Call for Consultant(s): Business Development Service (BDS) Provider for the DREEM Innovation Fund

Location(s): Kakuma Refugee Camp, Kalobeyei Integrated Settlement, Nairobi
Reports to: DREEM SEOR Coordinator; WUSC DREEM Project Director
Contract term: 1 year (Renewable based on performance and funding)

WUSC – World University Service of Canada – is a leading Canadian non-profit organization in international
development, committed to providing education, economic opportunities and empowerment opportunities that improve the lives of millions of disadvantaged youth around the world. WUSC is currently seeking a business development services provider to support MSE applicants and eventual recipients of the DREEM Innovation Fund.
Displaced and Refugee youth Enabling Environment Mechanism (DREEM) project Through the DREEM project (2020-2025), we engage national and local government representatives, academic institutions, private sector actors, refugee-led organizations, local and international NGOs, and refugee youth to share knowledge and identify opportunities to advance the inclusion of refugee youth in national, local, and institutional priorities. Our three pillars drive us to build change and advance the inclusion of refugees and displaced youth, especially young women, in education, employment and entrepreneurship. We believe that through this work and engaging diverse stakeholders from varied sectors and geographies, we will form new strategic partnerships, build momentum and mobilize to advance refugee and displaced youth inclusion.

One of the three pillars of the DREEM project is Strengthening Economic Opportunities for Refugees (SEOR),
which will complement WUSC’s existing Learning through Education and Access to Employment Pathways (LEAP)
project and provide refugee entrepreneurs with a grant that combines financing and BDS access to micro and small enterprises selected through a business innovation competition. Business development support will entail tailored mentorship and coaching, capacity building and market linkages to ensure that businesses have the right expertise and support to generate revenue and jobs.

Objectives of the Innovation Fund
1. To stimulate innovation, growth of micro and small enterprises in refugee communities
2. To enhance the capacity of businesses to serve as job creators and create employment opportunities for those in their communities
3. To extend business grants to marginalized refugees (especially women) for improved household livelihoods and economic growth

1. Rationale for the Assignment
Micro and small enterprises in Kakuma and Kalobeyei are primarily male dominated. Female owned enterprises struggle to thrive and grow; this is due in part to a mix of cultural factors (gender norms), lack of access to capital, lack of access to support services, limited role models and more. Women entrepreneurs in Kakuma camp are less likely to register their business (22%) than men (49%). Their businesses are also generally smaller, with a lower initial investment (KES 6,925) on average, compared to men’s businesses (KES16,652) . Although a number of organizations do offer technical assistance and challenge grants in the camp and host community, these tend to be focused at the start-up stage (ideation) and the growth stage (absorbing larger levels of investment); a gap exists as entrepreneurs struggle to navigate between launch and becoming investment ready, a situation which is further exacerbated for women entrepreneurs. The DREEM innovation fund will target entrepreneurs caught in this gap and will provide both financial resources as well as business development support (IFC, 2018)

DREEM is looking for a BDS provider which can work alongside WUSC to support the success of the businesses funded through the innovation grant as well as build the capacity of local actors to provide these services.

2. Objectives and Scope
The specific objectives for the business development support provider are to:
1. Work directly with enterprises along the continuum of engagement with DREEM’s Innovation Fund, providing support from application to grant closure;
2. Build the capacity of a local provider (preferably refugee led) who could also offer these services; and
3. Assist in collecting data for project monitoring and results measurement purposes.

3. Summary of the DREEM Innovation Fund BDS delivery approach:
These activities will be implemented according to the overarching project goals and deliverables agreed with the Mastercard Foundation. The timeline is expected to be as follows:

Stage 1: March 2022
Partnership agreement developed and signed

Stage 2: April 2022- December 2024
Two rounds of funding will be provided to a maximum of 40 grantees per round. Two separate cohorts of entrepreneurs will be funded in each round.

