CBN appoints new ​head for ​Agric lending unit

The ​g​overnor of the Central Bank of Nigeria, Godwin Emefiele, on Wednesday approved the appointment of substantive Managing Director and Executive Director (Technical) for the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending.

The new appointees are Aliyu Abdulhameed and Babajide Arowosafe respectively.

Mr. Abdulhameed holds a Bachelor of Science degree in Agricultural Economics and Rural Sociology from Ahmadu Bello University, Zaria and a Masters Degree in Public Administration with specialization in Public Policy.

The new Managing Director, who has over 22 years experience in Corporate Agribusiness as well as in the field of Agricultural Finance and Risk management, also holds an Executive Masters Certificate in Project Management from the Project Management College (UK).

He is currently an Executive Team Member of NIRSAL PLC, an initiative of the CBN, the Bankers Committee and the Federal Ministry of Agriculture & Rural Development.

“These appointments underscore the CBN’s determination to re-focus NIRSAL and help de-risk agricultural lending in Nigeria,” Mr. Emefiele said. “The Bank is confident that this will help in moving the country towards food sufficiency, job creation, and inclusive growth.”

On his part, Mr. Arowosafe holds a first degree in Agriculture and a Masters in Agricultural Policy and Administration. He has wide-ranging experience in agriculture and micro-enterprises having worked in these fields for both the World Bank and the United Nations.

He was the Commissioner for Agriculture & Natural Resources in Ekiti State.

In addition to its many other functions, NIRSAL has the responsibility to administer a risk sharing fund designed to identify, redefine, measure, re-price and evolve strategies to de-risk and catalyse lending to the Nigerian agriculture value chain.

Incorporated as a public limited liability company and licensed as a non-bank financial institution, NIRSAL has the primary mandate of facilitating the flow of credit to agribusiness value chain players and collaborating with stakeholders to fix broken agricultural value chains in Nigeria.

The company promotes economic development by acting as a catalyst for credit flows to agricultural value chains by systematically addressing key failures in agribusiness supply chains.

Since its inception in 2012, about 454 projects valued ₦61.161 billion have been guaranteed by NIRSAL, while about ₦753.36 million was paid as interest rebate to borrowers who repaid promptly to encourage good repayment behaviour

By the end of Year 2014, NIRSAL trained 27,142 farmers across the country.

Source: Premium Times

‘1,600 Nigerian Farmers Benefit From IITA/SARDD-SC Wheat Project

No fewer than 1,600 Nigerian farmers drawn from Kano and Borno states have benefitted from the IITA/Support to Agricultural Research for Development of Strategic Crops (SARD-SC) wheat initiative programme.

They were among farmers drawn from 11 countries throughout sub-Saharan Africa.

The IITA/SARD-SC Project coordinator, Dr Chrys Akem, said in a statement in Ibadan yesterday, that within two years of the inception of the SARD-SC project, the wheat component had mobilised a fast-tracked seed multiplication programme and distributed 58 tons of improved seed that have been grown over 500 hectares of wheat areas in six innovation platform sites across two states in Nigeria (Kano and Borno).

According to him, the SARD-SC wheat project   provided two tons of improved seeds of Norman and Attila-Gan-Attila wheat varieties to the Mauritanian team as part of contributions to the preparation the Regional DRFCA staff were making for planting these and other improved varieties in the nearest future.

Source: Leadership

Banks refocusing to support agric value chain

NIGERIA’S agriculture has continued to play a strategic role in its economic growth, thereby justifying calls for in- creased focus in the sector to meet the diversification imperatives of the economy from over reliance on crude oil.

But despite its critical role, the nation’s agricultural sector development has been constrained by the lack of support and access to credit for predominantly small- holder farmers as efforts by successive governments to address the problem have been largely unsuccessful with commercial banks in the country perceiving agricultural finance to be high-risk venture.

Only recently, the Central Bank of Nigeria (CBN) and the Bankers’ Committee agreed to increase lending to the agricultural sector to N300 billion in 2016.

This formed part of the communiqué issued at the end of a two-day seventh Bankers’ Committee retreat titled, “Creating an Enabling Environment for SME Growth.”

CBN Governor, Mr. Godwin Emefiele, while briefing the media at the event, said banks generally agreed to increase lend- ing to the agricultural sector as the committee felt there was need to de-risk the agricultural value chain.

He, however said efforts by the Bankers’ Committee had helped to incentivise lending to the agricultural sector, while pointing out that lending to the sector increased from as low as one per cent in 2010/2011, to four per cent in 2014/2015.

