AFFEED FoundationPresentation

• The African and the minorities context• The African and the minorities issues• Our solution to the African and the minorities

issues: The ZCE concept• The Founders• AFFEED’s presentation

AGENDA

• African contextAfrica is mosaic of cultures, tribes, and people. One divide is the language divide:– Francophone countries are more bureaucratic– English-speaking countries are more private sector oriented

• Africa has the world’s high population growth rate (2.7% against 0.2% in Europe) This is a good news for market size and potential but a less good news to infrastructures needs, jobs creation potential, social systems…

• Africa is experienced a high unemployment rate with nominal population out of job growing exponentially

Currently an average of 30% unemployment rate in West Africa and up to 50% in some countries

• Africa has Important stock of natural resources that are barely untapped • Growing interest among foreign investors and businessmen • The continent has one of the top growth rate (5.2%) • The plight of minorities around the world are similar to the African situation (high

unemployment rate, low access to social services, underrepresentation in the political and economic realm…)

THE AFRICAN & MINORITIES CONTEXT

From the context a number of issues are therefore prevailing and among those issues:• High unemployment rate The unemployment rate is higher with youth, women, and unskilled people. These people are the majority at the base of the social pyramid and in need of help• Still prevailing governance and corruption issuesAfrican countries are cited among the top corrupted countries with Transparency International and the continent is still battling with governance issues• Weak conducive business environment African countries are listed at the bottom of the +180 WordlBank’s doing business that measures the ease of doing business in a country

THE AFRICAN & MINORITIES ISSUES

• Everyone agrees that the solution is to create a conducive business environment that will help generate jobs and improve the standard of living of African population

• How long will the population wait for that conducive business environment?

• How do we reduce unemployment if not by creating the jobs for ourselves through entrepreneurship?

• How to design an entrepreneurship approach that can overcome the credit and market access barriers?

WHAT IS THE SOLUTION?

Samuel MATHEY is a Professor of Economics and Management with specialization in debt management, financing and entrepreneurship.

Samuel holds a U.S. State doctorate (Ph.D.) in Economics, an MBA, a master's degree in monetary economics and econometrics and a diploma of graduation in accounting studies. Samuel currently teaches at several universities in the USA, Europe and Africa.

FOUNDERS - BIOGRAPHYSamuel MATHEY (President)

Désiré ASSIPO (1ST VICE-PRESIDENT & CEO)

Graduate of ESCA Business School, Désiré isTeacher of entrepreneurship, sales and strategic management ;he is the CEO of BUSINESS DEVELOPMENT, a strategy and business development consulting firm.He is former Executive Director of the Alumni Association of the ESCA business school (SENIOR ESCA )

FOUNDERS – OUR MOTIVATIONS

Main problems of entrepreneurship in Africa:1. The problem of access to credit is not addressed in a sustainable way

and the choice is between having a collateral or paying a quasi-loan shark rates ;

2. Even when the access to credit is solved through microfinance or subsidized loans or government aids, the access to market and trade is limited while tax systems are not entrepreneurial driven;

3. The issue of lack of sectoral diversity in entrepreneurship is reducing margin and crowding few sectors while some sectors are left to foreign or importers with a low rate of entrepreneurial activities in the agric entrepreneurship

4. A strong need to diversify the urban entrepreneurship 5. An insignificant rate of start-up are building themselves as multinationals

from the start though the opportunities exist for them to do so

The Foundation aims at:

• Advocating the idea that the development of Africa and the advancement of

Africans can be achieved through private initiatives and entrepreneurship;

• Supporting African entrepreneurs and encourage them on their path to global

success;

• Creating a strong role model through practical experience sharing among

entrepreneurs in the African context;

• Reaching a larger target of people to be inspired, motivated, supported and

trained in entrepreneurship;

• Contributing to the rise in good governance in Africa.