Cohort 1 (2 calls for funding – sector agnostic ): This cohort will comprise investment-ready entrepreneurs with businesses that have been in existence for not less than 2 years . Immediately after verification and due diligence, the group will receive financial and BDS support. The cohort will be eligible for a second grant after 1 year following achievement of mutually agreed milestones and a selection process. Ticket size of 200,000 – 500,000 KSH

Cohort 2 (2 calls for funding – sector agnostic ): This cohort will comprise entrepreneurs with businesses that have been in existence for not less than 2 years and who require non-financial support prior to accessing the grant. The group will receive capacity building for six months followed by issuance of the first grant and BDS support. The cohort will be eligible for a second grant after 1 year following achievement of mutually agreed milestones and a selection process. Ticket size of 200,000 – 500,000 KSH

Cohort 3 (1 call for funding/ sector specific/ will not require BDS) : This cohort will focus on seasoned entrepreneurs with over 3 years of operation, do not require BDS and are able to take up a ticket size of 700,000 – 1,000,000 KSHS . After due diligence, the group will move directly to the pitch deck and later grant award for the winners.

Activity Responsibility Round 1 Round 2 Round 3 (Cohort 3) NO BDS SUPPORT (accessing 700,000-1,000,000)
Launch of innovation competition WUSC April 2022 April 2023 April 2024
Pre select qualified applicants (40-50 per call) WUSC May 2022 May 2023 May 2024
Verification and due diligence of qualified applicants (40-50 per call) BDS provider May 2022 May 2023 May 2024
Assignment of qualified applicants into cohort 1 (10-15) & 2 (30-40) BDS provider May 2022 May 2023 (Grant Award) June 2024
Cohort 1 pitch deck preparation support (10-15) (accessing 200,000-500,000 KSH) BDS provider June 2022 June 2023  
Cohort 1 pitches and award of grantees WUSC June 2022 June 2023  
Cohort 2 BDS needs assessment (30-40) (accessing 200,000-500,000Ksh) BDS provider July 2022 July 2023  
Cohort 2 BDS and mentorship provision (six months) BDS provider July – December 2022 July – December 2023  
Cohort 2 pitches and award of grantees WUSC January 2023 January 2023  
Delivery of tailored BDS as needed to grantees (six months post grant) BDS provider Ongoing Ongoing  
Monitoring of grant use by grantees (12 months) WUSC/BDS provider 12 months post grant 12 months post grant  
Monitoring of grant use by grantees (12 months) BDS provider January 2023    

Upon receiving grant applications, the BDS provider will commence a verification and due diligence (UNHCR status confirmation, presence of actual business) process to determine the needs and status of individual MSEs.

A comprehensive BDS need assessment will be conducted and based on the findings, BDS modules and delivery plans will be developed jointly by BDS providers and the MSEs, facilitated by DREEM (including determination of cohorts 1 and 2 and support in the preparation of a pitch-deck for cohort 2).

Both short term and long-term BDS support needs will be included in the BDS delivery plan including development of BDS modules with provision of additional categories when the scale up phase starts and depending on the findings from project monitoring and evaluation.

BDS delivery should be contextually appropriate and tailored to the needs of the businesses at various stages. The BDS provider should demonstrate experience and an understanding of the following:

1. A recognition that entrepreneurs are busy individuals whose primary economic focus is the operation of their businesses. To accommodate the significant demand on entrepreneurs’ time, BDS providers have to be outcome focused and be creative in the delivery of material, for example using mixes of one-on-one sessions, technology enabled learning, peer-learning approaches, mentorship and more.
2. An understanding of the particular challenges which refugees especially women face as entrepreneurs and how this may impact the content and delivery of BDS services.
3. An understanding of the host community economic landscape, how to integrate host communities, the challenges faced by host community entrepreneurs and how this may impact the content and delivery of BDS services.

