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We first interacted with Maria Assumpta in April 2020. She was inquiring about interior décor products for her restaurant that she hoped to open in May. The excitement in her voice was infectious.

Maria Assumpta

We took her through a series of options and after a long chat, it was clear that she was smitten with the baskets. She informed us that she would get back to us in a week’s time to deposit the order.

A week later, there were no signs that the lockdown would be lifted. It was also clear that even after the lockdown, it would take a while before things got back to normal.

This was a big blow to Assumpta who had “already identified and paid for premises for her restaurant, bought equipment and even assembled a team of employees to support her.”

She explained, “We had to deal with a lot of spoilage which resulted into losses. We were practically making losses before we even started. It was a crushing time, not just for me but for the other people that were involved in the project.”

Assumpta was aware that she needed to come up with a solution and fast. A week into the thinking, an idea occurred to her. She realized that she could do the cooking out of her home, advertise using social media networks, and deliver to customers wherever they were in the city.

“I started advertising in my WhatsApp group and to my contacts and before I knew it, orders started trickling in,” Assumpta noted.

Re-imagining Businesses

Assumpta is one of many entrepreneurs who have had to rethink their business models to match the changing times. The COVID-19 pandemic has caused a lot of uncertainties. This is compounded by the fact that there is no near end to its spread, at least not until both a cure and a vaccine are discovered. This, therefore, means that entrepreneurs are going to have to innovate around the harsh realities that are coming if not already here.

Entrepreneurs may need to reimagine the kind of services and products that they offer. With limited incomes, families and individuals may have to cut back expenses, especially the non-essentials. It is therefore important that whatever you are offering contributes some kind of value.

In Assumpta’s case, she makes it possible for her customers to get great meals within the comfort of their homes.

How are you innovating during COVID-19? Share with us your hustle and we will spotlight it on our social media pages.

With the lockdown being partially lifted in different sectors, it is best to say that we can see a glimpse of the light at the end of the tunnel. This does not mean that everything is going to return to normal in a few weeks or months. It however gives us hope that things are going to get better.

The COVID-19 pandemic has led to heavy disruption for businesses and small businesses have taken a hard hit. Many small business owners are uncertain of what the future holds. To be fair, everyone is.

As a young business supporting small and micro enterprises, we share some of the apprehension. To help us prepare for reopening, we have interacted with several businesses that have shared some tips. Here are some of the favorites that we think may help you to prepare for reopening. 

1. Leverage the Internet

Before the COVID-19 pandemic, we organized a training on how businesses can use the internet to grow. Back then, we knew that the internet was important but we did not realize that our very survival depended on leveraging it to increase sales, improve customer relations, and enhance our brand visibility.

How to leverage the internet: Cultivate a presence on social networking platforms. Set up business pages and join groups. You can use these platforms to keep your customers updated and to attract other potential customers. It doesn’t have to be perfect at the start and we can assure you that you can have everything figured out. All we can say is that once you start, you will learn a lot, and hopefully, you will use all those lessons to improve.

2. Assess your finances

The hard truth is that the future is uncertain. Therefore, small businesses may need to re-evaluate their businesses and carefully think about how they will remain afloat. Take a good look at your finances, especially your cashflow. The ideal situation should be that you should be earning more than you are spending. For businesses that are just starting out and have not broken even, this may be near to impossible.

What to do: Cut out avoidable expenditures. This may not be the right time to buy new fancy bulbs for your salon. Make sure that you are spending only on things that the business requires to run. If you have been walking to walk during the lockdown, you may want to continue doing so as this will help you to put some money away; money that you can spend on the important stuff.

3. Be creative

We have focused too much on the disruption that the COVID-19 pandemic that we have closed our eyes and ears to new opportunities for small businesses to be innovative and reimagine their businesses. This is a time for you to think out of the box. You will need to be creative as far as marketing, delivery, sales, customer relations, even bringing new products to market.

What to do: Map the opportunities that have opened up in your sector. How can benefit from them? Think of what changes you need to make in your business model to be able to fit into the times. These are not normal times and you need to think business unusual.

