Prospective business start-ups as well as youth and women owned small businesses can expect more financing support from Government as the operationalisation of the National Venture Capital Company is now at an advanced stage.
Funding of new businesses and small enterprises is usually considered a risk initiative by mainstream financial institutions hence their reluctance to associate with that clientele.
Government acknowledges the key role that patience and cheap capital plays in nurturing new businesses and created the National Venture Capital Fund in 2019 to provide capital to innovators and other marginalised groups such as women and youths.
The Ministry of Finance and Economic Development is calling for proposals to design a logo for the National Venture Capital Company, a major development in the operationalisation of the fund.
The fund is a big step towards building capacity of local entrepreneurs who are an engine for future economic growth. The call for proposals to design a logo signals that Government is finally operationalising the fund to assist entrepreneurs with capital,said Economist Mr Colleen Jonasi.
Upcoming entrepreneur Rukudzo Marimo hailed the establishment of the fund to close the financing gap.
We are usually shunned by big banks in terms of loans to grow our business and that impedes national economic development. Government should be hailed for fast tracking establishing the National Venture Capital Company to become a fully-fledged company,noted Rukudzo.
Last week the National Venture Capital Fund received a US 500 000 dollar dividend through its seven and a half percent stake in Kuvimba Mining House in yet another boost for the fund’s coffers. – ZBC