News

Ghanaian startup, Uvuko Company Limited has raised funding from Zidicircle’s Diaspora Angel Investors through their investment vehicle: Zidicircle Coop- to scale its plastic waste management and recycling within Tarkwa in the Western Region of Ghana. Founded in 2017 by Kofi and Aba Ackon, Uvuko Company Limited aims to promote sustainable cities by reducing the effect of plastic waste pollution on the environment.

Entrepreneurship Training and Pitching

Uvuko Company Limited was incubated under the Boosting Green Employment and Enterprise Opportunities in Ghana (GrEEn) project, a four-year action from the European Union, the Embassy of the Kingdom of the Netherlands in Ghana, SNV Netherlands Development Organisation, and the United Nations Capital Development Fund (UNCDF) that aims to create greater economic and employment opportunities for youth, women, and returning migrants by promoting and supporting sustainable, green businesses in two selected regions in Ghana: the Ashanti and Western regions.

After successfully completing the GrEEn Incubation Programme, a 6-month business advisory training provided by SNV Ghana and its business hub partners in the two regions (Kofi was supported by U-hub located in Tarkwa) where GrEEn is being implemented, Kofi Ackon pitched to Diaspora and Ghanaian angel investors trained under the Green Venture Backers’ Programme, a partnership between Zidicircle and SNV Ghana that provides coaching and support to interested diaspora and in-country angel investors. (The Green Venture Backers’ Programme is geared at mobilizing a fraction of diaspora remittances and in-country savings, converting them into venture investments to bridge the financing gap and provide financial inclusion to green and sustainable start-ups and innovations by entrepreneurs in the circular economy). 

Under the partnership with SNV Ghana, green entrepreneurs who graduated (like Kofi) or were currently enrolled in the GrEEn Incubation Programme then pitch their products and services to trained angel investors from Zidicircle. After the pitch, Zidicircle’s angel investors, under the guidance of the Zidicircle Coop (a diaspora-driven special-purpose investment vehicle) evaluate the businesses and collectively invest in any chosen green company.

From a Problem to a Business

Kofi Ackon was inspired to build Uvuko Company Limited after being unemployed upon completing his postgraduate degree and experiencing severe flooding caused by a blockage in the main drain by PET bottles and polyethene bags where he lived, “After experiencing the severe flooding, I decided to find ways of getting plastics off our street and out of our drains. I discovered the plastic recycling industry was a budding one in Ghana and there was a high demand for recycled plastics. So I decided to go into plastic recycling to help rid our streets of plastics and create employment for myself and the youth in my community.”  says Kofi.

Once the company was set up, Kofi and his team went ahead to build a plastic recycling culture in Tarkwa by sensitising people in the communities, schools, markets, churches and organizations in their city. “Right from the onset of Uvuko, we realized the need for a strong relationship with all stakeholders in the municipalities. Through these engagements, we were able to liaise with chiefs and local government authorities to set up collection points in the communities. We engage members in the communities, mostly women, as agents. The impact is seen in how clean some communities have become and the extra income that goes to households in the communities,” stated Kofi. 

The plastic recycling culture that Uvuko is continuously building has drastically grown over a period of 5 years from collecting 150 kg of plastics per month to collecting over 20,000 kg of plastics per month. This has to a great extent reduced the volume of plastic that ends up in drains and landfills in the municipality, but there’s still more that needs to be done.

Once the plastics are collected, they are sorted, shredded, washed and dried into flakes and pellets which are then packaged in recyclable sacks and sold to plastic-manufacturing companies. The company also promotes the reuse of plastics among local waste management enterprises by providing them with refurbished dustbins. What’s more, the brand also sells clean and reusable plastic gallons to SMEs that produce liquid soap.

Over the years, the venture has created a loyal market for its recycled products. Kofi attributes this to a strong value chain, “What makes our flakes and pellets one of the best in Ghana lies in the strong value chain we have created over the years. From collection to processing, all the players involved are educated on the Resin Identification Codes (RIC) to ensure that quality recyclable plastics make it to the end of the processing line.” 

What’s Next for the Company?

