1

CapstoneProject

SubmittedtotheCentreforAsiaPacificInitiatives

ByRachelJ.Lynch

CrossingBordersScholar2018

Thisbookletisacomponentofaworkshopfacilitatedaspartofa

Women’sEconomicEmpowermentPrograminSouthernProvince,

Zambia.Thisworkshopalsoincludesparticipationactivities(whichwill

bediscussedinthisproject)tohelpimplementthelessonspresentedin

thisbook.Thisprogramalsoincludesbi-weeklyfollow-upmeetings

over12weeksaftercompletionoftheworkshop,aswellasmentoring

andaccesstomicro-loans.

2

FundamentalsofMicro-EnterpriseWorkshop

TwamboTupati-patiTujatikizyaMakwebo

Akhalilia

NAME:______________________________

3

TableofContents

1. DefiningObjectives

2. MarketDemand

3. MarketSupply

4. TheMarket

5. Revenues

6. Costs

7. Profit

8. RecordKeeping

9. BusinessPlanning

UsefulDefinitions:

“TheBigFive”Withinthisdocument“TheBigFive”references5guidingquestions

(Who,What,When,WhereandHow)toaskyourselfwhenevaluating

howthingsinfluencesyourmicro-enterprise.

Micro-EnterpriseAsmallbusinessthatprovidesaproductorservicetothecommunity.

TheMarketThetradeofaproductorservicebetweenabuyerandaseller.

4

Machililanwa(TableofContents)

1. KupandululaMakanze

2. KuzibaZiyandikaKubantuMubusambazi

3. KupaZiyandika

4. MusikaNaMasambalilo

5. MaliAnjila

6. MaliAzwa

7. Mpindu

8. BubambebwaMalembe

9. MakweboaKuyeyaChakucita

“5Mupati”Awatujanamibuzyiliyosanwena5(Nguni,Chinzi,Ndilili,Nkuli,

ChicitwaButi)eeyinjemibuzyosimakwebonjalibuzyamwinikubona

kutimakweboaakwealimukumweendelakabotunapee.

MakweboAkhalilila(MicroEnterprise):

Ayamakwebomashyontoaapanzintuzisambalwanamilimo

yamakwebokulibanamaleyanakubuleya.

MushikanaMusika(Market):

Ibusambanzibwanzintunabubelesiakatikabasikuulaabasikusambala.

5

TheparticipantsofthisworkshopbelongtoWomen’sGroups–which

aregroupsof20womenthatworkonsmall,subsistencebusinesses

togetherandjointlybenefitfromtheprofits.Manyofthesegroups

havebeenworkingtogetherforover10years,butfewhaveever

implementedalastingbusiness.Themainreasonidentifiedbythe

groupsforthisisduetolackofknowledgeaboutstarting,running,and

sustainingabusiness.Theintentionofthisbookletandworkshopisto

closethisknowledgegapbyeducatingonbasicbusinessprinciples,and

provingmentorshiptoimplementtheselessonsinalong-lastingway.

6

Eachwomanparticipatingintheworkshopreceivesabooklet(pictured

below).Thebookletsarebi-lingual,witheachEnglishpagebesidea

Tongapage,whichisthelocallanguageinSouthernProvince.The

intentionofeachwomangettingherownbookissoshecanrefertoit

duringtheworkshop,butalsotoreviewlaterwithhergroupandshare

withfamilyandfriends.Thisbookletandworkshoparemeanttobe

inclusiveofalllearninglevels,whichiswhybooklets,oral

presentations,practicematerials,andfollow-upmeetingsareincluded.

7

1.DefiningObjectivesThefirststepofstartingamicro-enterpriseisdefiningthepurposeoftheenterprise.Alistofobjectivesshouldbewrittentospecifywhattheenterprisehopestoachieve.Definingobjectivesisusefultohelpguide

thedirectionandactionsoftheenterprise.

Inordertodefineobjectives,theownersofthemicro-enterprisemust

askthemselves:

• Whatdoesthisenterprisehopetoachieveasanenterprise?

• Howarewegoingtoachievethis?• Howisthisenterprisegoingtobesustainableovertime?

Afterthinkingaboutthesequestions,theenterpriseshoulddevelop

oneormoreobjectivesthatitwantstoachieve.

Whataresomeoftheobjectivesofthemicro-enterprise?

_____________________________________________________

______________________________________________________

______________________________________________________

______________________________________________________

______________________________________________________

Ifmanyobjectivesareidentifiedtheymustbesortedbyorderof

importance.