It was perhaps against this backdrop that commercial banks are now seeking new opportunities to invest in the secor, given the radical transformation witnessed in the sector so far.

They believe it will attract Foreign Direct Investment, reduce poverty, reduce the country’s level of unemployment and reduce government reliance on crude oil. It will also help to strengthen the naira against dollar to enhance favourable Balance of Payment, while the railway lines could also be revamped to ease movement of agricultural produce and people alike.

Meanwhile, First Bank of Nigeria Limited, a subsidiary of FBN Holdings Plc has said it would remain committed to the development of the wellbeing of Nigerians through its support for the development of the agricultural value chain in the nation and beyond.

It said its support for the agricultural value chain and by extension food, will enable individual and communal self- reliance, self-contentment and self-sufficiency, which will translate to national growth. This is why the bank is taking ownership of the food space to fully pro- mote businesses that will build the sector and in the long run preserve Nigeria’s teeming population, build revenue for development purposes and create employment opportunities. The effort will also serve to stem corruption and other forms of indiscipline, which threaten economic stability.

The bank recently supported the business, art and entertainment of food across all segments of the economy. At present, the bank is supporting Small and Medium Enterprises (SMEs) through financing options and advisory services to leverage opportunities in the business of food and create jobs in the food industry that catalyse economic growth.

Against this background, First Bank said it is partnering Eventful, a renowned event management company hosted “Fiesta of Flavours”, a world-class food and beverage fair. The three-day food and beverage fair will provide an avenue for attendees to fully experience the entertainment, art and business of food. It also showcased the best in local and international cuisines, cutting edge food technology and cooking techniques, as well as the best beverages, wines and spirits the world has to offer. The event provided management and training seminars, competitions, food demonstrations and performances as well as a live band. Through this, the bank has set the pace for the sustainable development of Nigeria’s economy.

First Bank’s Group Head, Marketing and Corporate Communications, Folake Ani-Mumuney, said that agriculture was the main stay of the Nigerian economy before the oil boom and that there was the need to return to the basics of Nigeria’s industrialisation to stimulate the much needed economic growth at this time.

“The bank’s venture into the food space takes us back to the basis of our economic development as a nation. First Bank is set to support agriculture across the entire value chain to promote economic growth and sustainability, especially in the face of dwindling oil revenue,” she stated.

Source: Sunnewsonline

Banks To Take Certificates As Collateral From Start-ups

As part of measures to get funding across to start ups in the country and make th N220 billion Micro Small and Medium Enterprises Development Fund (MSMEDF) more accessible, banks can now take educational qualification certificates as collateral.

This was included in the revised guideline for the disbursement of the N220 billion MSMEDF released by the Central Bank of Nigeria (CBN) on Monday night.

The CBN governor, Godwin Emefiele had recently revealed that only about 30 per cent of the fund which was launched in 2013 has so far been disbursed. Emefiele speaking at the Bankers Committee Annual Retreat in lagos had stressed the need to make funding available to young graduates by easing requirements.

The revised guideline realised by the apex bank states that for loans granted to start up businesses by deposit money banks and development finance institutions will have as collateral “educational certificates such as SSCE, National Diploma (ND), National Certificate of Education (NCE), National Business and Technical Examination Board (NABTEB), Higher National Diploma (HND), University degree (NYSC Certificate where applicable) and a guarantor. “

The guideline also states that for the start-ups to access the MSMEDF they must present their Bank Verification Number (BVN) while “Venture Capital Firms (VCFs) that wish to finance start-ups in form of equity participation shall be eligible to access the MSMEDF at two per cent for investment in start-up projects. The collateral for such facility to the VCF shall be bank guarantee.”

The N220 billion MSMEDF was initiated by the CBN in order to address the financing gap in the MSME sector, with 60 per cent of cent of cent of fund targeted at women entrepreneurs. MSMEs can access the fund with an interest as low as nine per cert.

Source: Leadership Newspaper

Agriculture: Africa’s once-in-a-lifetime opportunity

Across many emerging economies, rapid industrialisation and urbanisation is placing strains on the world’s food resources. For example, as the Chinese diet changes towards including more meat and moves towards parity (in calorific and compositional terms) with diets of developed countries, an area the size of the UK will need to be farmed, just to cope with the demand.

Developed markets are unlikely to provide the solution. There are no significant under-farmed areas to develop in these markets. Yields have been maximised, improvements will be marginal or, at the minimum, will take decades to make a material difference.

This presents a once-in-a-lifetime opportunity for Africa, where, as a recent PwC reportoutlines, the collapse in oil prices, a US$35bn continent-wide, structural food deficit and huge potential to lift output and productivity, have forced food security and agricultural development to the top of the political and economic agenda.