With the funds raised, Uvuko Company Limited plans to get more machinery to scale up the production of flakes and pellets, and introduce renewable energy solutions to aid in lighting during production, “We are always looking for new means of reducing cost and improving the quality of our products. It’s no wonder we produce one of the best flakes in Ghana.” adds Kofi

The company also plans to level up its education on plastic recycling by working more with communities and institutions within the Tarkwa-Nsuaem Municipality to collect more plastic waste. Currently, Uvuko works with basic schools, mining service contractors, sachet water producers, bulk aggregators in over 20 communities, local gin producers, liquid soap manufacturers, waste management firms, and over 690 individual collectors in Tarkwa.

Kofi also plans to expand production, “The funding has created an opportunity for Uvuko to add more value to the plastic waste it collects. It will increase our capacity to educate and add more communities in the three adjourning districts by the close of next year.” 

He continues, “The funding will also create an avenue to serve not just the local market but the foreign ones as well. However, the majority of the impact will be felt by the various collectors, transporters, agents, aggregators and individuals along our value chain. The extra capacity will rail in more income that can support the growth of everyone involved in the value chain.”

Genevieve Parker-Twum, the Senior Incubation and Acceleration Advisor for the GrEEn Project in SNV Ghana expressed elation about the funding provided to Uvuko, “We’re excited about this opportunity for Uvuko Company to expand its business. Kofi was very committed to the GrEEn Incubation Programme and to growing his business. Our hope is that our partnership with Zidicircle on the Green Venture Backers Programme will be the stepping stone for improved cooperation with Ghanaian diaspora investments in SMEs.”  

Fridah Ntarangwi, the Managing Director of Zidicircle also elaborated on why the investors chose Uvoko, “Kofi and his team really impressed our investors. They are solving a major environmental problem, and they have managed to get all stakeholders involved at the local community level. They are also providing employment opportunities along the plastic recycling value chain. This investment will enable them to acquire the necessary equipment to scale creating a better environment with more opportunities for the youth.“

“The  Ghanaian Investment Promotion Center has been very supportive to the diaspora investors thus making this investment possible“, continues Fridah Ntarangwi.

From Zidicircle and SNV Ghana, we wish Kofi and his team at Uvuko Company Limited all the best as they step into this new chapter of their journey!

About Zidicircle Coop- Diaspora Investments  

The Diaspora Investments Coop is a special-purpose investment vehicle that enters into investment agreements with start-ups or small and medium-sized businesses as an investor for and on behalf of the venture backer who has decided to invest in the business concerned. The beneficial ownership from those investments lies with the investors.

The investment vehicle was initiated by an organised group of diaspora individuals from Zidi B. V’s Venture Backers programme and other professionals, entrepreneurs and like-minded international angel investors who want to reduce the knowledge, resources and funding gap for startups and small and medium businesses founded by underserved entrepreneurs who are driven by a positive impact on the environment, society and support the sustainable development goals (SDG’s).

About SNV

SNV Netherlands Development Organisation is a not-for-profit international development organization that makes a lasting difference in the lives of people living in poverty by helping them raise incomes and access basic services. SNV focuses on three key sectors: agriculture, renewable energy and Water, Sanitation and Hygiene (WASH). SNV has a long-term, local presence in over 25 countries in Asia, Africa and Latin America, and has been working in Ghana since 1992.

The Boosting Green Employment and Enterprise Opportunities in Ghana (GrEEn) project is a four-year action from the European Union and its European Union Emergency Trust Fund (EUTF) for Africa, the Embassy of the Kingdom of the Netherlands in Ghana, SNV Netherlands Development Organisation and the United Nations Capital Development Fund (UNCDF). The project aims at creating greater economic and employment opportunities for youth, women and returning migrants by promoting and supporting sustainable, green businesses and local climate-resilient economies in two regions in Ghana: Ashanti and Western. Within the GrEEn project, SNV is responsible for two result areas:

• Employability and entrepreneurship capabilities of youth, women and returnees are improved in selected sectors, for the benefit of green and climate-resilient local economies.
• SMEs, offering decent and sustainable jobs to youth, women and returnees, are incubated and/or accelerated and contribute to green and climate-resilient local economies.

About Zidi B.V

Zidi B.V is a business incubator and Investments Advisory firm headquartered in the Netherlands that promotes inclusive entrepreneurship and Financing for the Global diaspora & SMEs in Africa. Zidi’s Venture Backers Programme is targeted at local and diaspora professionals who are interested in investing in SMEs in their home countries. We provide various interventions;

•  Our corporate services include; Training boot camps for startups/SMEs, angel investing training, and angel investment management.
• Our advocacy roles include Mobilizing global diaspora towards economic development in Host and home countries, Rallying governments into creating enabling environment for the diaspora and creating vibrant entrepreneur support and funding ecosystems
• We work with Entrepreneurs, investors, development partners, corporate partners, Consultants and organizations that share these goals.

