Can Social Entrepreneurship be profitable?
The answer is Yes, a well designed Social Enterprise that takes in consideration all of the vital criteria in its business model can be sustainable, profitable and socially responsible.
Hello, my name is El Hadji Beye and my company name is Performance Consultants.
We are a Social Enterprise: a business model that is sustainable and profitable while helping the poor.
Functionally, our firm is an export company that distributes equipment and machineries in the following sectors: water, sanitation, transportation, agriculture, construction and energy supply.
We have acquired strong American suppliers who manufacture hand pumps, solar panels, wind turbines and many other useful products for the African markets.
We generate revenue by selling equipment, renting machineries, export consultancy services and at last equipment repair services.
Currently in Africa, the majority of machineries break down very often (about every four to six hours use in the construction sector - data collected during job site visits in Dakar, Senegal)...this causes down-times and loss of productivity, our company will reverse this trend by providing reliable machines.
Our export consultancy services will find US companies not aware of the African market potential (though manufacturing great technologies fit for Africans), we will also help US companies who manufacture a compatible product for Africa without knowledge on how to enter the African market: we will become their local rep in Africa or help them export/sell in Africa.
We will use the strong brand name "MADE IN USA" as one of our powerful marketing strategies. American brands are trusted worldwide and we will leverage that status throughout our operations.
While the MADE IN USA is still a synonym of quality and reliability
- the MADE IN CHINA brand is exactly the opposite, it is by no means a synonym of quality and reliability.
In late 2009 populations in Dakar marched to protest against the flooding of Senegalese markets with Chinese equipments and products. These protests are a tangible proof that in Africa, people are not satisfied with goods made in China for health reasons, lack of quality and lack of durability. (See this study [http://www.cics.northwestern.edu/documents/nilr/v3n1Diagne.pdf] )
We have a very strong edge over the foreign competition so let us use this competitive advantage in entering and dominating African markets.
In the business world, the emerging African market is not very popular also it is not the usual subject of export expansion: Because of the misconception that Africa just don't have the purchasing power...But nothing can be further from the truth.
There are two points we need to address in response to the misconception that Africa simply don't have the purchasing power to be a viable market:
_In 2008, USA purchased 86 billions dollars of goods from Africa so these funds are in African treasuries
(we actually have a huge trade deficit with Africa: we buy four times more from them than they buy from us...but that's another article I wrote)
_Secondly, our company sells to solid companies or entire communities so the costs are always shared amongst the communities, this makes our products very affordable.
Now let's talk about our largest market: with more than 600 millions consumers living in villages, energy and access to clean drinking water is a priority in our operations. Our market analysis included a visit to Senegal and Gambia, during this visit we collected valuable information: villagers feel neglected by governments and private sectors. Their communities have many needs...most of these villagers walk 5 to 10 miles daily just to collect dirty water, they don't have any source of energy and the worse thing is that through all of this they can actually afford the solutions to these needs.
We respond to this underserved market with immediate solutions, the assumptions that villagers don't have a strong purchasing power is false: they are the one who produce agricultural products and raise farm animals so villages are where the Real money is!
One of the solutions we offer is the "simple pump" hand pump for consumers in villages. Solving access to clean drinking water improves health, quality of life and productivity: the villagers can spend more time on money-making activities...with pump maintenance services, we will keep serving our consumers and continue to provide them with other needed services (in energy, for example...once a village is satisfied with our pump, we will sell them a few solar panels so they can have electricity too). This method of marketing is very effective in Africa because when you gain the trust of a client you keep that client for good...also word of mouth is a very powerful self -propelled marketing tool in Africa since neighbor villages will very likely request our services once they see our products in action elsewhere.
Our operations will benefit from great advantages:
_APIX is a governmental agency that drastically reduces if not completely eliminates duties and import taxes for companies like ours bringing in newer technologies in Senegal (other African countries have similar programs)...so we get tax incentives and get a waiver on import duties in African countries.
_The cost of labor is extremely low in African countries, yet we will still offer very generous salaries to our employees and our distributors
_ The actual currency rate exchange between the dollar and African currencies is favorable to export from America, it couldn't be a better time to export U.S. goods...because of the dollar is at an all time low.
_ The financing made available to foreign buyers by the Import-Export bank for large infrastructure projects
A predominant role in our strategies is to keep searching for great American products that can improve the health, the quality of life and productivity in Africa because many American companies with suitable products for Africa are not even aware of this market. So we will keep researching and contacting these companies, connect with them to export their goods to Africa.
The construction sector was hit pretty hard by the recession...we will acquire many manufacturers in that industry to help in boosting that sector. We want to start a trend by improving commerce between USA and Africa, because we operate in specific sectors there is much need for different products in other sectors we do not cover. (medical products, automobile, and many other products).
We expect a six-fold growth in the first seven years of operations, our initial inventory, pricing and projections are based on raw data collected in the fields during interview with all stakeholders.
This study also allows us to correctly scale our operations and keep up with rapid growth.
Who is Performance Consultants?
We are a social enterprise working to help the poor get out of poverty.
We are a Team of experienced professionals with degrees in Marketing, Accounting, Civil Engineering, Petro-Chemical Engineering and Computer Science. We have three officers based in Senegal (West Africa) and two officers based in Wisconsin, USA.
Two of our officers based in Africa run their own successful businesses, they have extensive experience in import/export and offer valuable input to African markets. Because they are established businesses, we will utilize their extensive regional networks to grow our operations. Our two officers based in the United States have a combined 15 years of experience in construction methods, equipment and machineries along with 10 years of marketing/sales experience.