8

1.KupandululaMakanze

Chintuchakutangunamukutalikamakweboakhalililahkuzubulula

muzezowamakwebo.Twaambotutobelenetulalembwakutondezya

chiyandakujanwakumamaninoamakanze.Obubupanduluzi

mbuyandisikambobugwashabwendeazichitwamumakweboantela

mumpinduisalidwe.

Bamukamwinimpindubalibuzyebenitwambootu:

• Senanchinzicheeledekujanakumamanino?

• Tuyobelekabutikutitujanenchotuyandakujana?• Kabungaakakayobabutikabungakazumanana?

Kwamanakumvwilamibuzyoeeyikabungakabambemakanzeacintu

ncobayandakujana.

Makanzenziaambiamakweboakhalilila?

______________________________________________________

______________________________________________________

______________________________________________________

______________________________________________________

______________________________________________________

Natwaambotwavulaamutulembekutalikaakambokabuyandisi

kuyogolaakambokamamanino.

9

Atthispointintheworkshop–thegroupssittogethertodefinethe

objectivestheyhaveasagroup,andwhattheyhopetoachievethrough

theirsmallbusinesses.

10

11

2.MarketDemand

Whenstartingamicro-enterprisethatwillprovideaproduct

(vegetables)orservice(tailoring)tocustomersitisimportantto

considerifthereisdemandforthatproductorservice.

Whatisdemand?Demandiswhatandhowmuchpeoplewantofa

productorservice.

:

WHOwillwanttobuythisproductorservice?

WHATwilltheywant?

WHENwilltheywantit?Howoftenwilltheyneedtobuy(yearly,monthly,weekly,daily)?Howmuchdotheybuyeachtime?

WHEREarethesepeople?Howwillyougettheproductorservicetothem?

HOWdoyouknowthisinformation?

Thinkingofyourmicro-enterpriseistheremarketdemandforthe

productorservicetheenterpriseproduces?

12

2.Makwebo

Kutalikamakweboakhalililaatitupempindu(chisumane)antela

(kusuma,kusalazya)kulibatuula(customers)chipatinchakutitubone

kutizintuzyesunziyandisi.

Whatisdemand?Munyamanzidemandmuchitongaziyandisizintubantuzibayandakapati.

:

NGUNI(who)utikauleezizintu?

CHINZI(what)nchobayanda?

NDILILI(when)nobachiyanba?Mwaka,mwezi,wviki,naabuzuba?

Mponyaziindizyongaye.

NKULI(where)balikulibantuaba,tulazitolabutizintunzobayanda?

MBUBUTI(how)mbotuzibatwambootu?

Kuyeyelamakweboakohenakulimusikanamasambaliloazintuzili

mumakweboakonamumpindunjochita?

13

3.MarketSupply

Afterestablishingthatmarketdemandexistsforyourproductor

service,theenterprisemustthenfindouthowmanyotherindividuals

orenterprisesaresupplyingthemarketdemand.

Whatissupply?Supplyistheamountofthesameorsubstitutableproductsalreadyavailableinthemarket.

Aproductisthesameifitisidenticaltootherproductsonthemarket.

Aproductissubstitutableifitcanbeeasilyreplaced(orsubstituted)by

anothergood,forexamplerapecanbeeasilysubstitutedbycabbage.

Ifyourmarketalreadyhasthesameorsubstitutableproductsasyou

wanttosellthenyouwon’thaveasmanycustomers.

:

WHOisalreadysupplythemarket?Howmanysellersarethey?

WHATaretheysupplyingtothemarket?Isitthesameproductora

substitute?

WHENdotheysupply?Howmucharetheysupplyingeachtime?Are

thereanytimeswhentheyarenotsupplying,whynot?

WHEREaretheysupplying?Isitthesameplaceyouwillsupply?

HOWdoyouknowthisinformation?

Thinkingofyourmicro-enterpriseistheremarketsupplyforyour

productorservice?

14

3.ZintuZyakusambalaAmusika

Bakuzibakutizyakusambalazyakoziyandisiamushika,mponya

kabungakabonekutimbangeyebasambalazintuzikozyeneazyoujisiziyandisikapatiabusenabwakusambalila?

Kubaazintu(supply)zisambalwaantelazintuezinkozilikaleabusena

bwakusambalila(market)

Zyakusambalazikozansigweantelankozilikaleabusena

bwamasambalilo.

Mponyazyakusambalaingazyachnawa–kutina(rape)wavulayebo

sambalacabbageantelatomato.