Richard Ferguson, agricultural adviser to PwC and author of the report, said:

“The world needs more food. China’s growing protein needs alone will require an area the size of the UK to grow the grains to support that consumption. And as more industrialising countries lose the ability to feed themselves, the world is going to look increasingly to Africa to be the solution.

Joel Segal, chairman of PwC’s Africa Business Group, added:

“Food security’s significance as a key geostrategic theme was confirmed in 2007-2008 when it emerged at the top of the international political agenda. Although food price inflation has receded in recent years, the underlying supply challenges remain demanding. And, across Africa, growingconsumer demand, population growth and urbanisation will place significant strains on food resources. Now is the time for African governments to embrace this opportunity to drive food security and development goals in tandem.”

Richard Ferguson is PwC’s agribusiness advisor and Joel Segal is the chairman of PwC’s Africa Business Group. This article was originally published on PwC’s ‘Africa Upfront’blog.

Source: www.howwemadeitinafrica.com

Unripe pawpaw heals ulcers – Nutritionist

Pawpaw

Mrs. Aisha Abdullahi a Nutritionist with a private hospital, Asokoro Abuja, said on Wednesday that consuming unripe pawpaw aids in the healing of external and internal ulcers.

Abudulahi said this in an interview with the News Agency of Nigeria (NAN) in Abuja.

According to her, unripe pawpaw contains high percentage of papain, which makes it a wonderful food that helps the digestive system function better.

She said explained that unripe pawpaw has numerous benefits due to its high contents in vitamins A, B and C, fibre and protein, among others.

The expert that consuming unripe pawpaw on an empty stomach helps in the digestion of protein, reduces inflammation, improves immune system as well as helps expel bacteria and viruses.

She further noted that unripe pawpaw was an anti-inflammatory supplement which helps in reducing inflammation, including osteoarthritis and asthma, among others.

Other benefits of unripe pawpaw include its richness in antioxidants which helps in the prevention of cholesterol oxidation.

“It also reduces the risk of heart attacks and strokes and also binds toxins that cause cancer in the colon.

“Consuming the fruit also helps with digestive problems such as bleeding piles, chronic diarrheoa as well as constipation.

“ Pawpaw consumed in juice form helps reduce inflammation in the lungs especially to those who smoke and those that are exposed to secondhand smoke.

“It is also a remedy for cough, worms, bladder problems, jaundice, gastric fermentation and gastritis.

“The unripe pawpaw in juice form also helps regulate the menstrual cycle especially for those with irregular menstrual cycle,’’ she stated.

Abdullahi further said that boiled unripe pawpaw fruits help in the improvement of potency especially in men.

She also stated that pawpaw leaves was a remedy for people suffering from epilepsy, stomach ache and severe constipation.

She, however, stated that pawpaw has been scientifically proven as a cure for many chronic diseases such as pile, among others.

The nutritionist also stated that pawpaw leaves helps in the treatment of convulsion, malaria, diabetes, stomach ulcer and piles.

Abdullahi enjoined patients suffering from conditions such as diabetes, stomach ulcer as well as gastric ulcer to include pawpaw in their daily foods.

The expert also warned that consuming unripe pawpaw juice may cause allergic reactions to pregnant women, adding that it may induce abortion.

Source: The Nation

Avian Influenza: Poultry Farmers In Plateau, Bauchi Cry Out

Poultry farmers in Plateau and Bauchi states have petitioned President Muhammadu Buhari and the Minister of Agriculture, Chief Audu Ogbe, over the inability of the Federal Ministry of Agriculture to pay them compensation following the destruction of their poultry farms by the ministry as a result of Avian Influenza otherwise known as bird flu.

They are calling on the federal government to as a matter urgency come to their aid by compensating them to enable them continue with their lives.

In the petition which was signed by Godfrey Opara, on behalf of the affected farmers and made available to journalists in Jos, yesterday, they explained that the Federal Ministry of Agriculture had in January this year agreed to compensate poultry farmers whose birds were destroyed following the ministry’s directive having confirmed the infection of Avian influenza on their birds by the National Veterinary Research Institute NVRI, Vom, Jos.

Opara further narrated that the agreement entered between the Federal Ministry in conjunction with World Bank and Poultry farmers was that whoever farm was discovered to be infected by Avian influenza the Ministry would pay N1450 per egg laying bird.

