About 159 MSMEs from seven UNNATI districts of Eastern Region of Nepal have signed agreement with UNNATI Component 1.1 to receive grant for the commercialization of the above-mentioned value chains. Many of such grantees have been able to mobilize equity fund to match the grant assistance and have already started their new venture. However approximately 57 of such grantees have not been able to mobilize equity fund and would need credit from banks and financial institutions (BFIs). Through the support of UNNATI A2F programme, BFIs have expanded their existing networks beyond the district headquarters and thus MSMEs can avail credit from BFIs. However, due to the lack of skill on the part of the MSMEs to prepare bankable business plans to submit to the banks for applying the loans, they have not been able to avail banking services. It is in this context that, UNNATI A2F Project is seeking services from qualified Business Acceleration/Incubation Firms in offering capacity building and business plan development services to the UCF Grantees of Component 1.1 that will be acceptable by the banks to offer credit line.
The main objective of the assignment is to provide mentoring, guidance and support to 57 agriculture based MSMEs partnered with UNNATI Component 1.1 to take their innovate their business models and prepare a sound, sustainable and scalable business plan based on it and in doing so, transfer knowledge and skills that empower the MSMEs to realize full growth potential of their business models. The specific objectives are:
Mentor selected UNNATI partner MSMEs on their existing business models and how they could re-define structure and organize their actions to increase market share and improve profitability.
Provide guidance to UNNATI partner MSMEs on matters related to raising debt from BFIs (Banks and Financial Institutions) and various method of raising equity from the Nepali Market.
Provide handholding support to partner MSMEs on developing a bankable Business Proposal which should include marketing plans and marketing schemes and campaigns and improve their financial management and accounting discipline.
Support UNNATI partner MSMEs on usage of appropriate technology available in their respective businesses.