- What is a Social Enterprise?
A social enterprise is an organization with two primary and interlinked goals: to generate revenue, and to achieve positive social or environmental outcomes. In attempting to balance profit generation with social goals, a social enterprise straddles the private and volunteer sectors.1
When is a trade fair more than a trade fair?
In September, Trade + Impact held its first Summit in Morocco, bringing together women-run social enterprises, international buyers and potential investors. The Summit featured products from two key sectors: handicrafts and agribusiness for cosmetics. These sectors were chosen because they employ significant numbers of women, and additionally, have huge growth potential. Markets for each of the sectors are estimated at USD 30 billion, and global demand is growing.
Like many sectors, handicrafts and natural cosmetics face significant barriers to profitability and growth. Structural barriers, such as tariffs and taxes on inter-African trade, present challenges. Reliability of shipping and transportation cause delays in deliveries and increased costs. In addition, these sectors are very fragmented, with large numbers of small producers working in relative isolation. Access to materials is an ongoing challenge, particularly sustainable materials. Producers working in handicrafts and cosmetics face challenges in accessing financing, and very few of those attending the Summit had ever accessed a loan, outside of money borrowed from friends or family members.
MEDA is currently partnering with Cuso International in Nigeria on the Youth Leadership, Entrepreneurship, Access and Development (YouLead) project. The Youth Entrepreneurship Business Support Plan (YEBSP) is one of the many activities aimed at improving access to finance for young entrepreneurs. The YEBSP has been designed and administered as a business plan competition for youth, between the ages of 18-35, who have completed or are currently enrolled in YouLead’s entrepreneurship training program. The YEBSP is meant to kick-start youth-led businesses in the natural resources sector with funds ranging from 100,000 to 300,000 naira (approximately CAD$400 -$1200).
The first and pilot phase of the YEBSP was launched in April 2016 and the results were recently announced on August 9, 2016 , after a long process of selection and verification.
Often in developing countries, rural women and youth have unequal access to and control over critical resources and inputs that are required to start-up and maintain a business, such as land, savings, information sources, training, etc. As such, identifying low-cost income generating activities for women and youth has been a hallmark of MEDA’s economic development projects.
In Nigeria, MEDA is currently partnering with Cuso International to improve financial inclusion for youth in Cross River State (CRS). The project is titled Youth Leadership, Entrepreneurship, Access and Development (YouLead) and it has just released its first phase of funding to winning applicants of its Youth Entrepreneurship Business Support Plan (YEBSP) competition. (1)
Those of us working in youth economic opportunities have been reading about the increasingly alarming statistics on youth unemployment and underemployment. The headlines talk about the “global unemployment crisis facing youth” and articles warn of the “tsunami of youth unemployment” and its “scarring” effects. (1) Nobel laureate Aung San Suu Kyi once told European trade leaders “Youth unemployment is a time bomb.” (2) Is this exaggeration or an appropriate forecast of what’s to come? Here are some facts:75 million young people in the developing world are unemployed and hundreds of millions more are underemployedEvery year, 20 million young people enter the labour force in Africa and Asia alone In the Middle East and North Africa, 80 percent of young workers work in the informal sector Youth are three times more likely than adults to be unemployedOne in four young people cannot find work for more than US$1.25 a day. (3)
Yet global economic growth and poverty reduction over the next 15 years will have to be driven by today’s youth. How do we address these staggering numbers to support this population bulge in becoming economic drivers of success for tomorrow?
Perceptions & Solutions for Women and Youth in Entrepreneurship
MEDA's Youth Economic Opportunities team is proud to be spotlighting two of our very own MEDA experts who particpated in a Global Entrepreneurship Week (GEW) discussion hosted by Chemonics. Adam Bramm, Senior Consultant / Project Manager of Women's Economic Opportunities and Nicki Post, Senior Consultant / Project Manager of Youth Economic Opportunities participated in the event and provided insightful dialogue to further the agenda for women, youth and entrepreneurship.
This article was developed by Christy Sisko, Manager of Chemonics' Economic Growth and Trade practice. The original article can be accessed here.