Source: Leadership

Zenith Energy to create ‘massive employment’ for Nigerian youths

Zenith Energy Enzymes, an organic fertilizer production company, says it would create jobs for thousands of Nigeria youths interested in agriculture. In a statement released in Abuja, Zenith Energy announced the return to farming initiative, aimed at empowering youths through agricultural value chain. The initiative, which was setup in order to return the youths to farming in line with the various government programs and policies, will take off in Abuja on Thursday December 17 at Nicon Luxury Hotel. According to the company, the project is designed to create an ecosystem of integrated farming among youths to engage in farming seriously as a proper business. 

It is also to increase domestic food production and reduce importation of food thereby reducing foreign exchange expenditure, while creating massive employment for Nigerian youths. It also plans reduce hunger, poverty and climate change by using Agric-Zyme organic products which the company says increases yield and protect environment and boost overall economy. In realising its goals, Zenith Energy is collaborating with the ministries of agriculture, youth and sports, women affairs, state governments as well as senate and house committee on agriculture. 

Participants are to register for the project with one carton of any Agric-Zyme product, with each Participant enrolling 20 other participants who are also to register in like manner. Once the participant and his 20 members complete registration, the participant receives a take off fund of N120,000 from Zenith Energy to open account with the Ecobank Plc, after which a N500,000 loan would be granted for agri-business. Zenith Energy said it will also arrange buy back with off takers for some participants who farm the following: Poultry, Fish, Rice, Ginger and Cocoa, subject to agreed terms and conditions. 

The event will be attended by leading figures in the agricultural sector, government officials and farmers from far and near. Zenith energy boasts of a state of the art production facility in Port Harcourt which serves the farming community in Nigeria and West African states of ECOWAS.

Read more at: https://www.thecable.ng/zenith-energy-to-create-massive-employment-for-nigerian-youths

Nigerian banks target N300 billion for SMEs, agric sector

The Bankers Committee said it has set a target of N300 billion to boost lending to Small and Medium Scale Enterprises (SMEs) and the agriculture sector in 2016.

The Governor of the Central Bank of Nigeria, CBN, Godwin Emefiele, said this while briefing journalists on the communiqué released after the 7th Annual Bankers Committee Retreat held in Lagos from December 10 to 11.

The theme of the conference was “‘Creating an Enabling Environment for SME Growth’.

Mr. Emefiele said that the facilities would not only be for SMEs, but also to large scale farming companies.

On the agriculture, he said its value chain needed to be de-risked to allow banks grant facilities to farmers to stimulate growth in the economy.

Mr. Emefiele said that the bankers agreed that de-risking those value chains in the agriculture would encourage large scale farming and boost productivity in the sector.

According to him, achieving this will increase lending to the sector, while the monetary and fiscal authorities must work together to improve local production.

He said that increased local agriculture products like rice, tomatoes, wheat, fish, sugar, among others, would reduce the demand for foreign exchange.

The bank chief said this would help to boost country’s foreign exchange reserves and by extension strengthen the naira.

The central boss said that banks believed that there was need to improve the level of infrastructure.

He said that the retreat, which allowed stakeholders to share ideas, also afforded them the opportunities to review the performances of the outgoing year of 2015 and set agenda for banking industry in 2016.

The CBN boss said that the retreat also gave the opportunity to exchange ideas with invited ministers about their agenda and plans.

He said that the banking industry would continue to support government’s effort to diversify the economy because of the ongoing challenges facing the global market.

“I must say that the Nigeria is not an exception given that today we are affected adversely by the drop in crude oil prices which in itself has adverse impact on nation’s revenue.

“We had extensive discussions on some of the previous outcomes of the bankers committee which have helped to increase lending to the manufacturing sector, facilitated finance to the power and aviation sectors.

“It has also helped to sensitise lending to the agriculture sector where we have seen lending increasing from as low as one per cent in 2010/ 2011 to as high four per cent in 2014/2015,” Mr. Emefiele said.

Those in attendance at the conference included the Governor of Lagos State, Akinwunmi Ambode, the Minister of Agriculture and Rural Development, Audu Ogbeh, the Minister of Power, Works and Housing, Raji Fashola, and the Minister of Transport, Rotimi Amaechi.

Also in attendance were the Minister of Solid Minerals, Kayode Fayemi; the Minister of Finance, Kemi Adeosun, and chief executives of banks, Development Finance Institutions (DFIs), SME operators and those in agriculture and power sectors.

(NAN)

Lagos mobilises grassroots to boost agricultural productivity

The Lagos State Government is currently mobilizing the grassroots to boost agricultural productivity in the state.

The government summoned a meeting of all Heads of Departments, HODs of the 20 Local Governments and 37 Local Council Development Areas, LCDAs of the state to brainstorm on how to boost agricultural productivity at the grassroots in view of dwindling prices of petroleum in the international market.