4. Promote Safety

As you reopen, you need to think of your safety, the safety of your employees and your customers. Businesses are being encouraged to for instance install handwashing facilities and signs to encourage social distancing. Ensure that all your employees have masks and where possible gloves. Investing in safety is what we all need to do if we want our recovery to be fast.

5. Finally: Do not lose hope

It is ok to worry, we all are worried. But, do not let worry consume you. You need to keep your positivity up. You need to look out for the small rays of light in the darkness. Talk to friends or mentors and find a community of like-minded entrepreneurs to share your story.

If you would like to talk to us, simply send us a WhatsApp message on 0782960558. We got you.

It is one thing to have a great business idea, it is another to transform it into a sustainable business. Even successful entrepreneurs admit that it is not easy translating an idea into a thriving business. This is because building a successful business requires a lot more than a good idea. Foundational requirements include having a product or service that is competitive, putting together a skilled team, capital, having a clear plan, and executing it, the list is quite long.

Like many young entrepreneurs, when Paul Mugisha started his first business, all he had was what he thought was a brilliant idea and a bit of money to buy raw materials for his first product—an initialed wrist-band made out of plastic beads. Relying on his craft-making skills, he soon expanded his customer base and product range to include sophisticated necklaces and earrings. Within just a few months, the business was booming, but it was not too long before the slump came—after all, one can only buy so many custom necklaces.

This would be the first of several business failures. But with each failure, came important lessons, lessons that Paul would later use to start and grow his current business.

Unlike many of us that quit when things do not work out, Paul knew that his only option was to keep trying until something worked out.

“I had my share of failures. I tried several business ideas that did not work out. Obviously, I was discouraged, but I also learned a lot. And at the back of my head, I knew that if I persevered, I would make it someday.” Paul Said.

Rising from the Ashes

In 2014, with a new business idea, Paul decided to start a company dealing in leather products with a focus on sandals.  His vision was a leading company producing high-quality and affordable shoes.

Paul got the idea after hearing friends express disappointment at the quality and price of leather sandals on the market. He realized that this was a gap that he could fill. He figured that if he started a business that met a need, his chances of success were much higher. He decided to utilize the shoe-making skills he had acquired in 2011 to address the need for quality footwear.

Then a student at University, Paul’s livelihood depended on the success of the company. He was well aware that catering to all his school and basic needs were tied to how much he would be able to produce and sell. The only option was to focus, work hard, and ensure that the business succeeded.

Paul’s efforts paid off. Today, he has sold thousands of products across the country, upgraded his skills by going for further training in Kenya, and trained a team that has made it possible to expand production. When asked about how he was able to pull this off, Paul explained that “it was persistence and endurance that made this possible. I had to be committed and at the same time dynamic. My field is influenced by trends and so, I have to be willing to embrace emerging trends, learn fast, and apply.”

Paul’s dream is for the company to purchase a plot and set up premises for the workshop, to increase production capacity and to be able to employ not less than 15 highly skilled artisans.

Working with Collage

Paul is one of over thirty entrepreneurs that are currently being supported by Collage to improve their business operations.

Through Collage, he has been able to upscale production services.

“Collage has helped us to broaden our market reach and has provided extensive advisory services,” Paul said.

To the young entrepreneurs, Paul encourages “endurance and perseverance and desire for growth and improvement. If you fail today, try again tomorrow, and do not stop until you breakthrough.”

You can shop for Paul’s products here.

These are hard times and everyone is worried. For business owners, the outbreak has greatly compromised operations with some businesses, especially small ones closing shop altogether. It is important that small businesses assess the current circumstances and put in place measures to deal with the impact of the outbreak. How well small businesses plan may determine how fast they recover beyond the outbreak.

We have put together a list of things that you must think of as you plan.

1) Finances 

For most businesses, reduced income is the new reality. It is important to assess your expenses vis-à-vis your income. Plan for recurring expenses like rent and salaries. If you are not bringing in any more income, you may need to have an honest conversation with your land lord and employees.

Together, you may be able to derive short-term solutions. For some companies, staff have, for instance, agreed to take pay-cuts across board to help the business remain afloat. You may also need to face your landlord, let her/him know that you are aware of your rent obligations and that once things pick up, you will start working out a solution.