FOUNDERS – OUR OBJECTIVES

• Remove the starting capital obsession as the unconditional for starting a business

• Promote market access, trade partnership and especially export among start up and first timer entrepreneurs

BASIC PRINCIPLES

The association is : • African Foundation For Entrepreneurship

and Economic Development (AFFEED)• Fondation Africaine pour

l’Entrepreneuriat et le Développement Économique (FAFEDE) .

The African Foundation For Entrepreneurship and Economic Development (AFFEED/FAFEDE), is an African Non Governmental Organization .

AFFEED - PRESENTATION

AFFEED aims to:• Contribute to promote entrepreneurship in Africa and ensure

sustainable economic development of the continent as well as social development of all social strata;

• provide practical and sustainable solutions to the issues of entrepreneurship, employment and sustainable development in Africa and this alongside private and institutional stakeholders;

• positions itself as an intelligent platform between entrepreneurial policy makers, donors, banks and international institutions, on the one hand, and entrepreneurs on the other hand.

FAFEDE - AMBITIONS

• AFFEED’s objectives– Promote entrepreneurship in Africa and by Africans; – Provide human, technical and financial support for entrepreneurial

initiatives in African countries; – Promote good governance in African businesses and States;– Work toward sustainable economic and social development of Africa.

AFFEED is a non-political, non-religious, and non-racial organization

AFFEED– Objectives

• AFFEED’s vision− Emergence of a class of African entrepreneurs to reduce

unemployment;− Increase in the number of self-made Africans;− Improve the economic and social development of all social

strata; − Build a transparent Africa where good governance prevails.

AFFEED – VISION

• The scope of AFFEED’s action is the African continent and the diaspora African communities.

• Our targets: -Informal entrepreneurs -Students -School dropouts -Young entrepreneurs -unemployed persons -Agricultural entrepreneurs -Women -Executives

AFFEED – OUR TARGET

• The Foundation’s leadership and management bodies are:– The General Assembly (GA)– The Board of Trustees (BoA)– The Management Board (MB)– The Directors’ Committee (DC)– The Statutory Auditor (SA)

• Chairman of the Board: Pr SAMUEL MATHEY • Managing Director: ASSIPO AKADJE DESIRE• Auditor: OUATTARA DOUSSOUGO

AFFEED – ADMINISTRATIVE ORGANIZATION

• MEMBER COUNTRIES– Côte d’Ivoire• Managing Director and Country Director: ASSIPO Désiré

– Ghana• Country Director: Joseph QUAYE

– Liberia• Country Director: Darious Jolo KOLLIE

– South Africa• Country Mananger: Merle Dipuo SEEMA • Country Manager: Jodell de SOUSA

AFFEED – MEMBER COUNTRIES

• The patented Zero Capital Entrepreneurship (ZCE) and export-oriented drives AFFEED’s actions.

THE ZCE CONCEPT

• The ZCE Charter: what is ZCE?– The ZCE entrepreneur agrees to make his/her

company his/her main activity, as owner and employee;

– The ZCE entrepreneur must have started his/her business from his/her own resources

– Start-up funding provided to the entrepreneur must not exceed 30% of the total required investment

• How to receive ZCE support?– Register online on the website

www.fafedeafrique.org / www.affeedafrica.org

THE ZCE CONCEPT

FAMOUS BORN ZCEsBYUNG CHULL LEE

1938-1969 The beginnings of Samsung

On 1st March 1938, the founding chairman of Samsung, Lee Byung-Chull, began business in Taegu, Korea, with only 30,000 won (less than 25 euros).

Initially, its primary objective is to export dried fish, vegetables and fruit to Manchuria and Beijing. But it takes him a decade to hit the head of a successful company with its own mills, machinery and manufacturing and sales company that would become the international group of the same name we know today: Samsung ("three stars" in Korean).

