The Postal and Telecommunications Regulatory Authority of Zimbabwe (POTRAZ) has called on all innovators across the country to utilize funding under its “innovative drive”, a programme meant to unlock business opportunity from information and communication technology (ICT) start-ups.
According to POTRAZ, the drive is meant to empower innovators that are making technological advancements in various sectors, whilst creating employment and boosting economic growth. The initiative was one of the first programmes under the 100 day initiative by President Emmerson Mnangagwa.
Speaking during the ICT innovators workshop on business proposal preparation and protection of intellectual property rights in Bulawayo, Potraz head of ICT, Mr Tichafa Mujuru, said their first call attracted 188 applications and that only six got funding while the rest could not qualify due to lack of proposal writing skill and knowledge.
“During the first call we got up to 188 proposals and only six managed to make the cut. It is not because these innovators do not have brilliant ideas but they lack knowledge and skill in perfecting their ideas and executing them both on paper and also presenting them,” he said.
The first round of the innovation drive closed in March this year and POTRAZ launched the second one in April. POTRAZ head of marketing and international relations, Mrs Sibonginkosi Muteyiwa, said for the second call proposals will be evaluated continuously and evaluated as they are received.
“The second call is different from the first one in that there is continuous evaluation and this is done every month and proposals are evaluated as they are submitted to Potraz,” she said.
“Successful proposals will be announced every month. Those who would have lost should not lose heart as unsuccessful proposals will be corrected so the applicant can make corrections and resubmit for further consideration.”
Mrs Muteyiwa could not disclose how much has been set aside under the scheme saying there was no fixed amount. Under this initiative, Potraz gives loans to innovators at a three percent interest rate per month payable in 36 months.
Earlier in his address Potraz acting director general, Mr Alfred Marisa, said Potraz was forging ahead with its infrastructure sharing thrust among other programmes.
“The infrastructure sharing is under a legal framework and every provider must do so as stipulated by the law. Failure to do so legal action should be taken,” he said.
How it works
1. Who can apply?
Any ICT Innovators or start-ups that have brilliant innovations or solutions that have the potential to revolutionize its target market and/or drastically change the lives of Zimbabweans and the economy as a whole
2. How Can I Apply
Send a soft copy of the descriptive business plan, projections and budget required clearly indicated “Application for Innovation Project Funding “to: innovationdrive@potraz.gov.zw for consideration.
You can also apply online from the link below.
3. What areas are eligible for funding
- Telecommunications based applications.
- ICT Software Applications
- ICT Hardware
- Applications for Postal and Courier Services
- Intellectual property registration for approved ICT innovations
- Establishment of Innovation Hubs
4. How does the funding work?
- Successful Innovators will require a guarantor to secure the loan which will be offered on 36 month tenure.
- Repayments will be done in line with cash flow projections through monthly instalments.
- New projects will be granted 12 month grace period to commence repayment of loan.
- Operational Innovations will be granted 6 months grace period to commence repayment of loan.
- All successful Innovators will be required to sign a loan agreement before funding is released.
- Police Clearance will be required.
Submitting a proposal
1. Do I need to add a business plan
Yes. The business plan must be brief and concise.
2. What should be included in the business plan?
Your business plan must have the following sections
- Introduction
- Market Analysis
- Funding Request
- Financials
3. What do I put in my Introduction?
- This is one of the most important sections of your business plan. It enables adjudicators to see how innovative your idea is.
- Give a description of the innovation and/or business start-up.
- Clearly highlight the goals, objectives, functionality, benefits, and or value proposition of the innovation to Zimbabwe.
- Briefly describe qualifications, expertise and capabilities of the Innovators or team members of the Innovation.
- State ownership of the innovation and/or company owning the innovation should be made clear and supporting documents are required.
4. What should be in the Market Analysis?
- Who are your target market and current customers
- Has the Innovation been piloted?
- What is the size of your target population or market?
- Competitor analysis
- Simple SWOT analysis
- At what stage is the innovation (development, testing or in service etc)
5. What should be in the Funding Request?
NB: This is an important section, take time to articulate this well as this will be assessed against your funding requirements or budget.
- How much funding are you applying for?
- Disclosure of previous funding received from other funding organisations. Have you received any other funding for this Innovation before, if so how much and for what purpose?
- Detailed purpose of funds being applied for.
6. What do I include in the Financials?
- Revenue projections of the innovation for a minimum of 2 years
- Historical financial data if the Innovation has been in operation.
- Income Statement, Balance sheet can be included for already established innovations.
- Explain how the new funding would improve your operations, in terms of revenue, cash flow and profitability.