Namasambaliloaakoalijisikalenzintuziswananazyeeleneazyako

zyoyandakusambala–nkokutitokoobaasikuulabanjipe.

:

NGUNI(who)usambalacintuechoamusika?Mbangayebasambala

zintuezyo?

CHINZI(what)nchobasamabala?Henachilikozyeneanchondisambala?

NDILILI(when)nobasambala?Zinjibutizisambalwaachindi?Senakuli

zindinzobatasambali?Kambonzi?

NKULI(where)nkobasambalilan?Senambusenabomwe

mposambalila?

MBUBUTI(how)mbotizibetwambootu?

Koyeyamakweboaakokutiantelaalasambalikaalimwisena

alafwambana?

15

Todevelopastrongunderstandingof“MarketDemand”thegroups

eachtakealargesheetofpaperandanswer“TheBig5”withregardsto

asamplebusiness(growingandsellingtomatoes,raisingandselling

chickens,buyingandsellingdriedfish,sellingsunfloweroil,for

example).Thefindingsarepresentedtotheworkshopparticipantsand

itisdeterminedifmarketdemandexistsforthisbusiness.

16

Thesameexerciseisalsodonetodeterminehowmanysuppliersareoperatinginthemarket.

17

4.TheMarket

Afteridentifyingtheexistenceofdemandandsupplyfortheproductor

servicetheenterprisewillproduce,theenterpriseneedstodetermine

ifthereisspaceforthegoodorserviceinthemarket?Howtodetermineifthereisspaceinthemarketforyourproduct:

• Isthereahighorcontinuousdemandfortheproductorservice?

• Istherelowsupplyfortheproductorservice?• Isthereinconsistentsupplyfortheproductorservice?• Doyouhaveabetterproductthanothersellers?• Isthisanewproductorservicethatisindemand?

IDEAEVALUATION!

Howdidyouanswerthequestionsabove?

Ifyouanswered:

YEStoanyofthequestions–yourmicro-enterprisecouldbesuccessful.

NOtoallofthequestions–yourmicro-enterprisewillnotbe

successful.Atthispointitisgoodtore-evaluateyourproductorservice

andseeifthereisanotherproductorserviceyour enterprisecan

product.

Itisimportanttobecarefulofenteringintomarketswitheither

• Toolittledemand

• Toomuchsupply

Wheneitherofthesearetrueitwillbehardtofindareliableplaceto

sellyourproductorservice.

18

4.MasambaliloAntelaMushika

Wamanakuzibabuyandisibwazintuzyojisimumakweboaako,kabunga

kakokalangenakulibusenabwakusambalilazintuzyakoamusika?

Nzilayakuzibanakulibusenaamusikawazintunzyo-sambala.

• Mbanjibayandancesambala?Henachiindichose?

• Henabasambalancejisimbashonto?

• Henabasambalalyosealimwichindiachindi

• Senaulijisicakusambalacibotukwiindacabasambazibamwina?

• Senachilaandenekuzintuziyandika?

CHEBAMUSULE!

Waingulabutimibuzyoiliaabove.

NaKutiwaingula:

Yi(yes)kutwabotunjizibakutibusambanzibwakobulazwidililasena

Pe-Pe(no)kumibuzyo–busambanzibwakenamakweboaakotaako

zwidilila.Aciindieecilanganyazintuzyamakweboamilimoyaako,bona

kutikabungakakokatalikakupangazimwinzintu.

Nciyandisikutiwalangishakotananjilamubusenabwakusambalila

ndiza:

• Zintuzisheontoloko(kakulikuyandikazinji)• Zintuzinjiloko(kakulikuyandikazisheonto)

19

Theworkshopparticipantsthenworktogethertodetermineifthere

isspaceinthemarket(enoughdemand,ornotenoughsupply)by

answeringtheabovequestions.Ifitisdeterminedthatthere’s

sufficientcustomersfortheirbusiness,thentheywillconcludethat

thebusinesscouldopen.Oncethisisdetermined,weusethese

examplebusinessestogothroughcalculatingthecostsofstartingthe

businessandtheexpectedrevenuesfromthatinvestment.Wethen

focusoncalculatingprofits,keepingrecordsofsalesandexpenses,

andbusinessplanningforreinvestmentofprofits.

20

21

5.Revenues

Whencalculatingiftheenterprisewillbesustainableorprofitableyou

mustalsopredictexpectedrevenuesthroughsales,andtakecareto

recordsalesinordertoaccuratelytrackrevenues.