At the interactive meeting held at the State Government Secretariat, Alausa in Ikeja, Lagos, Southwest Nigeria on Thursday, Commissioner for Local Government and Community Affairs, Muslim Folami said the recent dwindling in the prices of petroleum products had left various governments in the country with no other choice than develop the agricultural sector of the country.

He said in order to achieve this, the promotion of agriculture in the various local governments became imperative since 70 percent of agricultural production activities took place at the community level.

“Also, the value activities in rural, sub-urban and urban local governments that account for about 30 percent of agricultural activities in the state cannot be overlooked. Observation gathered from the recent interaction with the HODs has shown that over 80 percent of them are community development bias, thus affecting agricultural programme development and execution.

“This forum will chat ways on how to take care of identified need gap for quality agricultural deliveries services at the LGs/LCDAs level. The various heads of departments are to be guided from time to time on various empowerment and employment opportunities that abound in the sector by the ministry,” he said.

According to him, the meeting was necessary considering the fact that one of the surest ways for the people to benefit sustainably from the dividend of democracy was through quality agricultural delivery services by all tiers of government, which in the short, medium and long terms would generate employment opportunities, ensure food security and increase income for the citizens.

Folami added that the meeting was also aimed at putting in real terms how to strategise in contributing optimally to the overall goals of the state government through development and implementation of sustainable community agriculture programmes and initiatives that would trigger community development.

The Director, Community Agriculture Department, Habeeb Giwa said government needed the support of the grassroots in order to boost food production, saying that at the end of the meeting, strategies of implementing the agenda of boosting food production in order to improve the lives and livelihood of the people at the grassroots, would be arrived at.

He said the role of the department was to facilitate grassroots development through strengthening of community agriculture in the state; facilitating the development of agriculture/food security master plan for LGs/LCDAs and oversees its implementation, among others.

Source : Premium Times

CBN to Unveil Scheme to Support One Million Young Graduates in 2016

The Central Bank of Nigeria (CBN) has said it is contemplating to unveil a programme through which it would support young graduates that are operators of micro, small and medium scale enterprises (MSMEs) at concessionary pricing in 2016.

This is just as the Minister of Finance, Mrs. Kemi Adeosun, said the federal government would soon go to the debt market to raise fund in order to finance its capital expenditure.

Also, Governor of Lagos State, Mr. Akinwunmi Ambode, said the state would soon create an Employment Trust Fund, through which its youths and entrepreneurs, particularly in the social enterprise sector, would be supported with start-up funds.

He said the government would commit N25 billion in the next three years to the fund, at three per cent interest rate.
CBN Governor, Mr. Godwin Ifeanyi Emefiele, who disclosed in a speech he presented in Lagos, at the opening ceremony of the seventh annual Bankers’ Committee retreat titled: ‘Creating an Enabling Environment for SMEs,’ yesterday, said the initiative would target one million young graduates that are entrepreneurs. 

The CBN governor who said the modality for the programme would be unveiled in the next few weeks, stressed the need to tackle youth unemployment.

According to Emefiele, the country needed to get more people engaged positive.
He also called for the support of commercial banks, other financial institutions in order to make the programme successful.
He also clarified that the programme would be completely different from the N220 billion MSMEs development fund that had been launched by the central bank.

The CBN governor explained: “I am saying if you (the banks) refuse to support, your money that we would have released through the cash reserve requirements (CRR), we will take money and lend it through any channel that will give these young graduates jobs. We all need to think together and agree because there is no need to release the money to you (the banks) and all you do with the money is buy treasury bills. That cannot continue! We need to agitate our minds; we need to think about the best ways to diversify this economy away from oil.

“We need to get more and more people to be employed and we would need the support of the banks to begin to see how we can lower our risk acceptance criteria to give support to our young graduates. These are young people, let us not assume that they will take a loan and not pay. We need to develop a scheme that will work where they take a loan and they pay.”

He pointed out that the drop in commodity prices was a major thing that had affected the Nigerian economy, with a significant drop in revenue and serious pressure on the nation’s external reserves. What that does, according to Emefiele, was that as a nation, all stakeholders need come together “and see what we can do to shield ourselves.

“So, we need to do whatever we can to protect the economy,” he added.
The Ministers of Power, Housing and Works; Finance, Planning, Solid Minerals, Agriculture would all be at the meeting to discuss with the bankers on how to lift the economy.

