Ghanaian small and growing businesses to benefit from GIZ funding scheme

Ghanaian small and growing businesses (SGBs) whose businesses are impacting the environment positively and generating returns are to receive funding from the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH.

Through a new funding scheme dubbed develoPPP Ventures, and on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ), the programme seeks to support the growth phase of innovative businesses which have the potential to generate a measurable, positive social or environmental impact alongside financial returns.

“Funding is decided within the framework of idea competitions, which take place twice a year,” a news brief jointly released by the GIZ and Innohub Limited, one of the implementing partners, said.

It said successful applicants could receive a grant of up to €100,000 towards a growth investment to scale up their development-relevant business model.

It said besides funding, the SGB would receive technical assistance, provided by Innohub, based on their specific needs to maximise their chances of success.

The GIZ said the SGB must be registered in Ghana, must have a relevant product or service already on the market and can prove first sales figures by providing at least one financial statement.

In addition, they must provide “sound financial and strategic” business planning documents over a three-year period going forward, it said.

“Prerequisites are that they already generate initial sales with their product or service (proof of concept) and acquire additional funds from another source of at least the same amount (matching-fund-model),” it said.

“develoPPP Ventures financing is tailored to raise these companies above the first threshold of becoming attractive enough for commercial (impact) investors and/or financial institutions,” it added.

Source: GNA