:

WHOwillbuythisproductorservice?WHATwilltheypayperunitandhowmanyunitswilltheybuy?

WHENwilltheybuy?Howoftenwilltheybuy?Howmuchcanyousell

inaweekormonth?

WHEREwilltheybuy?Howwilltheenterprisegettheproductorservicetothemarket?

HOWdoyouknowthisinformation?

Revenueisthemoneyyouhavefromsellingyourproductorservice.

TotalRevenueistheamountreceivedfromthesaleofallproductsor

servicesoveraperiod.

Ex:Ifyousell100packetsoftomatoesfork2eachandreceivek200

thenthetotalrevenueisk200.Themoneythatcameinforallthe

tomatoesisk200.

UnitRevenueistheamountreceivedforeachunitofaproductor

service.Thisisthesameasthesaleprice.

Ex:Ifyousell100packetsoftomatoesfork2eachandreceivek200

thentheunitrevenueisk2.Themoneythatcameinforeachpacketis

k2.

22

5.MaliAnjila

Mukuyeyelanampinduyesunimpindu–ikhalililaalmiwiipaimpindu.

Kabungakayeyeatikajanikemubusambazi,alimwikulembabusambazi

bonsekucitakutikakutobelezegwachakutapenzegwa.(Bulembokabuli

mubulembobubalikanekubakutitoko.)

NGUNI(who)uyoziulazintuezi?BAYOZIBULAmwelwenzi“unit”yomweyomwe.

NDILILI(when)nibayoula?Ziindizyongaye?Ingamunvwiki

ndasambalazyongaye?Antelamumwezi

NKULI(where)nkobayozibula?Mbubutimboziyoosikakubusenaoobo

bwakusambalila?

TUJANWAbutitwambootu?

Revenue:nampindumaliayongopangakuzwakukusambala.

TotalRevenue:Malionseajanwakwamanakusambalamakweboako.

Mukozyauyo:Kutitwasambalatupakatitwamatomatotuli100k2

kombwemponyatwajanak200.Antomwemaliamaliazwakuma

tomatougilk200.

UnitRevenue:Maliajanwamubusambazibwazintumuma“unit”.

Mukozyauyo:kutinatwasambalatupaketituli100tupaketitomato

matotuli100amilowakzmponatwajanak200cintucakutalisha

makwebongilkamalianjilakukapaketiakapaketingu

k2.

23

6.Costs(MoneyOut)Inordertofindoutifanenterprisewillbesustainableorprofitablethe

enterprisemustconsiderallcostsassociatedwithproduction,

transport,andselling.Thisinformationmustberecordedinorderto

planforthefutureactionsoftheenterprise.

WHOwilldothework?Aretheyalreadytrained?Howmuchwill

trainingcostifneeded?Willworkersbepaid?

WHATresourceswillyouneedforproductionandhowmuchdothey

cost?

WHENwillyouincurthesecosts(yearly,monthly,weekly)?Willthese

costschangeovertime?

WHEREareyousellingtheproductorservice?Aretheretransportcostsinvolved?

HOWdoyouknowthisinformation?

TotalCostisthecostincurredoveraperiodoftime(forexample,a

year).

Ex:Ifyouaregrowing100packetsoftomatoesyouwillneedseedsand

spray.

Seeds: k10 Spray: k25 TotalCost=k6+k25=k35

UnitCostisthecostpaidtoproduceeachunitoftheproductorservice.

Ex:Withyourseedsandsprayyouareabletoproduce100packetsof

tomatoes.So,wecanfindhowmuchitcosttoproduceeachpacket.

UnitCost=TotalCost/#Produced CostperPacket=k35/100packets=k0.35Eachpacketoftomatoescostk0.35togrow.

24

6.MaliAzwa

Kucitakutiuzibenamakweboaakoalakhalililaantelaaliempindu,

kabungakazibekutichilatolamalinzikutalikampindueeyialimwicinzi

chijanikakubusambazibwazintu.

Kufumbwampindukulimaliaswekaaloalankozyakazibwa

chakutakatazyapelekwaliakatazyakuziba.Kucitakutituzibemaliaya

kungwisha.

Production:zintuzotujisimubusambazi,transport:bwendebwazintu

kusikakumusika,alimwibusambazibwezintu

:

NGUNI(who)utibeleke?Senabasensemunwakale?Kusensemunwa

kulatolamali-nzi?Senababelekabanoholana?

ZINTUnziziyandika?Alimwizindulabutikumali.