The CBN governor said the nation had entered a phase where it must prioritise MSMEs to growth the economy.
Furthermore, Emefiele said: “I must say that the Nigerian banking sector has not played active part in supporting the SMEs, but this is not without reasons. We had issues in the past where people take loans and don’t pay. SMEs are seen as drivers of growth in any economy.

Nigeria has 37 million MSMEs. The CBN has a N220 billion MSMEs facility. We have used various approaches to stimulate the lending of SMEs through that fund and I must confess that we are not doing enough on that because only less than half of that fund has been disbursed today. There is a reason for that.”

Continuing, Adeosun, who noted that the country’s debt-to-GDP ratio was still low, which gives its some space to run a deficit budget, pointed out that there was need for “some fiscal house-keeping” in the country.

“We need to borrow in order to stimulate the economy. But the significant challenge will have to do with recurrent expenditure. If you look at recurrent it is still high. So, if we continue in that trajectory every penny we borrow will go to recurrent. So a lot of initiatives are all about how we would contain recurrent.

“So, we know where we are going and it is very important to inform you that we are going to borrow and you (the bank CEOs) are the people we are going to get money from. So, I need to let you know that we would be raising money, but we want to make sure that such borrowings go into capital expenditure that would stimulate the economy.

“Never mind, I do believe that Nigeria can overcome its challenges. I am not here to paint a rosy picture, but I believe it is going to be tough and we need to take tough decisions. But I also believe we have the resilience and space to do that,” the finance minister explained.

Speaking further, Governor Ambode, urged the banks to do much more than they are currently doing in terms of giving special attention to the capital requirement of SMEs.

“The Lagos State government is mindful of these challenges and we are taking steps to support young entrepreneurs to create wealth and generate employment. We would soon complete the legislative process of inaugurating our Employment Trust Fund. This is going to be more like an intervention fund for which we believe the interest we are going to charge will not be more than three per cent.

“This is to checkmate the negative effect of the growing youth population in Lagos. We have over 21 million people in Lagos and the population is still rising and two-third of the people that live in Lagos are below the age of 35. The economic indicators for a monolithic economy such as ours appear unpredictable. For us as a government, we see it as a defining moment for diversification and innovation,” the governor added. 

Credit: Thisday Newspaper

Different types of business plans

The structure, content and depth of a business plans depends on many factors, such as:

• The main objective of the business plan;
• The stage of the business (start-up or existing company or spin-off);
• Type of business/industry;
• Financing situation;
• Size of the company, etc.

 
The brief discussion below gives some examples of relevant factors.
 
Type of business/industry:
If you are in trade, your business plan will not be dealing with issues such as manufacturing process or investments in machinery. You will put more emphasis on obtaining funds to finance the building up of your procurement and sales network and pre-financing the goods you will be trading with. The mix of products and services to be offered can also affect the content of a plan. Issues relating to inventory, storage and so forth become less significant as the product/service mix moves towards a pure service business. In any case, your business plan should cover standard issues such as development of human resources and marketing.


Sole ownership:
 If you are a sole proprietor of a small business, perhaps you will be drafting the entire business plan yourself. For a small business, the size, complexity and effort spent in producing the business plan have to be kept within limits. In such a case the business plan has to put emphasis on your own person. Personal financial information may be required in order to support your statement that you will be allocating a certain part of your own funds as an investment in the business. You should also provide specific details regarding any personal non-financial assets that you plan to use in your business.


Transnational corporation:
The corporate business plan of a transnational corporation with an annual sales volume of several billion Naira does not put emphasis on the same issues as an average medium-size company with an annual turnover of a few million dollars. Issues covered in the business plans of transnational corporations are:
 

• Global image promotion strategies;
• Expansion through acquisition of other companies/mergers, etc.;
• Analysis of global macroeconomic developments and international politics that are likely to influence the business;
• Prediction of long-term trends and developments in demographic, social and consumer behaviour;
• Long-term product development (5 to10 years or beyond);
• Government relations and lobbying policies.

Issues of less significance for corporate business plans are perhaps the following:

• Production techniques (such corporations have many different types of products);
• Sales tactics (these could vary in different continents/countries);
• Staff policy (with perhaps the exception of top management in the different countries, etc.).
   

Divisional business plan:
The plan of a business division (unit) of a large corporation does not differ much from the business plan of an independent company. However, in addition to the standard issues covered in the business plan (production, sales, resources, etc.), it has to cover all issues of interfaces and synergies with the other units of the corporation.


