Uganda Discussions

Learn from me that this is possible.

LOL maybe this shouldn't be a thread of it's own, but I saw a story on the PSD blog I liked and wanted to share:

From growing cassava to funding a university

Beatrice Ayuru introduces herself as a teacher and businesswoman. She is from northern Uganda, a war-ravaged area with much poverty and few schools.

A few years ago, with no business training and no money, Beatrice decided that she would build her own school. "No girl should endure what I had to go through myself," says Beatrice. "Education is the best way to help reduce poverty in my region […] and giving girl children education empowers them. In my village, women are over-dependent on men."

Beatrice started with a small garden of cassava. That earned her a little money which she used to buy wheelbarrows that she subsequently rented out. With that income, she managed to open a canteen. Soon, she had enough savings to start a school. Getting the land was a struggle.

Traditionally, land is only owned by men in Uganda and it took her a lot of persuasion to finally obtain four hectares from her family. On that land, she built three blocks. Registering the school was another hurdle. She could not do it as a woman and had to ask her husband to do it on her behalf. The school was built and many students came to the school but the facilities were still inadequate.

One day, Beatrice got the visit from an official from DFCU, a Ugandan bank and an IFC client. The bank was impressed with Beatrice’s achievements and offered its support. Bank officials explained to her how a loan works, and she received management and banking training.

Beatrice's school, the Lira Integrated School, today has 1500 students, a school bus and an income-generating brass band. With the savings from the school, Beatrice has built a small-scale yoghurt factory and employs in total 104 people. Beatrice is far from being done. She is planning to open a university. She has a clear message for financial institutions: "We need lower interest rates and we need more flexibility in collaterals." And for fellow businesswomen: "Learn from me that this is possible!"

Last comment added: Wed, 12 Mar 2008 21:57:57 PST

What should the procedures be for funding new project ideas through ?

We have talked in the past of NedUganda as a coop made up of many small group-owned business units. Somewhere along the way we were unable to see how those small group businesses would support the whole organizational structure, from which the members want more than just funding for group businesses.

So we are no longer talking (for the moment) about NedUganda as a coop with a physical space in Uganda. Specifically, though, NedUganda could be a group in which new project ideas from Uganda (like the soap project) are developed. The idea might be to develop the ideas to a certain level at which they then become eligible for ned community fundraising action.

With the soap project, we came to a point where some thought the project was ready and others didn't. That contributed to a breakdown in momentum that I think could be avoided in the future with some clearer guidelines for what requirements qualify a project for a ned community funding effort.

I am starting this discussion to get input from both the Ugandan and global members of the NedUganda group in trying to define that process further, and to establish some realistic expectations for those Ugandans who may wish to work on developing their project ideas.

Given that I will not personally be available to take the lead in administering ned community fundraising for Uganda for a while, it would also be great to get input from this group's global members in particular on what kinds of roles you might be willing to play in developing this as a ned.com pilot community financing program.

Please also keep in mind that the above are my ideas on where we should go from here - they may not be the best ideas! Any other ideas on what the NedUganda group might aim to be and/or achieve are most welcome ~

Last comment added: Wed, 16 Jan 2008 16:42:37 PST

War/Dance

Megan told me about this movie, then I saw a review this morning in the LA Times, so I thought I would post it here. I plan to see it soon, and was wondering if anyone else has seen it. It is only playing at one theatre here in LA. It's a documentary about kids from an IDP camp in northern Uganda competing in the national music competition in Kampala. More awareness, it's a good thing!

http://www.calendarlive.com/movi es/reviews/cl-et-wardance9nov09, 1,6305502.story MOVIE REVIEW

In 'War/Dance,' children find joy against nightmarish backdrop Refugees in war-torn Uganda compete in an annual music and dance event.

By Kenneth Turan Los Angeles Times Staff Writer

November 9, 2007

"It is difficult for people to believe our story," 14-year-old Dominic says at the beginning of "War/Dance," an enormously emotional and spirit-raising documentary. "But if we don't tell you, you won't know." And if you don't know, you will be missing something quite special.

To make a memorable documentary, a film like "Hoop Dreams" or "Spellbound" that can't be forgotten once seen, you have to be more than gifted, you need an instinct for an unusual story and, frankly, you must have luck on your side. "War/Dance," co-directed by Sean Fine and Andrea Nix Fine, has all that and more.

Winner of the documentary directing award at Sundance and audience awards at festivals around the country, "War/Dance" is as irresistible as the rhythms of African music on its soundtrack. It's a fantasy set in real life, and, like all great fantasies, its moments of light are set against a backdrop of darkness and even horror.

The setting in this case is Uganda, more specifically northern Uganda, where a terrifying group called the Lord's Resistance Army has been in rebellion against the government for about 20 years, often resorting to the use of abducted child soldiers to stay in business. Members of the north's Acholi tribe have been forced to live in war zone displacement camps so vulnerable to the rebels they are under round the clock military protection.

