming in those days. Today, it is a completely different one; everyone is coming back home; you come for the routine visit to your family and you are bugged! You won’t find peace of mind in exile anymore; you are done! You start counting days until you are home. In fact, three months ago I met a Djiboutian girl who decided to kiss London goodbye and relocate to Kigali, with no job what so ever, no contacts, nothing. It took her two weeks to get a really cool job, and now she is wondering why she wasted so much time; my own consultancy group, Wasafiri Consulting, in which there are only two Rwandans out of 30 consultants from all over the world, has decided to relocate

©JeanPaulSebageni Creative Communications

its Brighton-based global HQ to Kacyiru in the ‘The Office’ building. ‘Kigali’, they all say to me, ‘that’s where it’s happening!’ Man, its crazy! And it is true: I travel to Europe, especially Belgium, and I can’t believe the Africans I meet there; their stories haven’t evolved since the last decade. Neither have their conditions. Its like they’ve been historically marginalised or something… To not depress them, you refrain from telling how their family is doing; - How is my young brother? - Oh, he is the new COO of a company that makes phone apps. - How about my cousin? - Ah well; him and a friend just started a company to sell business solutions to banks and insurance companies.

WHAT!? Normally people like that, job titles like those in Amsterdam, not only does he not see them, he doesn’t even hear about them. That is what an attractive city is; a place where the youth have perspective to do better. People in Kigali see their friends getting rich every day. You walk around the city, you do not see misery, you see entrepreneurship and job creation. Now people think we do not see beggars because they are all locked out in Iwawa Island, or that our city is safe because of the armed soldiers patrolling at night. In reality, it is all about perspective. The guys, who would have mugged you before, are now busy driving you

on a moto and making as much money as you – or more. Those who would have stolen your car’s side mirror are instead giving you a parking ticket and in fact watching your car. The beggars are instead keeping the city clean and being paid for it. By doing that, they manage to go to university in the evening, not for the classical, time-consuming degrees, but for short, intensive, and specific course, designed for start-ups, such as the ones they are opening every day. That is what sustainable development is; inclusive growth; employment opportunities and business incentives.

The Accelerator Magazine • 29

30 â&#x20AC;˘ The Accelerator Magazine

The Accelerator Magazine â&#x20AC;˘ 31

©Laura Elizabeth Pohl IWPR/ Rwanda Creative Hub

The Legacy Continues Dianne Dusaidi and her sister Chantal Dusaidi are the dynamic duo behind Legacy 45, one of the country’s leading multimedia companies. Their biggest project is the popular morning talk show ‘Rise and Shine Rwanda’, which airs on TV Rwanda every weekday. Somewhere between sorting through her finances and running off to a meeting, we sat down with Dianne and talked about Legacy 45, Rise & Shine Rwanda and her worries and aspirations.

What challenges do you worry most about? Finance, without a doubt. At first when we had just started, the biggest worry was demystifying finance - it was just foreign territory to us. Even managing the little capital we had at the beginning was such a challenge. Now, fast forward to where we are and I am still worried about finances, but in a different way. Now it’s all about calculating and making sure you are making decisions today that will be beneficial in the future. Sometimes I have to ask myself what part of creativity has to be compromised in the name of becoming a financially stable company. However, in the same breath, I would say that being more money-minded has helped us refine and focus the vision of the company. In terms of vision, what are you aspiring to as a company? 32 • The Accelerator Magazine

We would love to have more viewers for Rise & Shine. Right now there is no framework that has been placed on the Rwandan media platform to monitor viewership, so we are lobbying for that to fall into place and allow us to really know if what we are doing is taking off. We are also hoping to go interactive, it would be great to one day be able to have an audience on the set, that would add a whole new flair to what is already a ground breaking project. We also want to expand Legacy 45 into more projects, apart from Rise & Shine, to service a wider audience. We’ve noticed you are always asking for feedback about Rise & Shine on social media? Yes, not just on social media, also in “the real world”. Feedback is important to us because ultimately entertainment is all about giving people