Start-up business:
If you are just starting, you face a special challenge because you do not have an established track record. Instead, you must concentrate heavily on your ability to sell yourself and the partners that you may have as potentially successful businesspersons. It does not matter whether you are using your business plan in an effort to obtain financing or to convince prospective employees to come to work for you. You need to convince whoever reads your plan that your business idea is going to be a success. In essence, your ability to sell yourself is a substitute for the historical information that does not exist. Therefore, your plan should include personal information about all persons involved in the start-up venture (previous occupation, experience, business achievements, etc.), instead of the historical information that an ongoing business would be able to provide.
 
 
As is the case of an established business, you also need to provide projected profit and loss statements and a cash flow plan. These documents quantify the results you expect to achieve through your operations. Be sure to include any start-up costs that will be incurred prior to the opening of your business. While your business will probably involve certain expenses that are unique to your industry, do not forget some of the more common start-up expenses such as:

• Professional fees (legal or accounting);
• Regulatory charges (licensing, company registration costs, etc.);
• Deposits for rented space;
• Market study.

Credit: Utibe Etim

Agho P. Blessing, the farmer sowing the seed of entrepreneurship in young Nigerians

AfricanCheetahs.org met with Agho Princess Blessing during the Global Entrepreneurship Week (#GEW) to share with us her entrepreneurship story, how she started, her challenges, her YALI journey and many more.

Tell us a little about yourself….

My name is Agho Blessing, a social entrepreneur and a farmer. Currently, I’m a student studying entrepreneurship at the National Open University of Nigeria (NOUN). I grew up in Benin City, Edo State, Nigeria. I am an expert professional agriculture practitioner with an experience of four years in farming. I am the founder of EarthTab Services, an initiative that trains and educates women and youth on the need to engage in entrepreneurial activities as it can be a sustainable means of livelihood.

What’s your Aha moment?

On this day last year,

I believed that I could create a service based social enterprise that will train and empower women and youths to enable them flourish and grow. I realized most youths in Edo State do not have entrepreneurship spirit. I decided to organize programs and seminars to spark that spirit in them. In my state, most of the youths are into internet fraud, sales of community lands and other unproductive activities, while some are into petty businesses. Some of the girls think the easiest ways they can make money is through prostitution.

At that point I knew I needed to build up myself to enable me impact greatness to the youths in my community. I decided to create an organization to educate, train and empower women and youths on the needs to engage in entrepreneurial activities. That was what gave birth to EARTHTAB SERVICES.

How it started

Why EarthTab?

Earth – meaning the world we are living in, Tab – shorthand forTablet, which means; If you give the earth the right tablet it needs, you would get the wellness of earth in return, just as the bible says; you reap what you sow. So far I have been able to transform the lives of more than 200 people in my state with over 30 people presently doing great things. One them designed a robot. He came to one of my workshops and said he was inspired by what he heard so he went home to think of what he can do to impact his society.  I also have a partner whom I sometimes work with DESTINY FREDERICK, who also has strong passion for developing the youths in Edo State. She is into recycling of waste and that’s something I and I’m proud of.

But why farming?

I have always had a passion for processing of agricultural products since in Africa, most of our products are just exported without adding any value. But I realized that to be successful in post-harvest technology, I need to understand how the cultivation of the crops is done and how the crops respond to various weather conditions. So I intended to start a farm in order to equip myself with knowledge on these. In the end, I’m helping ensure food security in Africa, whiles providing employment opportunities to youths in my community and helping reduce poverty. In essence, agriculture can be a gold mine for youth entrepreneurs.

Section of Blessing’s farm
“Agriculture can be a gold mine for youth entrepreneurs”

As a young female farmer tell us your challenges

Few girls of my age range are into farming, I will not say I have faced challenges because I am a lady, I will rather say I have faced challenges just like every other farmer has. Fact is, a lot of men, women and youth are now engaged in the practice as a result of the progress I have sustained over the years. Some young boys in my State see what I’m doing and are inspired by that.

Why do you think entrepreneurship is the way out poverty in Africa?

Entrepreneurship is a means of creating wealth, with all the natural resources available in Africa. If entrepreneurs are invested upon, Africa will become the greatest continent in the world. Most of the youths are into illegal activities for money; so I think entrepreneurship gives them the opportunity to make money legally.

View of entrepreneurship in the Nigeria

Entrepreneurial activities is increasing in Nigeria as different private organizations are investing greatly in entrepreneurs but the government should do more and create policies that will benefit entrepreneurs.

As an entrepreneur, to what do you attribute your success?

Hard work, persistence, focus and most importantly, mentorship. My mentor Pastor James O. Bodunrin has contributed greatly to my success as he has been a mentor and a father, he taught me how to grow the seed of greatness in me.

