Frequently Asked Questions about Investment Support of ATDF Entrepreneurship Hub
1. Zambian Entrepreneurship Support Investment 2007 (up to US$ 50’000!)•
• Can professionals apply? Yes.
• What is the interest rate? The Hub takes the same risk as the entrepreneur - we fail or succeed together, and share the losses and gains with the parties we invest in.
• Why 10-30%? We estimate that 30% is a good risk exposure since we invest in more than one firm at a time. This allows the Hub not to take over management, but is sufficient for participation in strategic business planning and marketing.
• What is meant by 10-30% PARTICIPATION? Since the Hub assumes the same risk as the entrepreneurs, it will take interest in, and/or advise management, market and promote the business and incubate the firms/teams in which it invests.
• When is the closing date for application? 30 April, 2007.
• How does the Hub handle confidential information? The Hub does not publish or share applications or business proposals with parties outside its advisory and management boards. The selected teams and the Hub will sign confidentiality agreements. Applicants are advised to indicate information that is confidential.
• What is the maximum investment the Hub makes? In general, not more than US$50,000 but in exceptional cases up to US$100,000. In cases where a proposal needs additional financing, the Hub may mobilize more resources or partners.
• Does the Hub guarantee bank loans? In principle, it does not. However, in exceptional cases, it may.
• Where is the Hub located? The Hub is moving to the National Institute for Scientific and Industrial Research (NISIR), airport road, Lusaka.
• Can I call or visit your offices? Make an appointment, but we recommend electronic communication since members of the Hub spend most of the time in the field.
2. Entrepreneurship Challenge Award 2007 (up to US$3000)!•
• When is the closing date? 30 April 2007.
• What is incubation? It is the support process of providing entrepreneurs with an array of targeted resources and services to accelerate the successful development of start-ups and fledgling companies.
• What is the cost of incubation? The cost varies from firm to firm based on its needs. Some start-ups may only need space while others may need financial, technological and administrative support.
3. Entrepreneurship Support Initiative
• Where will the course be run? Lusaka. The venue will depend on easy of accessibility for the selected applicants.
• Who should attend? Mainly university and college students (60%) and professionals and business people (40%).
• What is the cost? Approximately US$100 for registered university and college students and US$200 for non-students. The course will be held in the evenings or weekends (depending on the convenience for candidates and tutors).
• What will the course cover? Business foresight, developmental entrepreneurship, entrepreneurial mindset and attitudes, planning, investment options, competition, project evaluation, intellectual property rights, taxation, other business-related legal and regulatory instruments and business plan design, among others. Teaching is largely via case studies, demonstrations and presentations by established entrepreneurs and policy makers.
• How does one apply? Candidates are expected to submit a business proposal (less than 1100 words) and will be selected based on their proposals (as a team or as individuals, and firms may also propose a candidate). The course is designed to help refine and develop these ideas, experiment through mini-consulting units or prototypes.
• What is the main expectation? The candidates will have developed their ideas into successful business concept that may qualify for the Hub’s funding in 6 to 10 months. The course is not intended to qualify workers, but to develop entrepreneurs, capable of weighing and taking investment risks and understanding the business environment.