what they want. So when people ask us to have more content on leisure activities for kids, we do exactly that. Is that how you stay relevant? Partially, yes. We have also created a strong network within the media circle in the country to make sure that we are always in the loop. We know what is happening, we know what people are interested in at the moment, and we take that information and use it in a way that reflects our unique approach to entertainment. We also stay relevant by never ever compromising on quality, perhaps that’s the secret to sustainability as a whole. You are a strong advocate of the creative industry as a whole. Why is that important to you? I feel very strongly about creativity and culture and about empowering people who fuel those two forms of

expression. I do my part on a private sector level by creating content and putting it out there, but I value private-public collaborations, and through my network I also work with policy makers to make sure that the voices of creative people are heard. I recently attended a conference in Morocco through an arrangement with Educat, and at the conference we discussed ways in which creative people from all across the continent can be made freer to express their culture through creativity, to have artistic rights and for the

masses to value art and show that by supporting the creative industry. What advice do you have for other entrepreneurs in the creative industry? For starters, determination and resilience are so important because – it’s sad to say – but at the beginning, creative arts just don’t pay the bills. I would also urge fellow creative people to have a strong network; that really means a lot in this industry. Lastly, I would also say that it’s important to break out

of your comfort zone. In my case I really hate public speaking but when I feel like it matters most I just go for it and do the best I can.

Rise & Shine Rwanda is Rwanda’s first breakfast TV-show The showed aired for the first time October 15th 2014 You can watch the show Monday to Friday from 7-8 am on TV Rwanda For more information and livestreaming of the show, visit www.riseandshinerwanda.com

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ÂŠTomGilks

Spotlight

Richard makes photography count in Rwanda Richard Mugwaneza is a photographer and the managing director of Samples Studios, which he started in 2007. Sample Studio does production as well as distribution of movies, for instance of weddings and other special events. Richard Mugwaneza and Sample Studios believe in contributing to the community, so in order to promote a photographing career among youth, they organize workshops that teach basic tips of good photography and filmmaking. 34 â&#x20AC;˘ The Accelerator Magazine

What are the main challenges with starting a business in Rwanda? Photography is challenging in Rwanda because we always need to work hard convincing people about the importance of photography and the art of movies. It is not something people are used to yet. But I am happy doing it; I know that in the end I will be successful. How do you envision your businessâ&#x20AC;&#x2122; future? In the future I want to have a studio that is world-class, produc-

ing photographs and films that can reach the international market too. What is your advice to aspiring Rwandan entrepreneurs? Before starting any business, be ready and accept that you are going to face many walls that require hard work in order to climb them. In order to do good business, you need to avoid focusing on the big dream, but work well in the present and go step by step. In brief, be ready to be challenged and to learn!

Setting the Trend in Rwandan Media: The Journey of Igihe By Richmond Runanira

©Arnold Mugisha

They say a big idea is a blueprint to create a big company. So one cannot help but wonder just how big the idea behind Igihe was. The Idea to establish Igihe.com which has remained the most visited Rwandan website for 4 years in a row, came in 2007 from Meilleur Murindabigwi, an entrepreneur who was then a student at the former National University of Rwanda. Meilleur gathered a team of university students from around the country while he himself was still on campus. In one small room, was where the team leader coordinated the volunteers to accomplish a given task. The company had no resources, so it started from scratch with the help of students who embraced the vision by recognizing exactly what Igihe.com could do for the local journalism platform.

With the team set up, it became possible to publish news and information to a wider audience making access to information easier, instant and relevant to the state of local affairs. At the early publications the website had only 30 visits per day; many visits short of the editorial team’s target of 1000 visits per day. Just one short year later, the story was completely different; Igihe.com reached 15,000 visits per day, and took a massive leap towards securing the throne of local media. Not too long after, the entrepreneurially minded leaders of the team sensed that it was time to capitalize on the success of Igihe which was even then, still on the rise. They sensed a need to diversify the services offered at the same time absorbing advertising services to sustain the growing team and activities. With