Uganda also is a country where music and dance are so important that capital city Kampala hosts an annual National Music Competition, for which all of the country's 20,000 schools compete to enter. As the competition's director says, "it's the Olympics as far as these kids are concerned."

These two aspects of Uganda don't ordinarily meet. But in 2005 the primary school in the remote Patongo refugee camp, with students who are largely war orphans or rescued child soldiers, won its regional competition and, for the first time, headed to Kampala to compete in the nationals.

Co-director Sean Fine, who served as cinematographer, spent three months in Patongo, observing the participants as they prepared for the big event and getting close enough to the kids to have three of them trust him with their own dreadful stories.

Rose, a 13-year-old orphan, saw things no one, child or not, should witness. Nancy, age 14, kept her younger siblings together as a family after their father was murdered and their mother abducted. And Dominic, a devoted xylophone player also 14, did things during his time as a child soldier he's been unable to tell anyone.

Though "War/Dance" at times overdramatizes already dramatic material, when these children relate their experiences directly to the camera, the effect is overpowering.

The remarkable thing about "War/Dance" is the therapeutic, restorative effect singing and dancing has on these understandably somber young people. Like turning on a switch, performing enables them to recapture their true selves. "Singing makes you forget," one of them says, and another insists, "in our daily lives there must be music. Life becomes so good."

Though the national competition is in eight categories, "War/Dance" concentrates on three of them: Western choral performance, instrumental and traditional dance, where the students embrace the Bwola, the dance of the Acholi. "This is handed down to us by our ancestors," they say. "Even war cannot take it from us."

As the Patongo students head off to the nationals, the film's natural climax, they are excited to see "what peace looks like" and intent on proving themselves. "We are going to show them," says Dominic, "that we are giants." Win, lose or draw, "War/Dance" shows us that they already are.

"War/Dance." MPAA rating: PG-13, for "some thematic material involving descriptions of war atrocities." Running time: 1 hour, 45 minutes. Laemmle's Royal, 11523 Santa Monica Blvd., Los Angeles

Last comment added: Tue, 13 Nov 2007 11:16:09 PST

Life in Africa, Ned Uganda and Microfinance

We need to think about what Life in Africa, Ned Uganda and Microfinance will look like once the Life in Africa communities in Kampala and Gulu have transitioned to a coop structure and Life in Africa has transitioned to a US based non-profit.

The community in Gulu currently has a microfinance fund from Omidyar.net that's disbursed and managed using a small lending group guarantee system.

Life in Africa is also currently a Kiva partner, where loans for individuals in both Kampala and Gulu are sourced against a community guarantee.

Mark has also mentioned the possibility of microfinance available through ned.

We need to think about what running these existing and future programs should look like in the context of a coop biz unit structure. We also need to discuss how/whether the relationship with Kiva should change to reflect the new structures.

Let's please have that discussion here.

Last comment added: Fri, 19 Oct 2007 01:34:58 PDT

Ned Uganda >> How to Start a Cooperative

OK, given feedback from Christina, Evvy and Linda (per their request) here is detailed information related to coops, how they are formed, how they best work, how they don't work, and general guidelines and practical information. Whereas before there may have been a case of "not enough information" I hope this now is not a case of "too much information." It seems like a good place to start.

Cooperatives worldwide generally operate using the same principles as adopted in 1995 by the International Cooperative Alliance. The principles are part of a cooperative statement of identity which also includes the definition of a cooperative and a list of cooperative values.

Definition: A cooperative is an autonomous association of persons united voluntarily to meet their common economic, social and cultural needs and aspirations through a jointly-owned and democratically-controlled enterprise.

Values: Cooperatives are based on the values of self-help, self-responsibility, democracy, equality, equity and solidarity. In the tradition of their founders, cooperative members believe in the ethical values of honesty, openness, social responsibility and caring for others.

Principles

Voluntary and Open Membership — Cooperatives are voluntary organizations, open to all persons able to use their services and willing to accept the responsibilities of membership, without gender, social, racial, political or religious discrimination.
Democratic Member Control — Cooperatives are democratic organizations controlled by their members, who actively participate in setting their policies and making decisions. Men and women serving as elected representatives are accountable to the membership. In primary cooperatives, members have equal voting rights (one member, one vote) and cooperatives at other levels are organized in a democratic manner.
Member Economic Participation — Members contribute equitably to, and democratically control, the capital of their cooperative. At least part of that capital is usually the common property of the cooperative. They usually receive limited compensation, if any, on capital subscribed as a condition of membership. Members allocate surpluses for any or all of the following purposes: developing the cooperative, possibly by setting up reserves, part of which at least would be indivisible; benefiting members in proportion to their transactions with the cooperative; and supporting other activities approved by the membership.
Autonomy and Independence — Cooperatives are autonomous, self-help organizations controlled by their members. If they enter into agreements with other organizations, including governments, or raise capital from external sources, they do so on terms that ensure democratic control by their members and maintain their cooperative autonomy.
Education, Training and Information — Cooperatives provide education and training for their members, elected representatives, managers and employees so they can contribute effectively to the development of their cooperatives. They inform the general public — particularly young people and opinion leaders — about the nature and benefits of cooperation.
Cooperation among Cooperatives — Cooperatives serve their members most effectively and strengthen the cooperative movement by working together through local, national, regional and international structures.
Concern for Community — While focusing on member needs, cooperatives work for the sustainable development of their communities through policies accepted by their members.

