Intervention Strategies and Activities

Institutional Framework

It is proposed to implement this programme within the Framework of Start-Up SME Centres (SSC) Ghana Ltd which will link up and coordinate other players into partnership, in view of its innovations and dynamism with the sector. SSC is a bottom-up Network of 50 Incubation, Accelerator, Capacity and Capital facilitation centres set up in all 16 regions of Ghana, also serving as ‘Local Financial intermediary’ and ‘investment facilitator’ (ITC, 2019, Big Money for Small business) for Start-Ups and SMEs to link up with Investors; ‘Local financial intermediaries – what the report calls ‘investment facilitators’ – are critical connectors between global finance and developing country SMEs  (ITC, 2019, p. 2, Big Money for Small business).

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Strengthening Start-Up SME Centres (SSC) Ghana Ltd and other Local Intermediaries

Start-Up SME Centres (SSC) Ghana Ltd and other local intermediaries will be strengthened, through training for staff, systems development and provision of electronic Platforms( including data base of start-ups, SMEs and Investors-electronic market place), to enhance and support the 50 Physical Face-to-Face Centres which are accessible at the grassroots level. This is because ‘The stronger those facilitators are, the easier it is for foreign investors to assess the risks and opportunities of investing in local SMEs. This will not come as a surprise to finance specialists in the development community, who have long lamented the weakness of financial systems in the developing world’ (ITC, 2019, p. 2, Big Money for Small business); Therefore ‘Investing in strengthening investment facilitators like accelerators, investment promotion agencies or local financial institutions would have major multiplier effects’ (ITC, 2019, p. 2, Big Money for Small business).

Capacity Strengthening for Farmers, Cooperatives, Start-Ups and SMEs

Productivity, Profitability and Sustainability of Farmers, Cooperatives, Start-Ups and SMEs, Start-Ups and SMEs Investor Readiness and Integration of Start-Ups SMEs in Trade and Export Value Chain will be achieved through Capacity Strengthening of Start-Ups and SMEs in the form of the knowledge, resources, information, skills that entrepreneurs need to run their businesses, through training, coaching, mentoring and role modeling on entrepreneurship, business development, financial management, basic records keeping, filings of paper work with government, risks identification and management and support to develop business plans. 

Special attention will be paid to the particular area of risk rating and management; for ‘to produce competitive returns, these financial intermediaries rely on accurate performance assessments of their SMEs. Providing high-quality credit information, through increased coverage of public registries for example, can help improve the efficiency of local financial institutions, encouraging more funds to invest in SMEs; New technologies, such as block chain technology, can play an important role’ (ITC, 2019, p. 7, Big Money for Small business).

SSC Knowledge and Capacity partner Institute of Certified Management Consultants (ICMC) Ghana (which doubles up as Business Development Service Providers Association of Ghana) will be pivotal to Start-Up and SME Capacity building.

Facilitation of Global Investment Capital to Farmers, Cooperatives, Start-Ups and SMEs

Facilitation of Investment Capital through identification of Farmers, Cooperatives, Start-Up and SME friendly Local Investment Funds and set up of specialised SME Investment Fund to channel Global Investment Capital will enhance accessibility of Global Investment Capital for Start-Ups and SMEs. This is important as ‘These local financial institutions have the ability to bundle thousands of small loans into larger sums, building a portfolio of sufficient size to entice large institutional investors ‘(ITC, 2019, p. 6, Big Money for Small business).

Linkage to Trade and Export Value Chains and Finance

Linkage to Trade and Export Finance will be achieved through Integration of Farmers, Cooperatives, Start-Ups SMEs in Trade and Export Value Chains. This is because ‘these enterprises generate more and better jobs when they can access new investments and build trade capacity and skills, and are empowered to become more competitive and connect to international markets’(ITC 2018).