2) Have a plan 

We understand that these are uncertain times and it is hard to predict what will happen a month or two from today. However, even with this uncertainty you need a plan of you will handle things in best and worst case scenarios. What is the worst that could happen? For instance, what will you do if non-essential businesses like yours are closed for the next three months? How will you manage? How will your staff manage?

Also, think of the best-case scenarios. For instance, what if the lockdown is lifted in a month, will you be able to get things up and running? What do you need to put in place for that to happen? Spend some time drawing a plan with clear steps of how you would handle either scenario.

3) Cultivate a social support system

There has never been a better time to strengthen relationships and establish new ones. This is the time for you to build cohesion within your team. Make them feel valued by engaging them in planning processes. Your social support system also includes other business owners, your suppliers, your customers, your friends and family and people and businesses that you have collaborated with.

Check on your customers, how are they managing? Share with them vital information on how they can stay safe. Reach out to your business partners and collaborators on how they are getting on. You never know, they may share tips that will help you to keep your business afloat.

All in all, keep your stakeholders aware of your plans and of what you are doing as a business to promote safety. Let them know if your services will be interrupted in any way and when you expect to be up and running again.

4) Communicate and Be Informed

We cannot overstress the need for communication during these times. There is a lot of uncertainty and incorrect information. It is therefore important that you share accurate and timely information with your customers, staff, partners, and collaborators.

Aside from giving others information, ensure that you keep yourself up to date with what is happening in the communities that you serve and in the relevant industries. Keep abreast of the emerging trends and opportunities. There are, for instance, a number of free training opportunities for small and medium enterprises that you can benefit from. This is one of many opportunities that you can leverage if you keep yourself informed about what is happening in the relevant industries.

By Ritah Namwiza, Team Leader, Collage

“2020 is our year!”

This was my message to my team as we ushered in the new year. 2019 had been good to us. We had realized tremendous growth: more than 400 products sold, more than 25 producers brought on board, launched our training programme, and stories featuring our entrepreneurs had reached more than 30,000 people.

Additionally, we had won funding from the University of Edinburgh MasterCard Scholars Program. The funding would help us to recruit and train 50 additional producers, more than triple our sales, and support organizational expansion including hiring more help. There was a lot to celebrate.

Our plan for 2020 was simple. Build on the gains of 2019 by recruiting more producers, kickstart our training programme, increase our marketing, avail credit resources to our entrepreneurs, and provide tailored mentorship to our producers to bring more and improved products to market.

Producers and partners attend a training in November 2019.

By mid-January, we had recruited ten producers and seven producers had signed up for our training programme—we were on fire.

Around the same time, news of a Novel Corona Virus started making rounds. We were apprehensive but we hoped that it would be contained. We continued with our work, business as usual.

By the end of January, it was clear that COVID-19 was not going away any time soon.  January 31^st, the World Health Organization declared the outbreak a public health emergency of international concern. We were terrified—for our lives and for the small businesses we were supporting. We had seen the outbreak bring Wuhan to its knees. Majority of our entrepreneurs had barely broken even, the last thing they needed was three months without business.

As I write this, Uganda is on total lockdown and 2020 is definitely not going to be our year.

The Impact of COVID-19 on Small Businesses

Didus Busingye owns Komuka Skill Workshop (Komuka) that produces leather products. Although he has been in business since 2016, it wasn’t until 2018 that he started seeing business growth. Like most small business owners, Didus has had to deal with a number of challenges including a small capital base, limited access to market, challenges sourcing raw materials, and unfavorable tax regimes.

2019 saw Komuka expand production, move into a new shop, bring new products to market and launch a training programme.

Now, the COVID-19 outbreak is threatening this progress.

“We had not stocked material because we were yet to get paid by the shops we supply. By the time we realized we needed to act, it was hard to get material because most shops were closing. It is going to be tough because we are not producing, we are not selling, and yet we have bills to pay. We also think things will be hard for us once the outbreak is over because everybody will be broke and sales will be low. It will take us a while to recover,” Said Didus Busingye.

Rethinking Our Response

Didus is not alone. Many small entrepreneurs are in a similar predicament.