the company upgrade the skilled volunteers were promoted to payroll employees. Five years ago this student project had nothing but a small room on a university campus acting as the office, today they occupy an entire floor in a building in the heart of Kigali city. Igihe has established itself on the online market and today it attracts 60,000-80,000 visitors per day, reads in four languages and dominates social media platforms such as Twitter and Facebook. Overtime Igihe has grown from a small media house with no budget to a well-respected brand and this can be seen through the various services and products it offers to corporate and business owners, many of whom have grown with Igihe. Services like website development, Gira website, domain name registration, content development, hosting and sponsored links have affirmed to Rwandan and regional business owners that it is possible and relevant to the times to integrate ICT services into their business model. The company also shares the growth and success by contributing to the country’s economy and coherently complying with all regulations and obligations that are applicable to them. Headed by an exemplary entrepreneur, and backed by a dynamic team, there seems to be no limit to what Igihe will achieve. The Accelerator Magazine • 35

©BlueMonday

“You Come to Rwanda and There Is Inspiration Everywhere”

The British production company Blue Monday visited Rwanda to make films about entrepreneurship and daily life in the land of a thousand hills. They were blown away by the strong business mindset and welcoming nature of the people they met on their way. The three friends from Birmingham, Craig Bush, Rory Barber and Chris Love are the founders behind the production company Blue Monday. After making films out of pure interest for many years they decided to make their hobby into their business and started Blue Monday earlier this year. And their vision is simple: To tell stories about the people they meet all over the world. So far this has resulted in films from Turkey, India, Uganda and now Rwanda. 36 • The Accelerator Magazine

Business Mindset Through Educat’s network, Blue Monday met with several entrepreneurs all over Rwanda , and the ambitious business mentality among the entrepreneurs made a big impression on the three Brits: “People’s approach to business here in Rwanda has really surprised us. They are so forward thinking on exploring new markets, trying new things and growing their businesses. They were all very aware that what they are creating is not just

for them; it’s for their children and the future generations. That is not a mindset you typically would find in England”, Craig Bush explains. When searching for material for their films, Blue Monday focuses on real people and their life stories; people that everyone can relate to and learn from. That is what made the producers travel to Rwanda. “It doesn’t get much more real than Educat and the entrepreneurs they work with. Anyone can learn from them and their journey to

©BlueMonday

start a business, and that is what makes it interesting for people everywhere”, says Chris Love from Blue Monday. Jessie and her chalk One of the entrepreneurs Blue Monday visited is Jessie Kalissa Umutoni and her business G-Mart Limited. Jessie produces chalk for

schools and was among the topthree in the recent Educat GT Bank Entrepreneurship Award.

of women in business and in politics here is really an inspiration to the rest of us”, says Chris Love.

“What Jessie does in her chalk factory is so amazing. She is so powerful and inspiring, people could really learn a lot about that kind of spirit from her. In general, women are taking opportunities to create their own things in Rwanda. The amount

Chris, Rory and Craig are now back in The UK, putting together at least two films about the people they met in Rwanda. And they are already looking forward to coming back to Rwanda to meet more people and find more stories. “You come to Rwanda and there is inspiration everywhere. We are definitely coming back for more stories. People here are so welcoming, and we can’t help but to feel extremely lucky to be around them.” Blue Monday’s films about Educat, entrepreneurs and everyday people of Rwanda will be launched January 30th 2015.

©BlueMonday

To know more about Blue Monday check their website: www.goodbyebluemonday.co.uk

The Accelerator Magazine • 37

©AlexNiragira

Ignite Fund: The Impact Investment Vehicle Spark Ignite Fund provides access to finance to small and medium sized businesses ready to excel to the next level. Ignite Fund’s equity model, where they become a shareholder and mentor of the company to boost growth, has proved successful and they are now ready to scale up to ensure even greater impact. The Dutch organization Spark, supporting start-up enterprises and small businesses, introduced a new program component, Spark Ignite, in Rwanda earlier this year. The Ignite Fund is specifically initiated to serve as an impact investment vehicle by strengthening already existing businesses in post-conflict countries, allowing them to scale up and contribute to positive development and economic growth. “Our goal is to support today’s fledgling innovator who just might create the next great, scalable inno38 • The Accelerator Magazine

Enabling greater impact

ness to induce growth. As the business grows, due to the cash injection from selling shares to SPARK, the shares are sold back to the business, leaving the entrepreneur with 100% ownership of their business and a stronger and bigger enterprise.