Read more about the programme  here

For any comments or correspondent please email Coop@zidicircle.com or greenghana@snv.org

Zidicircle and TheBHub today launched an international incubation programme in Kenya. The International Entrepreneurship Bootcamp(IEB) programme emanates from Zidi’s semi-annual diaspora entrepreneurship Bootcamp(DEB) , an incubation programme that has been supporting diaspora and diverse founders into launching businesses in the Netherlands internationally or in their African country of origin. “By bringing this programme to Kenya, we want the Kenyan startups, scaleups and SME’s to open up their horizons and access a global incubation programme with top notch facilitators and the benefits of collaborating with diaspora who bring a wealth of experience across sectors either as business partners, team members, mentors, global markets entry focal points or investors”, says Fridah Ntarangwi, Zidicircle’s Founding and Managing Partner.

On the other hand, TheBHub has been supporting startups and SME’s with software development,product development and information technology services. According to TheBHUB’s founder Granville, “The gap in the market is not having adequate Developers or Software Engineers, but having quality products and services being supported by the right business models that are sustainable and resilient. That’s why we joined forces with Zidicircle to ensure that our startups are guided towards achieving innovative business models that can survive the turbulent times and competition”.

Diaspora Startups incubated by Zidicircle have wasted time trying to identify the right developers or Software Engineers. The BHUB closes this gap as a technology partner. Nairobi is becoming the next Delhii when it comes to outsourcing technology to the west, and this partnership has happened at the perfect time as it provides an opportunity to tap into this as well as BHUB’s experienced teams to develop product prototypes and Minimum viable Products on better and flexible credit terms.

This partnership is founded on a common goal to reduce the rate at which early-stage startups collapse otherwise known as the Startup Valley of Death.

Participants joining the 6 Months Programme access a blended package of 10 modules of business training, 4 months mentorship by experienced industry professionals, monthly group coaching sessions, fast tracked fundraising, a chance to be matched with diaspora entrepreneurs/investors and exposure to a rich commercial network. They also get a Demo day, where they pitch to both national, diaspora and international potential partners, investors and clients. Pitch winners get up to $5000 in investments and other incentives from our partners.

“We don’t really want to help build the next business, but innovative businesses that can withstand the test of our century. The next big companies in Sustainable Manufacturing, the next Tech Giants, the next Green Economy businesses, The next big companies in the social economy; that’s how sector pragmatic we are and technology will remain at the heart of it all”, agrees Fridah and Granville.

Zidicircle is a financial advisory, business coaching and monitoring firm supporting diaspora entrepreneurs & small and Medium enterprises (SMEs) in Africa by facilitating business training, incubation, mentorship, funding and B2B partnerships. Some of Zidi’s programmes include the Semi-annual Diaspora Entrepreneurship Bootcamp, Zidi diaspora/African SME’s match making and the Zidi Diaspora Fund that is actively raising and investing in Diaspora and SMEs in Africa.  Zidi has been recognized by the European Union’s Emen Project as one of the best migrant-led initiatives that promote inclusive entrepreneurship. So far, Zidi has supported diaspora startups and SME’s from Ghana, Ethiopia, Kenya, Uganda, Zambia, Cameroon, Zimbabwe, Trinidad Tobago, Eritrea, Rwanda, Lebanon, and Syria

TheBhub is startup centric-agile Software Development and Technical Staff Augmentation company with deep expertise in Product Design and Modern Application Development.

TheBhub currently has over 300 Experienced Member Software Engineers, Product designers and Data Scientists currently supporting over 100 tech Start-ups and SME’s across Africa and Europe. Founded on the mission to accelerate innovation for start-ups and SME’s in Africa, The Bhub has focused on addressing one of the biggest barriers to innovation for start-ups which is the high cost that comes with engaging experienced Software Engineers. With The Bhub’s Startup Innovation Program start-ups have been able to access top talent as well as Web and Mobile Development Services on credit, it is through this program that remarkable start-ups such as KAZI(a non-demand service platform connecting gig workers with customers in real-time with now over 7,000 workers) came to be.

