Apply today for The Catalyst Fund accelerator programme to digitise informal micro and small enterprises in Ghana

In Ghana, existing digital commerce solutions tend to exclude informal micro and small enterprises (MSEs), which have been hardest hit by the impact of the COVID-19 economic crisis. As a result, they are unable to leverage digital commerce opportunities to fuel their growth and secure their incomes.

The Catalyst Fund Inclusive Digital Commerce Accelerator, managed by BFA Global, supports innovators building digital commerce solutions in Ghana, with a goal of improving the resilience of informal and underserved micro and small businesses (MSEs) that can benefit from digitization and fintech approaches to enhance their livelihoods.

Launched in October 2020, the Catalyst Fund inclusive digital commerce accelerator is supported by the Mastercard Foundation, and run in partnership with MEST. The $4.3-million fund aims to improve the livelihoods and financial status of informal MSEs impacted by Covid-19.

The Catalyst Fund Inclusive Digital Commerce program was created in Ghana to support digital commerce companies in developing solutions that could better reach, serve, and benefit MSEs.  As a first step, extensive consultations and research were conducted to better understand how MSEs currently use digital commerce. Based on the findings,  Niche marketplaces, MSE solution stack, and Tech-enabled logistics were identified as three key opportunity areas in which inclusive digital commerce innovations can meaningfully contribute to the prosperity of MSEs.

The two-year programme will upscale six selected digital commerce and innovative companies that can enable informal MSEs to access and reap the benefits of the digital commerce sphere.  An expert Investment Advisory Committee will select participants. Selection is based on market research carried out to identify barriers and opportunities for expanding inclusive digital commerce in Ghana.

Selected companies will receive up to $120,000 in grant capital, bespoke, expert-led venture-building support, connections with the Catalyst Fund Circles of Investors and Corporate Innovators, and local expertise from MEST. The program will also track the impact of these models on MSEs and share lessons on how to create inclusive digital commerce solutions for other stakeholders in the industry.

To apply for the programme visit https://bfaglobal.com/catalyst-fund/inclusive-digital-commerce/

Selected participants will be provided the following:

• Flexible grant capital of up to US$120,000 per company
• Deep, bespoke, expert-led venture acceleration support
• Portfolio meet-ups and curated cohort-based workshop sessions with local expertise and operational support by MEST
• A commitment to sharing best practices, toolkits, learnings, and insights with the digital commerce sector
• Connections and access to Catalyst Fund’s growing global Circle of Investors (65+) and Circle of Corporate Innovators and Ecosystem acceleration to create a more enabling investment and business environment in which digital commerce companies can prosper.

Surveys conducted by BFA Global and by Ghana Statistical Service found that MSEs, in particular, are suffering as a result of the pandemic. A BFA Global survey of low and middle-income individuals found that 44% of self-employed people had lost their jobs or could not find work.

A recent tracker from the Ghana Statistical Service found that microenterprises are suffering more compared to large and small enterprises; among open businesses, 92.2% of microenterprises report decreased sales (compared to 89% of small and medium enterprises, and 45% of large enterprises), noting that sales have fallen 60.9% relative to last April.