Growing Entrepreneurs Rapidly (GER) Initiative

CHF International
www.chfmongolia.org

In November, GER helped to improve or expand 78 businesses, created 30 start-up businesses, and generated a total of 107 new jobs. Also this month, GER Initiative matched 60 ger area residents to jobs.

Financial services

In November, GER facilitated 20 loans valued at $17,609 with local partner banks. and one USDA-funded Capital Augmentation Fund (CAF) loan valued at $870 was disbursed through a local bank.

Training and Consulting Services

GER conducted 97 trainings with 73 clients participating, and 72 consultations were provided to 67 clients. In Erdenet, GER assisted 21 clients to prepare business plans and loan applications to the Aimag's Labor and Social Welfare Service Department loan program with Mongol Post, Anod and Khan Banks. In October, 22 clients received the same service and in November 14 of these clients received loans.

GER provided packaged training this month centered on Market Linkage, and Producer Businesses. Both packages consist of business trainings, such as Market Research, Customer Service, How to Increase Sales, Costing and Pricing, Export Opportunities, and Increasing Production Management. From the trainings, clients learned how to study the market, how to increase production and improve their profit margin, how to calculate the cost of produced goods and how to sell products at the right price and at the right place. Participants also shared their business experience and cooperation opportunities with each other.  

A number of ger (i.e., yurt) area businesses lack the basic accounting skills to prepare the quarterly and annual financial statements required by the government.  In November GER offered a two-day Financial Statements Preparation training in Zuunmod. The four attendees learned basic financial accounting including what types of financial statements are required and how to prepare them. The clients will receive ongoing consultancies on preparing their businesses financial statements and ultimately will be able to prepare their financial statements by themselves, greatly reducing their operational cost.

Demand for training and consultancy among bakery and restaurant business owners increased this month due to the coming holiday season. From November 6-8, vocational trainings for bakers and cooks were held in Ulgii. Ms. Davaachimeg, a professional consultant from Ulaanbaatar conducted both trainings at the Ulgii Aimag's Vocational Training and Production Center's restaurant. A total of 32 clients received training on 20 types of bread and pastry products and 10 types of dishes using locally available ingredients. Nineteen of the clients who attended the trainings were running bakery and restaurant businesses, ten clients were planning to start a businesses, and another three clients were seeking a job in the food industry. After the training, one of the job seekers was matched to the job as a baker and one client started her business.

Information Services

GER provided 255 information services to 157 clients during the month of November. A total of four information meetings were held in Ulaanbaatar business development centers (BDCs), with 40 clients participating.

On November 11th, GER organized a meeting in Sukhbaatar for new clients who are running businesses and interested in getting a loan. A total of nine clients participated in the meeting and received information on bank loan products as well as the application requirements. After the meeting, clients attended the loan preparation training where they learned how to be a good loan customer, how to spend a loan efficiently, and the importance of making loan repayments on time.

In Tolgoit, GER held a meeting for seamstress clients. The twelve participants were introduced to GER's services and were especially interested in business linkage and business group development services. All participants attended the Business Linkage Package training and one of them received her first work order from the Mongolian Star Melchers (MSM) valued at $980 for making 1,500 pieces of cotton napkins. 

GER organized a felt producer meeting in Sukhbaatar to introduce new designs, technologies and products, and GER linkage services to the clients. Eleven felt product producers participated in the event.  GER also held  “Open Days” at many branch offices to promote the services offered by the newly established GER partner NGO, Development Solutions (DS). DS staff explained the services of GER and gave out copies of the program's newsletter “Initiative.”

This month GER participated in a meeting of the ADB funded Community-Driven Development for Urban Poor in Ger Areas project to introduce activities in Orkhon aimag, share experiences and explore potential collaboration opportunities with Government and Non-Government organizations on regional economic development. Other participants included Bayan-Undur soum Governor, Orkhon aimag's Production, Infrastructure, Environment Policy Regulation Department (PIEPRD), Labor and Social Welfare Service Department, Government Administration and Management Department, Development Solutions NGO (DS), World Vision International (WV), Habitat International, Sustainable Livelihoods Project, and the GTZ Regional Economic Development Program. The participants decided to hold a similar meeting every other month and to co-organize a Trade fair or Open Day for the public.

GER participated in the opening of Altanbulag Free Zone in Altanbulag soum of Selenge aimag. GER introduced project activities and services to the participants. About 30 businesses and government officers from Ulaanbaatar, Darkhan, and Selenge participated, including a number of MPs.  

Employment Services

GER matched 60 clients to jobs and placed 64 clients in vocational training programs in November, and 26 employment trainings were held for 16 clients. Also in November, 107 jobs were generated through GER's business development activities. A total of 59 clients graduated from ongoing vocational trainings.

At the request of the Khan-Uul District's Labor and Social Welfare Service Department, Tolgoit GER provided “New Start” training for 32 registered unemployed GER clients. The 17-hour trainings covered labor law, writing resumes and cover letter, preparing for job interviews and soft skills.

GER started to cooperate with the Vocational Training and Production Center in Shaamar soum of the Selenge aimag. The Vocational Training and Production Center was recruiting new trainees for the 2008-2009 academic year. GER staff facilitated 26 unemployed clients to attend the seven types of vocational training courses such as accounting, informatics, auto and tractor repair, cooking, baking and hairdressering.

In November GER signed collaboration agreements with several vocational training centers incuding: Abuka – cook and hairdresser; the German Vocational Training Center at the Construction Technology College – welder and decorator;  Grand Perfect – various types of construction workers; the Production and Crafts School – auto repair and hairdresser; the Wood  Professional Competence Center at the University of Science and Technology – carpentry; and the UB Carpet company – knitter and weaver. 

Linkages and Trade Fairs

GER facilitated linkages between businesses worth approximately $4,567 this month. 

On November 21st and 22nd, GER organized a “Harvest Fair” in collaboration with Bulgan aimag's Food and Agriculture Department, Bulgan soum's Governor’s Office and the Rural Poverty Alleviation Project. A total of 46 businesses from Bulgan and other soums participated in the fair. GER's clients made sales worth over $2,342 and received additional orders for $956.

Business Groups Development

GER worked with 98 active groups this month. Two new groups were established and no groups disbanded.  The two new business groups were “Gan Zam” and “Itgel” from Selenge. The groups had their first meetings and GER staff assisted them to establish the business groups' internal structure. Next month the “Gan Zam” group members are planning to go on an Agriculture Business Tour to Darkhan to learn about greenhouses, storage facilities, and pig and chicken farms.

Development Solutions (DS)

On November 5th, Development Solutions held a small press conference to announce launching the new organization and its participation in the GER Initiative. On November 20th, DS held its quarterly Governing Board meeting.  Before the meeting, Board Members visited the Sukhbaatar branch office and met GER clients who were attending the start-up business training. At the Board meeting the DS Executive Director presented a review of the quarter's activities and GER presented plans for upcoming trainings for DS staff. GER will work with DS on updating its Business Plan and improving its outreach strategy.

U.S. Fulbright recipient, Ms. Chloe Hall, has started to work for DS in Ulaanbaatar. Ms. Hall earned her BA degree in Asian Studies and International Relations, with a focus on economic development. She will work with DS staff to implement small projects to help improve the NGO's capacity. She has begun work on improving the “Customer Service” training material and researching potential new markets for DS.