In our case, we had to close the shop and sales have greatly plummeted. We have had to rethink our entire plan for 2020. For instance, while we continue to deliver training and mentorship, we are increasingly doing so through online platforms. This has meant cutting down the target number of trainees.

Secondly, a key priority for us now is to ensure that our producers are reassured that we are standing with them. We have started a social media campaign called the Collage Voices of Hope to collect solidarity messages from our customers, producers and other entrepreneurs from across the country. This campaign will help us to forge stronger ties with our producers and to deepen our brand penetration.

Importantly, we are aware that our producers are anxious about how they will get back on their feet once the outbreak is contained. As such, thanks to the funding we got from the University of Edinburgh MasterCard Scholars Programme, we are redesigning our credit facility in order to extend loans to our producers to enable them to pick up the pieces and get back to work.

This is going to be a trying time for small and micro-entrepreneurs, majority of whom were already struggling to stay afloat. It is imperative that we put in place measures to help them mitigate the effects of the COVID-19 outbreak. Now, more than ever, as the formal sector shrinks and economies take a downturn, we must stand with our entrepreneurs.

Like everyone else, we do not have everything figured out but we have faith that there is light at the end of the tunnel, we just need to find it.

While most young people’s dream is to finish school and get a job, 28-year-old Didus Businge, a social sector planning, and management student aspires to grow Komuka Skills Hub, a business he manages into a center that equips underprivileged youth in and around Kampala with the skills they need to realize self-reliance.

How it all begun

The Komuka dream was born in 2016. Didus and a friend who was skilled in shoe making envisioned a place where unemployed vulnerable youth would come and receive skills that would enable them to forge a future for themselves and their loved ones. The two rented a room for their outfit, then called Dream Uganda. Like all startups, it was not long before the costs of running the business came calling. Unable to raise the necessary rent, they were sent packing.  They moved into an abandoned kitchen.

When the going got tougher, his partner quit. Didus realized that he needed help—partners that he could collaborate with. He brought on board a few people and sought shelter in a nearby garage.

Later in 2018, the social enterprise rebranded to Komuka Skills hub.

Hard work Pays

Despite all the challenges, Didus persevered and it paid off. Today, Komuka is housed in a decent structure and with a fully functional workshop. The social enterprise currently employs seven young women and men and has been able to attract partners including Collage, AMREF and KCCA.

As a key partner, Collage supports Komuka to market its products and creates platforms that bring£ producers together to share ideas on how to improve production and business practices.

Looking into the future

When asked what the future looks like for Komuka, Didus explained, “My dream is to create a chain of production workshops across the country. This would give more vulnerable  youth an opportunity to acquire skills that can help them to earn a living and to improve their lives.”

Advise to young people

“There is no bad job. Find something and focus on it. Use every opportunity wisely and be open to hard work. Getting to where you want to go needs hard work.”

When Maria Ajwang welcomed her baby in 2018, she knew that her life would never be the same. At 28, then, Maria knew that she had to work hard in order to provide the best to her baby.

A graduate of information technology, Maria’s hope had always been being able to practice her profession. The coming of the baby, however, presented certain realities she could not ignore. For one, hiring a professional helper to take care of the baby in her absence was expensive. Additionally, professional caretakers were not easy to come by.

Additionally, finding a job itself was not going to be an easy fit considering the alarming rate of youth unemployment in Uganda.

Maria quickly realized that she would have to become a job creator. She decided to stay at home and look after her newborn. To make ends meet, she started a cottage business (home-based).

She explained, “I needed to earn a living while at the same time staying close to my child. That is when I talked to a friend about my predicament and he helped me discover the art of making bags, shoes and art pieces.”

It has been two years since Maria started her cottage business and as they say, the rest is history. Her dream is to make products that can compete at an international level and create employment opportunities for other people.

Collage is supporting Maria to help realize this dream. Collage’s support is in form of visibility and market access, entrepreneurship training and access to credit.

Maria said, “I have faced so many challenges in marketing my products mainly because my quality was still low. Collage has been here for me, challenging me to do better. They have taken my products to greater heights.”

To fellow young entrepreneurs, Maria says, “there is nothing like a bad review because bad reviews push you to keep improving until you get a satisfactory review.”

By Collage, 2020