Ignite Fund provides financing opportunities to businesses, which have been up and running for three to four years and that show big potential for growth and job creation. The Ignite Fund offers access to finance through an equity model: SPARK becomes a shareholder and mentor in the busi-

“Ignite fund is a new program that was initiated in August 2014, and we have so far recruited four entrepreneurs with two of them having signed contracts and whose funds are worth 70,000 Euros and 12,000 Euros”, Jean de Dieu Kabengera, the Program Manager at Spark explains.

vation that can promote peace and stability in fragile states while offering investors risk-adjusted financial returns”, says Jean De Dieu Kabengera, Program Manager at Spark.

©AlexNiragira

Paving the way to growth

©AlexNiragira

In 2013 Speciose Byukusenge and her small-scale bakery Le Grenier participated in a business competition organized through one of Spark’s beneficiaries, RTUC. Le Grenier showed eligibility throughout the competition; although her production level was low with a high market demand, Speciose had contracts secured with schools and other big institutes. Spark joined to evaluate her marketing- and investment plan and found her business worth investing in, allowing her to cover her market scope, buying machines to increase production, and enhance her distribution channels. Speciose is now looking forward to expanding by opening up other outlets, offering even higher quality to her her customers.

©AlexNiragira

Spark has been in Rwanda since 2011, working through partners who provide comprehensive support to entrepreneurs in business development aspects; training, coaching, mentoring and follow-up support. It is through these partnerships that Ignite Fund, which is one of Spark’s three programs in Rwanda, finds investment ready businesses. Speciose Byukusenge’s bakery business in Kigali, Le Grenier, is one of them.

Partnerhips for greater impact As Jean de Dieu Kabangera points out, Ignite Fund’s role as an access to finance fund is not to fully cover the business’ financial loopholes. Rather, it is to evaluate the business’ investment plan and priorities, hence funding any expense related to the sprouting of the businesses. Spark works to ensure effective growth of the business by not only paving the way to finance, but also empowering the entrepreneurs with the capacity to effectively use the funds to boost marketing, branding, and innovation in their business. For that reason, Spark decided to partner up with Educat earlier this year to ensure bigger impact on the businesses they

work with: Spark’s entrepreneurs join Educat’s Business Accelerator program and gain access to knowledge and expertise to leverage on their access to finance and strengthen their business. Ignite fund has been operating as a pilot for the time being and will be expanding their scope next year by recruiting 4-6 more entrepreneurs for their equity funding plan. Supporting entrepreneurs through access to finance is important to build up a strong private sector, according to Jean de Dieu from Spark: “We believe that innovative entrepreneurs have a vital role to play in building a better society and we’re here to help them achieve their potential.” The Accelerator Magazine • 39

The Rwanda Business Accelerator

Accelerating entrepreneurs

A Unique Approach to Business Acceleration

No two businesses are the same, for this reason Educat has developed the 6-month Rwanda Business Accelerator, an individualized program that supports you as an entrepreneur to reach your business goals and get your business to the next level. The Rwanda Business Accelerator is a results proven program where our clients have experienced, increased sales and created jobs. How do we do that? • Our certified quick-books accountant will assist you in your weekly accounting • We support and advice you in developing legal documents and contracts • Our graphic designer and communications team supports you in developing sales material and a visual identity that will help you attract new customers • Our IT team helps you develop a simple but attractive website that is easy to maintain and manage • We support you in developing Standard Operating Procedures (SOPs) that will help your business run more efficiently • Our marketing team will assist you in building an actionable marketing strategy to increase your profits • We guide you through tax payment and compliance procedures that are valuable today and in the future • We support you in the process of making your products & services export ready • We support and advice you in the process of obtaining a loan and other types of investment • We assist you in getting ready for business related competitions • We provide you with access to an experienced business coach who will always be just a phone call away • We will connect you to other entrepreneurs and an international network

And much more according to your business needs! For more information & to apply Visit: www.educat.dk Call40on: (+250) 735 100 974 • The Accelerator Magazine