To enrol for Zidi Circle’s next incubation boot camp simply sign up here

Diaspora Founders, Start-ups and SME’s  who want Tech Support and/or App Development can sign up here

Any comments or correspondent please email info@zidicircle.com or Info@zidicircle.com

Covid-19 is here with us. Who would have thought a single virus could ever affect every aspect of our lives? We are all asking these question, most of us may have found some solace and reorganized our lives to befit these times. What about entrepreneurs? Then they have to carry double the burden, one on their personal lives and the other of keeping their businesses running such as; keeping their employees, keeping their customers, paying their suppliers, paying their taxes, Repaying their loans, the list is endless! Here in the Netherlands there Has been a lot of support for entrepreneurs thanks to the many possibilities fronted by the Dutch government. For the entrepreneurs in Africa where we operate this is not the case, they still carry the burden with little or no support at all.

At Zidi we have tried our best to support our SME’s in Kenya, Ghana & Ethiopia mostly through advise, repayment holidays and restructuring where possible. We have given top priority to Healthcare businesses and businesses providing essential services because we believe they are in the forefront of fighting the pandemic , but our resources are limited and we have no extra buffer in place to give them the extra resources that they need. That’s is why we have created this kitty , “Covid-19 SME Technical Assistance Fund”.

The TA Fund

We envision it just as that, a facility that will help these businesses Survive at least during this pandemic. Together with our partners , we hope to support the most needy businesses. This is not a regular funding facility, we are only giving businesses a temporary reprieve to remain operational until the pandemic is over. The businesses will not pay interest, but they must start repaying at least 50% the funds once their business recovers, thus making this fund revolving to be able to always support businesses alongside normal funding. Each business will receive an amount of between €1000 to €5,000 depending on the need. We therefore intend to keep over 200 businesses operational. We are Primarily focusing on countries where our Businesses are already located namely ; Ghana, Kenya & Ethiopia. Then we shall expand this list where logistical and legal horizon permits.

Fund Management

Normally our SME fund is managed through Guideplus Sustainable Fonds BV licensed by the Dutch Central Bank and the Financial Markets Authority in the Netherlands. Our management company remains Zidi BV and we have offices in Accra-Ghana and Nairobi-Kenya. Because these funds are not repayable to donors no interest will be charged. We intend to manage the fund as if it were a regular fund and prioritize accountability and transparency. All donors will therefore be informed with proper reporting.

We hope we have informed you sufficiently, now please join us and let’s keep 200 businesses in Africa survive by donating here

Would you like to partner? Send us an email to info@zidicircle.com

On September 7th, 2019 we kicked off IOM’s entrepreneurship by diaspora for development with a group of 40 entrepreneurs from Ghana & Ethiopia. The ED4D project aims at encouraging the Ghanaian and Ethiopian diasporas residing in the Netherlands, or Dutch entrepreneurs in partnership with the diaspora, to engage themselves as entrepreneurs for the development of the private sector in Ghana and Ethiopia.

Zidicircle is honored to conduct the training to enable the entrepreneurs harness their business models and become investor ready in order to expand or set up their businesses back home. We believe in initiatives that promote social economic development in both the hosts countries and countries of origin. The ED4D programme is therefore very well aligned with our mission.

Sectors

The entrepreneurs from Ethiopia have businesses in Food processing,  Retail, Manufacturing, E-commerce, IT, Agriculture,  Services, waste management, Food processing Retail and Tourism Sectors.

The entrepreneurs from Ghana have businesses in Agriculture, Education/Tech, Energy, Entertainment, Food processing, Healthcare, Manufacturing, Retail, Sand mining, Services, Solar energy and Waste Management .

Our Resources

We have a large pool of very experienced tutors who are also entrepreneurs. So they blend in their skills with really practical examples from their own experience. For example one of our tutors is a respected mining engineer in the Netherlands- He literally mines ideas our of people:-). We also have business design experts who have helped large multinationals become more innovative, global leadership managers as well as seasoned investment experts. We believe financing a lone cannot grow businesses, but you need the right people with the right skills driving those businesses. That is why we want our entrepreneurs to be well prepared for investments.

What Next?

The training boot camp will end on the 28th September 2019 with a pitch event between 14.00 to 17.00. The entrepreneurs will have gotten all the knowledge and skills. But they need much more; they need partners, they need co-founders, they need Tools like machinery or Technology, and most importantly they need the Funding.

Do you see yourself as a good match to these entrepreneur? Please register by sending an email to info@zidicircle.com. Lets make an impact together!