The BDS provider should be focused on the following outcomes for participating businesses:
1. Businesses have a practical business plan with clear and achievable goals;
2. Businesses have increased revenue and/or employ more people;
3. Businesses reach new markets or adopt new business practices.
4. Improved quality; improved productivity; increased sales; reduced costs; diversified or started a business.
5. Increased efficiency; fewer cash flow crisis; improved sales; better product quality
6. Increased sales of new products; tapped or entered a new market segment; produced new or improved products; increased efficiency.

Stage 3: Building the capacity of local BDS provider(s) January 2023
DREEM will build the capacity of a local business development service (BDS) provider to facilitate the delivery of business support services to refugee-led businesses, with the goal of helping refugee-led businesses to expand and hire more refugee and displaced youth. By working with a local BDS provider to enhance their ability to deliver market-relevant, quality, gender-responsive support with a market systems lens, we will foster sustainable improvements in the quality of services that refugee-led businesses can access. The BDS provider will be expected to jointly participate in a capacity assessment of select local providers and develop and implement a capacity building plan. Sustainability of these local providers is expected to be a focus.

Particular attention should be paid to developing a model of service delivery that might be revenue-generating and sustainable

4. Main Tasks and Responsibilities of BDS Providers
a) Conduct verification and due-diligence on all MSEs selected by WUSC to participate in the innovation fund
b) Identify BDS priority needs of assigned project MSEs across target locations including support for pitch-deck preparation
c) Develop an agreed upon detailed business delivery plan for each MSE with short and medium term goals
d) Design and implement tailor made BDS delivery modules as per the MSEs needs
e) Facilitate identification and training of a local refugee led BDS provider. The technical BDS provider will collaborate with WUSC in the identification of a promising local BDS provider, mentor and build their capacity within the grant period.
f) Advise WUSC on how to Conduct BDS promotional activities and the best channels to use in order to generate awareness among potential MSEs. Lead all necessary logistics arrangements regarding service delivery with MSEs.
g) Regularly collect and report BDS evaluation data provided by MSEs
h) Submit half yearly and annual BDS plan to DREEM
i) Submit quarterly, half-yearly and annual progress reports to DREEM and engage in regular check in and planning meetings with the project team

Roles and responsibilities

DREEM BDS provider
Develop clear selection criteria, terms and conditions of the grant and conduct selection of applicants Conduct verification and due diligence for all businesses that apply for the grant and advice on the cohorts
Through the selection committee, determine grant beneficiaries and eligibility amounts Assist in preparation of pitch decks with entrepreneurs before meeting selection committee
  Conduct assessment of all cohorts and develop BDS modules
Develop SMART indicators and targets for the grant and entrepreneurs With support from the MERL team conduct follow up and monitoring of entrepreneurs based on agreed deliverables and timeframes
Jointly (with BDS provider) identify a local BDS provider for capacity building Participate in the identification of a local BDS provider, develop a capacity assessment of local providers and implement a capacity building plan.

5. Minimum Qualifications and Experience

1. At least 5 years of experience as a business service development provider
2. Track record of BDS service provision to MSEs (demonstrated capacity in Kakuma and Kalobeyei and socio-economic context is preferred)
3. Demonstrated understanding of current global best practices in BDS provision for MSEs
4. Demonstrated experience of staff in business, business mentorship or other BDS field
5. Trainers and/or mentors with lived experience as successful entrepreneurs is an asset
6. Successful partnership on grant funding mechanism in other international funded programmes/projects
7. Ability/experience developing successful BDS programing for women entrepreneurs

Interested organizations should apply to WUSC by 23rd February 2022 . Applications should consist of a detailed proposal detailing how they would approach the assignment, sample of previous work report, CVs of key staff members, and proposed budget outlining their rate and expected expenses.

Organizations must submit their applications https://docs.google.com/forms/d/1Jg0dg-CoIULzveybSWkdJnpmlsa3Y6kUwTEDLKHfPCE/viewform?edit_requested=true. WUSC is an equal opportunity employer. Only those selected for an interview will be contacted. No telephone calls please.

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