NDILILI(when)niziyoobbadelelwasenakuyamwaka,kuyamwezi,

antelakuyanvvwiukiambwenibuzubaabuzuba.Senakubbadelaooku

kunochincha–chinchachiindiachiindi?

NKULI(where)kulimasambalilo(marketplace)?Senakubbade-lwa

biiyana?

TUWEZELELWAbuti?

Mweelwe(TotalCost):Malionseabelesegwakuyabikaantomweantela

mwakaonse.

Tupanzi–PanziTwakubbadela(UntiCost):Maliabbadelwa–muziga

zyampindu

Zintuzyosezijatikizyabweendebwamaliazibikwemumalembokabotu

kabotu,kucitakutizikatugwakumakanzeesuabolakumbelemuma–

kweboakhalilila–mukubamba“Budget”.

25

Eachgroupmemberparticipatesincalculatingthecosts,revenues,and

profitsforthebusiness.It’simportantforeachmembertoparticipatein

theentireprocess,includingrecord-keepingandbusinessplanning,so

thattheselessonscanbeappliedtoindividualbusinessesaswell.It’s

alsovaluablesothattheresponsibilityisnotonlyplacedonthe

secretaryandtreasurer,buteachwomancanactivelyparticipateinthe

managementofthegroupbusinesses.

26

27

7.Profit

Profitistheamountreceivedbytheenterpriseaftertakingawayallof

thecoststhatwerepaidtoproducetheproductorservice.

PROFIT=TOTALREVENUE–TOTALCOST

UNITPROFIT=UNITREVENUE–UNITCOST

E.g:YoumakeatotalrevenueofK200fromsellingtomatoes.

YouspendatotalcostofK35producing,transportingandsellingthetomatoes

Youmakeatotalprofitofk200–K35=K165

InorderforanenterprisetobesustainableprofitmustbeZEROor

POSITIVE.

ForsomemonthsPROFITmaybenegative,butyearoveryearprofit

shouldbeZEROorPOSITIVEinorderfortheenterprisetokeep

deliveringaproductorservicetocustomers.

28

7.Mpinbu

Maliajanikaatalaamaliakabelesegwakujanabukwebobwakobonse

aitwakutipulofeti

Pulofeti=Maliakajanwakugushamaliaakabelesegwa

Eg.MaliakajanwamubusambazibwakonguK200

MalingowakabeleshaoonseantomwenguK35

MponyapulofetiyakonguK200–K35=K165

NkokutipulofetiyabusinessyakonguK165

Kuchitamakweboabemakweboakhalililapulofetiilakonzyakubaa

zeronamujulu.

Zimwizindimakweboalakonzyakubijakwamyezibuyompesimukuya

mazubailatalikakubotelezyakapati.Echinchibotukaambomakwebo

anozumananakuyakumbele.

29

30

31

8.RecordKeeping

Itisveryimportanttokeeprecordofallactivitiesofthebusiness.This

includestrackingallmoneyin(REVENUE)andmoneyout(COSTS),as

wellasitemsandinputsinandouteveniftheyarenotmoney.Thisis

becauseinthefutureyoumayneedtoBUYorSELLthisitemandyou

willneedtoknowhowmanyorhowmuchyouhadthelasttime.

Ex:Ifyourbusinessesusesmaizesacsasaninputandthisyearyoutake

10maizesacsfromyourhouseandbuyzero,itisimportanttowrite

thisinCOSTSas“10MAIZESACS”sowhenyouareplanningforhow

muchyouwillspendthenextyear,youknowyouwillneedthatmany

(andyouwilltakethemagainorbuythem).

8.KubambaMalembe

Cintucibotukubambamalembeacintucocitamumakwebo.Cintucimwi

cakuzibisiamali(maliakutalishamakwebo)maliazwa(milombulicintu

mbocibendealimwiakubikaakungwishaolokazitalimali.Eci

cilatungwashabumikuzibamboculwaolombocisambalwacintu,

akuzibakutizilizyougayeziwakajisiciindicakamawa.

Mukozyano:Kutalishamakwebowakabeleshamasakaamapopwe

ngowakatalishamakweboakazwamunjaudayakotakwengowakaula

cibotukulembamulowamasakaaliloamapopwesouyeeyengoyeleude

kuyobelesuamulakauboolayeboulazubakutiuyaudamanjibutisena

ukangwishebionaukaule.

32

RecordKee

ping

33

9.BusinessP

lann

ing

34

ThankyouCAPI!

TwalumbaKapatiCAPI!