In mature markets such as in the US and Europe, SMEs benefit from an inflow of capital from venture capitalists, private investors and banks. However, investments in SMEs in new emerging markets are limited by a lack of information and thus a high perception of risk.
The BID Network SME Investment Guide Series aims to address this knowledge gap, by providing all the information necessary to plan, manage and exit from an SME in a new emerging market.’ A perfect tool to prepare your next investment; and it’s free to download.
BID Network creates bridges between thousands of entrepreneurs, experts and investors from all over the world to stimulate entrepreneurship and economic growth in emerging markets. In addition to extensive information, valuable resources, the insight of experts and help of professional coaches, the site also offers different practical guides. ‘The guides contain many examples of how to approach an investment between USD 50,000 to USD 2 million in an SME located in a new emerging market.’
Why would a guide series on investing in SMEs be such a precious tool?
The answer is very simple. ‘The time appears ripe for an information service to support banks, SME funds and smaller investors to improve investment decision-making around SME finance in new emerging markets. While there are many publications detailing the business climate and regulations for foreign investment in new emerging markets, none of these are focused on the particular issues faced by investors who finance SMEs. As SMEs are e.g., disproportionately affected by complex tax systems and un-deep capital markets, information about these issues are vitally important for any investor going into these markets.’
What will the guide series teach you, as a potential investor?
• How to plan, manage and successfully exit from an investment in a SME in Uganda
• How to benefit from the incentives for foreign investors, and learn which financial and business services are available to SMEs locally
• How to find investment opportunities, navigate the regulatory and legal framework, and manage the specific risks of investing in SMEs in Uganda
The guide on SME’s investment in Uganda (2008) will give any investor enough background and knowledge about the country’s small and medium enterprises. Based on the information disclosed, one would be able to evaluate and analyse properly one investment.
If you are interested in ordering a hard copy, please contact Susan Randall at susan.randall [at] bidnetwork.org
Tim Hargis
January 9, 2012
The SME guide sounds great for those who are thinking about making an investment, and even those looking at franchises.