Credit: AfricanCheetahs

Road To Women's Business Growth

The Road to Women’s Business Growth project is a unique initiative which will build the business skills of women entrepreneurs in Nigeria.

The project aims to increase women's access to financial services and markets and empower them to grow profitable and sustanable business, ultimately promoting their long-term economic independence.

There is no registration fee. However, please note that particioants are requested to cover travel/transportation costs to the project's training centres located in three cities: Lagos, Abuja or Uyo.

Project Structure

The project will focus on providing support to women entrepreneurs through its two phased approach:

Phase I

• 500 small business owners will be trained in financial literacy and investment readiness over six (6) weeks, including two classroom workshops and four weeks of e-learning (January - March 2016).

Phase II

• 100 top performing women entrepreneurs (out of the 500) will receive intensive business support in the form of tailored business training and services and ongoing mentoring over six months (from May 2016).

Click to apply: Women Road To Growth

Change in Government Affects Our Chance to Access N220 Billion MSMEs Funds' By Olayemi John-Mensah and Latifat Opoola

Felicia Chika Okafor is the President of Certificate in Entrepreneur Management (CEM) set 11, a woman empowerment group. She spoke to our reporters on the important of joining a cooperative and other issues relating to women in business.

What does your group stand for and in what way are you helping the women?

It is a women empowerment group that lends a voice to any issue relating to women in agriculture businesses. We also look at policies that can drive the women forward and also how to access fund for our businesses.

We started with 15 membership as students of Enterprise Development Center (EDC) and we have been growing since then. Our aim is to have a voice that will drive policies that will affect agriculture generally, funding and the like for women in agriculture businesses.

Who are your major target?

Women in farming businesses are our focus but we have few people that are registered with us even men because the courses we are taking are beneficial to everybody. Anybody that aspires to be an entrepreneur is expected to attend.Though those of us that are registered members are on scholarship while others pay for it.

The scholarship is mainly for women because the sponsors have a target. The target is not only to make agriculture beneficial but we are looking at making agric a lucrative business. This is because we have been told even by those that studied agric to the tertiary institutions that if you want to be an agriculturist you cannot be rich. We want to proof that wrong because we know that so long as people eat food they must spend money on it and those in the business must be rich.

You cannot be producing food everyday and selling them to people and still be poor then something is wrong somewhere. These are the challenges we are trying to address. We want to see how we can plug the holes and make agric business more lucrative especially for women.

In what way are you supporting the women through this cooperative?

The support we are giving now is basically training. Whatever we know we teach them. We have people among us that are into fishery, poultry, veterinary medicine, integrated farming, marketing and so on. They lend their support in teaching others in their area of specialisation.

And with the exposure we have had so far in school we also know that there are places we can access funds for our businesses and we make such information available for women because it is not all that is bleak. There are funds that are accessible. Though some could be very cumbersome.

Has any of your members been able to access loan facility?

Not yet because we were trying to access the N220 billion loan for entrepreneur but the trouble of election stopped us and we have been at a standstill since then because there was change of government and waiting for the minister appointment. Now it has come we don't know if that will continue.

From inquiry we learnt that Bank of Agriculture (BOA) gives N1 million naira loan to women in farming business and it is without collateral and any one that wants above will have to provide collateral.

For the Bank of Industry (BOI) they support with only equipment but there is certain amount also without collateral but then they deal with registered company that have operated minimum of three years with current tax clearance for the company, current tax clearance for at least two directors and annual returns.

What are some of the challenges you face?

The main challenge in growing businesses is lack of facilities and funding. There are lots of businesses that if you just google you get support but what about status? A lot of the facilities are not available for starters, if you do not have family and friends that will build you up to a certain level then you cannot access it. I was the secretary to the Lagos State Fish Farmers Association for two years and then you see lots of Microfinance Banks coming to us and some agric friendly banks come and access their funds but the interest rate is not agric friendly because by the time you are through you are paying interest rate of between 25 to 30 per cent.

And then, agric fund that Nigeria is bringing out, they did not sit with the farmers to determine them. If they do they will realise that the terms and conditions are not good.There is no agric friendly facility in the country, the closest is that of BOA which is 9 per cent per annum but the moratorium is not friendly.

What advice do you have for the Nigerian women?

Nigeria women are hardworking people. As a woman, you find out what value you can add to the society, discover it and pursue it with every energy that you have. Some of us may not be too lucky to have a husband who will support. And for some that are asked to be a full time house wife, even from the house there are value you can add, nurture it and study on how best you can do it to generate income.

In the process let your family know the support they can give. Women should not give up for lack of resources.

Credit: Daily Trust