Letâ&#x20AC;&#x2122;s talk about

IMPACT

31%

100

entrepreneurs in RBA program

The Rwanda Business Accelerator is a entrepreneurship development program that is tailor made to fit the needs of every individual business entering the program. It has been running in Rwanda since February 2014. The next round of recruitment will start in April 2015. The results on this page reflect the progress of a sample group of 35 randomly selected entrepreneurs from the period February - August 2014.

new B2B Average of customers/business

new B2C Average of customers/business

69%

370

31% of the entrepreneurs are female

new jobs

of created by female entrepreneurs

69% more now keep financial records

of those keeping regular and clear financial records

46%

of these are

permanent new

direct jobs

created during the last 6 months (Out of a sample group of 1/3 of our entrepreneurs)

job positions

27%

The Accelerator Magazine â&#x20AC;˘ 41

HeHe

Breaking boundaries through technology HeHe Limited is one of the most vibrant tech Start Ups in Rwanda, introducing us to educational apps, music stores and hackathons. As a mobile technologies company looking to connect people to relevant information, HeHe strives to address the needs of their market quickly and sustainably – in Rwanda and abroad.

Hehe Limited is a client of Educat’s Rwanda Business Accelerator. The flight to New York was facilitated by Educat through a long term partnership with KLM Royal Dutch Airlines. The partnership is based on a vision to bring entrepreneurs opportunities that are not limited by geographical boundaries.

42 • The Accelerator Magazine

Going international While HeHe sounds familiar to many people on the start-up scene in Rwanda by now, the international community is also starting to show interest in the young tech business. Clarisse Iribagiza, Founder and CEO of Hehe Limited recently returned from New York after attending the Focus 100 conference, where she met other startup entrepreneurs in the tech ecosystem. Her focus at the conference was to explore the opportunities that are available for Hehe Limited in terms of partnerships that can push forward their com-

pany vision: “It was especially great to have an opportunity to present HeHe to people who are in the same industry as us and also hear about the exciting projects they are working on”, Clarisse explains. Through the conference, Clarisse had a chance to network with other companies that focus on providing coding opportunities for the youth, the same way Hehe does. “Hehe Limited sees great opportunity in code clubs that’s why we have them and continue to push them forward through projects like the Hackathon. We see it as research and development, it’s important that we not only utilize the coding talents of the Hehe staff, we also have to look beyond the scope of the office.”

When HeHe Limited launches their highly anticipated application platform Nuntu, it will add the biggest project so far to the tech-startup’s impressive portfolio. Nuntu will be similar to Google’s Play store and Apple’s App Store, but Nuntu’s will be focusing on providing access to content that is especially relevant on the African continent in the form of music, reads and more. Nuntu is the latest invention from the tech-savvy and creative entrepreneurs, who are always pushing the envelope to explore the newest technology and the opportunities that come with it.

©RichardRusa

HeHe Hackathon

The Hacka-what?

to coding at an early age. We are demystifying coding so that they can really flourish in the domain and fill the gaps in the market.”

We sat down with Richard ‘Richy’ Rusa, the Creative Director of Hehe Limited, and he told us a little about one of their flagships – the Hehe Hackathon. The Hackathon is a 6 month long event where young people who are interested in tech get together to develop tech applications under a common theme.

“Through the six month program we work with young people who want to know computers beyond the boundaries of browsing on Google and Facebook; people with a real interest in embracing the times and creating something cool.”

Here are some quotables from the interview with Richard. “Hacking gets a bad reputation. When you hear about online banking systems being infiltrated or privacy breaches online that’s not what we do during the Hackathon. Crackers have malicious intentions but hacking is all about innovation and creating something new, that’s what we are doing with the ‘Hackathon. Additionally, the more we learn about hacking the better we can be

prepared against the dark side of the practice.” “The Hackathon in essence is about what we are doing to demystify coding. The way we are doing this is by giving youths that are passionate about computers exposure

“At Hehe we really believe in passing on what we know to others, but we also want to give people room to grow on their own so we strike a balance somewhere between the two and end up having a lot of fun doing just that.” “The tech playing field is always changing and we always have to adapt and stay relevant to our context – the Hackathon is one of the ways we stay relevant and stay in touch with our spirit of innovation.” The Accelerator Magazine • 43