We are looking for serious investors who are interested in this venture, our business plan and financial forecasts have been prepared.
Hello, my name is El Hadji Beye and my company name is Performance Consultants.
We are a Social Enterprise: a business model that is sustainable and profitable while helping the poor.
Functionally, our firm is an export company that distributes equipment and machineries in the following sectors: water, sanitation, transportation, agriculture, construction and energy supply.
We have acquired strong American suppliers who manufacture hand pumps, solar panels, wind turbines and many other useful products for the African markets.
We generate revenue by selling equipment, renting machineries, export consultancy services and at last equipment repair services.
Currently in Africa, the majority of machineries break down very often (about every four to six hours use in the construction sector - data collected during job site visits in Dakar, Senegal)...this causes down-times and loss of productivity, our company will reverse this trend by providing reliable machines.
Our export consultancy services will find US companies not aware of the African market potential (though manufacturing great technologies fit for Africans), we will also help US companies who manufacture a compatible product for Africa without knowledge on how to enter the African market: we will become their local rep in Africa or help them export/sell in Africa.
We will use the strong brand name "MADE IN USA" as one of our powerful marketing strategies. American brands are trusted worldwide and we will leverage that status throughout our operations.
While the MADE IN USA is still a synonym of quality and reliability
- the MADE IN CHINA brand is exactly the opposite, it is by no means a synonym of quality and reliability.
In late 2009 populations in Dakar marched to protest against the flooding of Senegalese markets with Chinese equipments and products. These protests are a tangible proof that in Africa, people are not satisfied with goods made in China for health reasons, lack of quality and lack of durability. (See this study [http://www.cics.northwestern.edu/documents/nilr/v3n1Diagne.pdf] )
We have a very strong edge over the foreign competition so let us use this competitive advantage in entering and dominating African markets.
In the business world, the emerging African market is not very popular also it is not the usual subject of export expansion: Because of the misconception that Africa just don't have the purchasing power...But nothing can be further from the truth.
There are two points we need to address in response to the misconception that Africa simply don't have the purchasing power to be a viable market:
_In 2008, USA purchased 86 billions dollars of goods from Africa so these funds are in African treasuries
(we actually have a huge trade deficit with Africa: we buy four times more from them than they buy from us...but that's another article I wrote)
_Secondly, our company sells to solid companies or entire communities so the costs are always shared amongst the communities, this makes our products very affordable.
Now let's talk about our largest market: with more than 600 millions consumers living in villages, energy and access to clean drinking water is a priority in our operations. Our market analysis included a visit to Senegal and Gambia, during this visit we collected valuable information: villagers feel neglected by governments and private sectors. Their communities have many needs...most of these villagers walk 5 to 10 miles daily just to collect dirty water, they don't have any source of energy and the worse thing is that through all of this they can actually afford the solutions to these needs.
We respond to this underserved market with immediate solutions, the assumptions that villagers don't have a strong purchasing power is false: they are the one who produce agricultural products and raise farm animals so villages are where the Real money is!
One of the solutions we offer is the "simple pump" hand pump for consumers in villages. Solving access to clean drinking water improves health, quality of life and productivity: the villagers can spend more time on money-making activities...with pump maintenance services, we will keep serving our consumers and continue to provide them with other needed services (in energy, for example...once a village is satisfied with our pump, we will sell them a few solar panels so they can have electricity too). This method of marketing is very effective in Africa because when you gain the trust of a client you keep that client for good...also word of mouth is a very powerful self -propelled marketing tool in Africa since neighbor villages will very likely request our services once they see our products in action elsewhere.
Our operations will benefit from great advantages:
_APIX is a governmental agency that drastically reduces if not completely eliminates duties and import taxes for companies like ours bringing in newer technologies in Senegal (other African countries have similar programs)...so we get tax incentives and get a waiver on import duties in African countries.
_The cost of labor is extremely low in African countries, yet we will still offer very generous salaries to our employees and our distributors
_ The actual currency rate exchange between the dollar and African currencies is favorable to export from America, it couldn't be a better time to export U.S. goods...because of the dollar is at an all time low.
_ The financing made available to foreign buyers by the Import-Export bank for large infrastructure projects
A predominant role in our strategies is to keep searching for great American products that can improve the health, the quality of life and productivity in Africa because many American companies with suitable products for Africa are not even aware of this market. So we will keep researching and contacting these companies, connect with them to export their goods to Africa.
The construction sector was hit pretty hard by the recession...we will acquire many manufacturers in that industry to help in boosting that sector. We want to start a trend by improving commerce between USA and Africa, because we operate in specific sectors there is much need for different products in other sectors we do not cover. (medical products, automobile, and many other products).
We expect a six-fold growth in the first seven years of operations, our initial inventory, pricing and projections are based on raw data collected in the fields during interview with all stakeholders.
This study also allows us to correctly scale our operations and keep up with rapid growth.
Who is Performance Consultants?
We are a social enterprise working to help the poor get out of poverty.
We are a Team of experienced professionals with degrees in Marketing, Accounting, Civil Engineering, Petro-Chemical Engineering and Computer Science. We have three officers based in Senegal (West Africa) and two officers based in Wisconsin, USA.
Two of our officers based in Africa run their own successful businesses, they have extensive experience in import/export and offer valuable input to African markets. Because they are established businesses, we will utilize their extensive regional networks to grow our operations. Our two officers based in the United States have a combined 15 years of experience in construction methods, equipment and machineries along with 10 years of marketing/sales experience.
We are looking for serious investors who are interested in this venture, our business plan and financial forecasts have been prepared.
