Update: New and expanded criteria for the WIDU investment plan
Salaries, running costs, cash: WIDU is adjusting criteria for which expenses and purchases are and are not eligible for WIDU project funding.
05.05.2021 - The investment plan is the overview of all planned expenses of each company participating in WIDU. At the beginning of their participation, entrepreneurs use the investment plan to portray for what they plan to use their own contribution, as well as all the financial support they will receive through their participation. Consequently, the plan is an important tool in planning purchases and how much money is required for them: What do I need? And how much will it cost?
A detailed explanatory video shows how to fill out such an investment plan for a project funded by WIDU.africa. This can be accessed at https://www.youtube.com/watch?v=DxUa-qCar7U. However, there are a few minor but important additions to note here.
Original WIDU Grant:
It is still possible to pay salaries with the help of the WIDU grant. However, please note that the amount of salaries has now been increased to a maximum of 50% of the joint investment and a maximum of 50% of the WIDU grant. It should additionally be noted here that only salaries for newly created jobs are recognized. Salaries for existing jobs are not eligible for WIDU funding.
Running business costs can continued to be paid with the help of the WIDU grant. However, for ongoing costs - such as electricity bills or rental costs - a maximum of three months' expenses can now be entered into the investment plan for the joint investment and the WIDU grant each. Taking an electricity bill as an example, this means that entrepreneurs* can settle a maximum of six-monthly payments in total: three with the joint investment, three with the grant.
Partial payments are generally not possible: the WIDU project application can only be approved if all purchases (even expensive ones, for instance the purchase of a van) are paid in full either as part of the joint investment or with the help of the WIDU grant. Splitting an expensive purchase between both grants is not allowed.
- What is a partial payment? - Practical example: A WIDU participant needs a new machine for his/her workshop. However, the machine costs more than he/she has available through the joint investment. Therefore, the mechanic has the idea to also use part of the WIDU grant to purchase the machine and enters this in the participants investment plan. Therefore, the entrepreneur wants to split the purchase of an expensive item between the joint investment and the grant. Note: this is a partial payment. Unfortunately, because of this, WIDU had to initially deny the participants request until he/she adjusted it to comply with WIDU guidelines.
Cash reserves and change
Both the joint investment and WIDU grant cannot be paid in cash reserves. Consequently, under WIDU participation, cash change for example, is not approved as a cost of the investment plan.
- What are cash reserves? - Practical example: An entrepreneur plans to open a small supermarket. In his WIDU investment plan, he entered the item that he needed in his cash register, which he would like to get paid directly. Note: this is a cash reserve. Unfortunately, WIDU initially had to deny this request as well, since cash disbursement is not available.
WIDU Corona Business Grant:
Up to 50% of the WIDU grant can be budgeted for salaries.
For current expenses, such as rent, a maximum of three months' expenses can be entered in the WIDU grant. These may also not exceed 25% of the total grant amount.
Like the original WIDU project, the same applies to the Corona Business Grant: no partial payments are possible, nor can cash reserves be applied for.
You can read about additional criteria for applying to the Corona Business Grant in the news article from February 19, 2021: "WIDU.africa promotes the best ideas against Corona" - please scroll down!
WIDU.africa for Cameroon is currently working at full capacity.
23.03.2021 - For this reason, at the moment, businesses in Cameroon can not be accepted, or approved, via the WIDU platform as of Tuesday the 23rd of March 2021. Businesses already approved will continue as usual. Applications for Ghana, Kenya, and Togo are still encouraged.
We will inform you as soon as applications Cameroon are once again open. Keep up to date via our website and on Facebook.
We hope for your understanding and patience.
Your WIDU Team
WIDU.africa promotes the best ideas against Corona
New conditions for the Corona Business Grant
19.02.2021 - WIDU.africa is changing the eligibility criteria for the Corona Business Grant. From Monday, 15 February, businesses no longer have to operate in certain sectors to receive the grant. Instead, creativity and innovation counts: business ideas must be economically viable and at the same time contribute in an innovative way to national and regional efforts to prevent the spread of the virus.
Compulsory masks, lock-downs or contact restrictions: These regional and national efforts, along with vaccinations, regular hand-washing and spacing, are the most effective means against the spread of the pandemic. But it is becoming increasingly clear that these measures have social side effects: Students can no longer go to school, people become lonely or lose their income. But WIDU is convinced: Every person can make a small contribution to improving this situation for themselves and others. Companies in particular have the potential to adapt their original business model in such a way that they can use their core competence to mitigate the pandemic impact for others and even expand their business in the process. That's why WIDU's new Corona Business Grant now offers targeted funding to help the businesses with the best ideas realise their vision.
Diaspora donors in Europe can propose companies and business ideas that meet the following criteria:
- Actively contribute to the national or community response to Corona
- The business must be a small (social) enterprise
- Priority will be given to those that have already demonstrated excellent record keeping in their traditional WIDU grant
- The enterprise should clearly demonstrate how it will generate revenue
- The proposal should be well described and clearly defined
- Impact and results must be demonstrable, measurable and tangible
The Corona Business Grant still applies:
- Entrepreneurs must be acquaintances or family members whom are well known to the African Diaspora in Germany, Austria, Switzerland and France and must be invited to WIDU.africa through them
- Only existing businesses can be funded
Ideas that meet these criteria could recieve a grant of up to 2500 Euros.
More information: https://widu.africa/corona-how-widuafrica-responding-crisis
Deutschlandfunk Kultur: Development project WIDU- Migrants support start-ups in Ghana
On 22.12.2020, radio author and director Nora Bauer presented WIDU.africa in the Zeitfragen feature of Deutschlandfunk Kultur.
In the almost eight-minute feature, participants Henrietta Adjetey, entrepreneur of the sustainable packaging start-up (Brand E) in Accra, Ghana and Joana Ampofo, diaspora promoter of Brand E talk about their participation in the project. In addition, programme director Wolfram Zunzer and Günter Nooke, personal Africa representative of the German Chancellor and Africa representative of the German Ministry for Economic Cooperation and Development, provide further insights into the WIDU project.
Click here for the link to the recording and a short written summary of the main topics.
Panel discussion on integrating the diaspora in development cooperation
On 07.10.2020 the panel discussion on "Involving the Diaspora in the creation of new jobs in Africa – A new “Gold Standard” in Development Cooperation?" took place.
You can also take a look at the greetings of Günter Nooke and Dr. Karamba Diaby (Member of the German Parliament) as well as the panel discussion between Fred-Eric Essam (Manager at IBM), Lucy Larbi (Chairwoman Future of Ghana Germany e.V.), Dr. Sylvie Nantcha (Chairwoman The African Network of Germany e.V.) and Wolfram Zunzer (Project Manager at WIDU.africa) afterwards. Click here for the YouTube live recording of the event.
The event was organised in cooperation with the office of Dr. Diaby and the German Africa Foundation.