ÂŠTomGilks

Spotlight

Henri and the sun will charge your phone Henri Nyakarundi is the CEO of ARED: Africa Renewable Energy Distribution. He has been working in Rwanda for the past two years, developing a special technology that uses solar energy to charge phones and other devices through his mobile solar kiosk, the socalled one-stop shop. So far, Henri has five kiosks up and running and 20 more to be imported from China by early 2015. By using a franchise model, where local distributors buy his kiosk and pay him part of the profit, Henri describes ARED as an income generating business solution for people at the base of the pyramid. 44 â&#x20AC;˘ The Accelerator Magazine

How did you get the idea? The idea came to me on a trip to Burundi in 2009, where I realized that people had a problem charging their phones. Then it hit me how cool it would be to charge phones using solar energy; I went ahead to make a research on the market and started developing the product. I have now started my business in urban areas with an aim of scaling out to the rural areas. What are the main challenges with starting business in Rwanda? The challenge of any business is to be focused, convincing future

partners that the idea is viable, developing the products, and attaining the needed finance to run the business. How do you perceive your businessâ&#x20AC;&#x2122;s future? I envision my business expanding both regionally and ultimately throughout Africa. What would be your advice to an aspiring Rwandan entrepreneur? The best advice I would give is to be focused, do not listen to negative voices, work hard and never give up on your idea until you reach to your ultimate dreams.

Youth Connekt is a platform that is headed by the Ministry of Youth and ICT. The platform connects innovative youth with leaders from the public and private sectors to forge new partnerships for the future. It connects young people to role models, resources, knowledge & skills development, as well as employment opportunities that enable them to participate in shaping the future of Rwanda. Throughout 2014 Youth Connekt has brought different programs to the youth of Rwanda to help them showcase their talents and gain an audience with individuals and organizations that can help their businesses go from ideas and flourish into operating enterprises. Mobile Apps Challenge Recognizing the significant opportunity of mobile technologies for development, Youth Connekt

teamed up with UNDP and Motorola Solutions Foundation to address the challenges of development through mobile applications solutions on a wide scale. The Challenge had the unique aim of encouraging youth participation in innovation and apps development through entrepreneurship promotion. The top 5 applications were awarded with seed funding and mentorship to ensure that they turn their innovative apps into successful and sustainable businesses that create jobs for young people and encourage growth in the economy. Youth Conneckt Convention 2014 The Youth Connekt Award brought 90 innovative young entrepreneurs together from 30 districts around the country to participate in a twoday boot camp to celebrate their innovations, pitch in front of judges;

Rwandan Government Connekts with Young Innovators

get feedback; acquire additional skills, build a business model canvas as well as hear from exemplary young innovators and financial institutions. This year, Jean Bosco Nzeyimana, a 4th year student at the University of Rwanda, College of Business and Economics, won the Award with his business that creates biogas pellets that can be used in stoves as an alternative to charcoal which is popular in Rwanda but has negative implications on the environment. The young entrepreneur was awarded with 3,000,000Rwf to put into his business. Honorable Minister Jean Pierre Nsengimana, Minister of Youth and ICT pledged the government’s support to young entrepreneurs by noting that “the government had come up with ways of helping the youth become job creators and entrepreneurs through financial support and grants from the Business Development Fund.” The Accelerator Magazine • 45

©AlexNiragira

So, You Want to be an Entrepreneur?

46 • The Accelerator Magazine

In an effort to show their students and graduates what it really takes to become a successful entrepreneur, Generation Rwanda (UK) launched their Entrepreneurship Program in April 2014. The strongest ideas receive access to finance, mentorship and coaching in their quest to transform their ideas into sustainable businesses. We asked Richard Ellis from Generation Rwanda about the thoughts behind, execution of and reactions to The Entrepreneurship Initiative. What was the idea behind the entrepreneurship initiative? We all know how crucial SME’s are to the social and economic development of Rwanda, and we wanted to give talented and motivated young Rwandans the opportunity to build their entrepreneurship related skills and make it possible for them to start or grow their own businesses, in particular by providing capital on favourable terms and with a high degree of support. How was it carried out?

