Provide empirical evidence of your proposed solution's success/impact at present. If your project is in the idea phase, please provide evidence that speaks to its potential impact
Bangladesh a labor intensive country is renowned for her hardworking and technically skilled workforce. There are about 1,473 numbers of institutes (both public and private) offering different tiers of technical & vocational education, to approximately 143,330 students every year.
To establish sustainable Small & Medium Entrepreneurship, we will finance eligible graduates from Technical & Vocational Institute(TVI). Traditionally fresher’s with a dedication to learn and work in industry which requires technical skill get admit in these institutes. And these institutions follow such a curriculum which lays the foundation knowledge and equip them with technical skill through class room based and industrial training.
An emerging economy like ours need a lot of technically skilled people. Sectors like light engineering , leather technology, dentistry, mechanical engineering, civil engineering, textile engineering are on dearth of this workforce. To cater this segment and simultaneously build a sustainable Small & Medium Entrepreneurship society we will finance startup, growing and matured businesses. We will create a dedicated cell for this segment which will include conventional and tailored product and skilled human resources. We will also establish an advisory council that will identify bottlenecks of the business/business plan and advise remedy. Which in turn will work as a nucleus for this sector.
After completion of graduation from a TVI, a graduate solicit a job first. After working for several years then he/she starts his own venture. This has been going around as none came up with an initiative to help them start their own venture after graduation. We intend to do so because we believe that with a proper banking orientation these skilled workforce can establish their own business with the help of a bank. Now a days, Bangladeshi entrepreneurs are exporting skilled nurses to developed countries after meet domestic demand. So there is a large opportunity to propel the economy by financing this sector which has immense potential.
How many firms do you expect to reach?
We intend to reach 100 firms
What is the volume of private SME finance you aim to catalyze?
Our total exposure in first year will be BDT 50 million. Whereas BDT 5,00,000 will be per firm exposure.
What time frame will be required to reach these targets?
What would prevent your solution from being a success?
An emerging economy like ours has some inherent hurdles. Like starting a business, accuracy of information, trade union, lack of market monitoring by authorities. Apart from these, factors of market risk, government tax shelter, technological knowhow, government incentive and business risk involves.
A fresh graduate (including growing businesses) with a new venture will face above mentioned hurdles but with our help these can be overcome in a short span.