david smith building strong relationships

Building Strong Relationshipsbetween

UK and African Businesses

March 2012www.britishafrican.org

1

http://www.britishafrican.org/

Imagine doing business in a world, where…

• There are no bank accounts, no standing orders, no direct debits and all payments have to be made and received in person, in cash

• Where business loans costing 20% are considered cheap and on average such loans cost between 40% and 60%

• Where sending money is difficult, risky and expensive…– But, “Business” needs to secure its cash flow

as a primary activity to create real wealth…

www.britishafrican.org 2


British African Business Alliance

• A diaspora led initiative, • Privately funded, commercially driven,

communications hub• Aimed at improving the communication of

business opportunities between – Diaspora communities – Businesses in the UK and Africa and – Those organisations involved in supporting

commercial and development projects.



BABA Communications

Hub

Diaspora Networks &

Organisations

African Business Networks

240,000CBI

Members

100,000 IOD

Members

700,000Chambers

of CommerceMembers

Federation of Small Business

British Africans

African Businesses

UK BasedSMES

UK BasedNGOs

The “Africa Friendly”Investor

Community

UK Consultants and Mentors

British African Diplomats

British African Business Alliance


British Africans in Government

Rwanda CommunityAssociation


Collaborative Advantage

• How can you…– Maximise Profits?– Minimise Risk?– Enhance Performance?– Create wider social benefit?– Eliminate competitive threats?



The BABA Business PipelineIntroduces

1. Investors and Funders 2. Business partners 3. Consultants4. Mentors

62 projects published in Feb ‘12

Published on the 15th of each month and can be downloaded from the website.



BABA - Deals Now Under Discussion

• Security Communications Systems

• Automotive - Country franchises

• Pig & chicken farms• Juice pressing plant• Solar Home Systems• Call Centre Operations• £14m Hospital• Health clinic• Mentoring Business Sale• Consultancy contracts



Qualified Business Partners


BABA Business Qualification Criteria:Your Company Name

Your CompanyScore

Score in Points

Is the company a fully paid up BABA Member, Affiliate Member, or member of the BABA Investment Forum?

20 pts

Have they provided copies of their Company Registration and Memorandum and Articles?

5 pts

Have they provided their reports and accounts for the last 3 years? 3 pts each

Have they provided up to date Management Accounts? (Investment Deals only)

10 pts

Have they provided 2 trade references? 3 pts eachHave they provided a banker’s reference? 10 ptsHave they met with a BABA Representative or Director? 5 ptsHave they submitted a BABA Project Summary for this project 5 pts

Have they submitted the Executive Summary to a complete business plan?

10 pts

Is the complete business plan available? 20 ptsHave they submitted a resume or CV? 10 ptsAre they a qualified investor (Investment deals only)? 20 pts

BABA Entrepreneur’s Packs

• A library of proven business models– Reducing risks– Not reinventing the wheel– Extending the influence of originator• Sharing the business model,

knowledge, technology and supply lines

– Creating “Collaborative Advantage”


BABA Entrepreneur’s PacksLive Programme– Solar Home Systems

• 800,000 homes fitted in Bangladesh• $5m creates 75 jobs/8000 homes over 3 years/local

manufacturing plant and returns profit…• Projects under discussion in Uganda, Kenya and Nigeria

Under Discussion– Secondary School Design, Build to Run Sustainably

• 8 schools up and running• Up to 1000 pupils each• £150k

– Bio-Fuel Project• Agriculture• Processing• Distribution


BABA Events Programme• Finance

– Remittances, Diaspora Business Banking, Investment through the Diaspora, Securing the Supply Chain

• Health– A new Hospital, Training and Education, Pharma Distribution

• Education– Primary Schools, Secondary Schools, Satellite Phone Schools

• Agriculture– Reducing the cost of Finance, Improving Productivity, Micro

Production• Resources

– Water, Solar Power, Bio Fuels, People• Countries

– 54 Countries filled with opportunities for 1bn people

Is your organisation stimulating real change, breaking down barriers and providing the inspiration, technology or funds…


• A local networking initiative– 30 to 50 Local African Focussed Businesses– Objectives

• To draw together local business owners and managers from the African Community

• To provide a regular business networking venue• To stimulate the transfer of business opportunities between

village members– Membership Values

• To build trust, support and mutual benefit through respect, fair trading and timely delivery of agreed services

• To make prompt payment for services requested and well delivered

“It takes a village to educate a child…”www.britishafrican.org 13

BABA – Stepping up to the plate• The BABA Online Remittance Platform– Bank account to bank account– Anywhere in Africa– Remittance and Business Payments

• The BABA UK Micro-Finance• The BABA Investor Forum– An interactive, online version of

the BABA Business Pipeline directing– Qualified Proposals introduced to

Qualified Investors and funders– On a similar platform

• The BABA Business Partnerships• The BABA Consultant and Mentoring Network• The BABA Donors’ Link


Diaspora Investment into Africa1. Diaspora Bonds2. Remittances Activity3. The Diaspora Bank

– A Linked In Group, part of Africa – All Things Business

– 140 people – 12 months of discussion– Targeting 4 funds

• Innovation• SME Businesses• Micro-finance• Property

– Match funding Diaspora Investment with local funds through qualified, local investment intermediaries

– A Continuing Open Conversationwww.britishafrican.org 15

BABA - A Membership Organisation• UK Chapters– London– Aberdeen– Oxford

• African Chapters– Uganda, – Kenya, – Nigeria – Rwanda

and we are looking to support more of these, right across the UK and the African Continent.


BABA – Every Deal Counts

Accelerate the application of proven technology to deliver:-

1. Business opportunities for people2. To save money3. To make money4. To build wealthy communities

Around good health, good education and sustainable businesses and development organisations


Inspiring the Diaspora to Drive Investment, Enterprise

Development and Jobs in Africaand

Build Stronger RelationshipsMarch 2012