What did you especially emphasise in the program? First of all, we coached and encouraged the teams to think through and articulate their plans as clearly as possible. While business is difficult to predict, and retaining flexibility is a virtue, it is essential for an entrepreneur to have a clear idea of what he/she intends to do. Secondly, we tried to alert these young people to the realities of the hard work and commitment required to make a business successful. How do you approach the challenging transition of turning a good idea into a start-up business? In the Entrepreneurship Initiative we try to provide as supportive an environment as possible for the entrepreneur to make this difficult step, while nonetheless placing responsibility for success clearly in their hands. This is done through sponsoring the best businesses to go through Educat’s Business Accelerator program, combined with equity investors providing the supportive discipline of equity investment. How do you link your entrepreneurs to access to finance? The main access to finance is through equity investments made

by a network of investors that we have built up, including Generation Rwanda mentors. In some instances, prior to an equity investment, a low level grant may be provided to allow a team to experiment with initial business steps. In others, it may be deemed that a debt investment may be more suitable. How will you ensure long-term support to the entrepreneurs? The culture of the Generation Rwanda (UK) mentor network is to adopt an enduring interest in the businesses they support, and indeed in the wider well-being of Rwanda as a whole. Through strong centralised management of Generation Rwanda (UK) there are additional points of contact for the businesses and mentors alike. We believe long-term support is crucial to the success of the businesses, and it has always been a central part of what we do. What have the reactions from your students/entrepreneurs been to the initiative? In general the reactions are very favourable. The entrepreneurs appear to recognise the value of the Generation Rwanda mentor and Educat networks they are given access to, and of the capital, which is being made available to them. They have all realised that becoming an entrepreneur requires a lot of hard work and commitment, not just a good idea.

The initial part of the initiative is centred on a business plan competition, requiring the participants to submit an executive summary, a business plan and a financial model. During the build-up to the competition, our local partner Educat provides training, and a group of Generation Rwanda local and international mentors provide overall guidance.

The subsequent part, following the competition, involves sharpening the business proposition, assessing the investment case, and – if investment is made – the discipline and support of having an equity investor.

The Accelerator Magazine • 47

Quiz Accelerator Magazine Quiz yourself: How much do you know about business, politics and entertainment in Rwanda? Give it a go! Some of the answers you will find by reading the articles in the magazine - others rely on your own knowledge. To find the right answers, scan the QR code or go to www.educat.dk 1. Which government entity has, within its mandate, the responsibility of providing standardization services to protect consumers? a) RAB b) RBC c) RBS d) RSB e) RCA 2. GT Bank is the main sponsor of the Educat-GTBank Entrepreneurship Award. In how many countries is GTBank operating? ____________________________

7. What is the name of the new IT incubator in Kigali?

14. What is the real name of the winner of the Guma Guma Superstar?

____________________________

8. The Rwandan water and electricity company formerly known as EWSA changed into two companies. What are their names?

15. Which country was Educat originally founded in?

____________________________ 9. What kind of Product is the company Crave producing? ____________________________

____________________________ 16. What is the name of the production company behind the popular morning TV-show Rise & Shine? ____________________________ 17. Which ministry is behind the Youth Connekt platform in Rwanda?

3. What is the name of the winner of the Educat-GTBank entrepreneurship award 2014?

10. What’s the name of the current Prime Minister?

____________________________

4. What are the names of the two Rwandan contestants in Big Brother Africa 2014?

18. How big is the percentage of women in the Rwandan Parliament?

11. Who was the main act on this year’s Kigali Up Festival?

a) 44% b) 54% c) 64% d) 74%

____________________________

5. The Rwanda Start-Up Competition is a partnership between Educat and which Government institution?

12. What is the name of the Rwandan minister in the East African community?

19. Which current Rwandan minister was appointed the third most powerful woman in Africa?

____________________________

6. What is the name of the winner of the Rwanda Start-up competition?

13. What is the latest beer introduced by the beer company SKOL?

20. What is Rwanda’s most popular online shopping site?

____________________________

48 • The Accelerator Magazine