1970 Start of production of black and white TV (Model: P-3202) by Samsung-Sanyo

1969 Creating Samsung-Sanyo Electronics (renamed Samsung Electro-Mechanics in March 1975 and absorbed by Samsung Electronics in March 1977)

1966 Creating Joong-Ang Development (now known as the Samsung Everland)

1963 Acquisition DongBang Life Insurance (renamed Samsung Life Insurance in July 1989)

1958 Acquisition of Ankuk Fire & Marine Insurance (renamed Samsung Fire & Marine Insurance in October 1993)

1954 Cheil Industries Inc. creation

1951 Samsung Moolsan Foundation (now known as Samsung Corporation)

1938 Samsung Foundation in Taegu, Korea Cf: http://www.samsung.com/fr/aboutsamsung/corporateprofile/history06.html

FAMOUS BORN ZCEsPrecarious situation • A young divorced mother living on allowances, she

started writing Harry Potter and the Philosopher's Stone in 1990 and had to wait many years before her book is published in 1997 in Bloomsbury. The global success achieved by the next six volumes and special editions got her a fortune estimated in 2008 by the Sunday Times at 560 million pounds (about 590 million euro or 825 million USD, in late 2008)

• The precariousness of her situation lead Joanne Rowling into depression21. She moved with her daughter into a small building in Leith, a district in the Scottish capital where they lived on government allowances. Sean Harris, a former schoolmate, kept in touch with Joanne and lent her money.

• http://fr.wikipedia.org/wiki/J._K._Rowling

JK Rowling

• ZCE support principles 1) Support provided to the entrepreneur includes:

Training /Coaching –Market Access - Funding

2) The support focuses on market access and contract sourcing for ZCEs

3) The support facilitates export and trade agreements and cooperation to enable penetration on international markets and securing of international deals.

THE ZCE CONCEPT - SUPPORT

• Support methods 1 . Training / Coaching

a. Training seminars ; b. E-learning and materials sales; c. Access to forums and coaching;

d. Access to online library; e. Business plan support; f. Technical support through specialized partner organizations; g. Incubation .

2 . Market a. Development of group market strategies and business partnerships

b. Market development and African market penetration

3 . Funding a. Deal funding

THE ZCE CONCEPT - SUPPORT

1. The Zero Capital Entrepreneurs BUS TOUR that will go cities and villages across Africa for training or coaching;

2. The Zero capital Entrepreneurs Training an coaching program;

3. The Zero Capital Entrepreneurs certificate and the entrepreneurship university ;

4. The Zero Capital Entrepreneurs multinational program to establish multinational startups,

5. The African Entrepreneurship Fund .

AFFEED – CURRENT PROJECTS

• HONORARY MEMBERS – Honorary members are individuals of any nationality having set an example in the area of

entrepreneurship, good governance, economic and social development and sustainable development, and accepting to freely make available their knowledge, relationships, moral or financial contribution to the actions of the foundation.

– They have an advisory role within the board of directors and during general meetings

• SPONSORS– Sponsors are national and international corporations accepting to provide free technical or financial

contributions in favor of the actions of the foundation. – Representatives of Sponsors have an advisory role within the board of directors and during general

meetings.

• INSTITUTIONAL PARTNERS– Governments – Local/national institutions – international institutions – NGOs, associations and civil society

PARTNERS

• We are a partner for success• We provide comprehensive supportTo entrepreneurs

• We provide advices to design and implement policies concerning: employment, education, entrepreneurship and SME management policies

To Governments and international

institutions

• We provide a list of selected candidates for funding• We advice funding strategies• We help to minimize risks

To Banking and financial system

AFFEED – Our contribution

END

• THANK YOU FOR YOUR ATTENTION

◦website: www.fafedeafrique.org / www.affeedafrica.org◦E-mail: fafede@fafedeafrique.org / affeed@affeedafrica.org ◦Tel: 0022522000789 / 0022503109191◦Chairman of the Board: samuel.mathey@fafedeafrique.org◦Managing Director: desire.assipo@fafedeafrique.org