Worker-owned Cooperatives

Worker cooperatives are businesses that are owned and democratically governed by their employees. They operate in numerous industries, including childcare, commercial and residential cleaning, food service, healthcare, technology, consumer retail and services, manufacturing, wholesaling and many others. Some 300 worker co-ops throughout the U.S. provide their employees with both jobs and ownership—allowing them to directly benefit from the financial success of the business.

Democratic Governance

Like other cooperatives, the board of directors for a worker co-op is elected by, and from within, its membership-in this case, the workers. The board is always majority controlled by the workers, though some worker co-ops have outside directors and advisors serving on their boards.

Management structures of worker co-ops vary greatly, depending on the desires of the members. Some worker co-ops use a traditional, management hierarchy, while others use more flat management systems that allow employees to be more directly involved in management decisions. Others use a team-based system that employs elements of both traditional and open management systems.

Profits and Wages

Each year, worker co-ops return profits not needed for reinvestment in the business, to their worker-owners in the form of patronage dividends. Dividends are typically distributed based on management position, hours worked, salary and/or seniority.

Similarly, pay structures vary greatly. Some worker co-ops use a traditional, seniority- and skill-based pay scale. At the other end of the spectrum are worker co-ops that pay all workers the same wage.

Joining a Worker Co-op

Typically, workers may join their co-op after a probationary period lasting from a few months to more than a year. At that time, workers are allowed to buy an equity share in the business—the cost of which is usually deducted from their paychecks in small amounts each month. In some cases, existing worker-owners may vote on whether to accept the new member as a co-owner. When workers leave the co-op, their equity share is returned to them.

Elements of Success

A successful cooperative has committed members and effective leadership. In addition, starting a cooperative requires a great deal of time, energy, and technical resources. The recognition of a common need which the cooperative can fulfill is key to the success of the cooperative.

To ensure success, members must actively participate in their cooperative. Members have the responsibility to finance the cooperative and use its services. Critical to the success of the cooperative is the members' willingness to provide an initial investment for start-up costs, to permit the retention of earnings so that the cooperative may grow, and to provide prompt payment of bills due the cooperative.

Strong and effective management is also a key to the success of the cooperative. Good board/manager relations are also critical. As noted, the board is responsible for establishing policy and the manager carries it out. The board and management must recognize and respect their different roles and work together for the good of the cooperative.

Benefits

Belonging to a cooperative can be the key to prosperity and even survival for many small businesses. Throughout history, cooperatives have been innovators and pacesetters, and this is just as true of a purchasing/shared services cooperative as any other. Members of these cooperatives have found that they can adapt quickly to changing economic conditions rather than become victims of them. Through these cooperatives, businesses and public entities have found they can reduce costs, respond better to competition, and improve overall performance.

USA Co-op Statistics

29 cooperatives have annual revenue in excess of $1 billion, including such well-known names as Land O'Lakes, Inc., and ACE Hardware. The top 100 co-ops have a combined $117 billion in revenues.
Cooperatives range in size from large enterprises, including U.S. Fortune 500 companies, to single, small local storefronts.
270 telephone cooperatives provide service to two million households.
Some 250 purchasing cooperatives offer group buying and shared services to more than 50,000 independents businesses.
Nearly 10,000 U.S. credit unions have 84 million members and assets in excess of $600 billion.
Cooperatives operate in every industry including agriculture, childcare, energy, financial services, food retailing and distribution, health care, insurance, housing, purchasing and shared services, telecommunications, and others.
About 30 percent of farmers' products in the U.S. are marketed through more than 3,000 farmer-owned cooperatives.
Approximately 900 rural electric cooperatives own and maintain nearly half of the electric distribution lines in the U. S., cover 75 percent of the land mass and provide electricity to 37 million people.
More than 1,000 mutual insurance companies, with more than $80 billion in net written premiums, are owned by their policyholders.
More than 6,400 housing cooperatives provide homes for 1.5 million households.
U.S. co-ops serve some 120 million members, or 4 in 10 Americans.

— Statistics gathered from various sources as of March 2005.

Lessons for Success

The following tips for cooperative success are adapted from articles printed in the NCBA Cooperative Business Journal and the U.S. Department of Agriculture's magazine for cooperative businesses.

Why Cooperatives Fail

Poor selection of directors, especially those who fail to support their cooperative
Members who join but never use their cooperative and bypass it for a small gain elsewhere
Members who use cooperatives but fail to take responsibility. Each member must be ready to accept responsibility when asked, or as the need arises. Every member should have an equal opportunity to be president of the cooperative.
Members who never ask questions and who let a few persons make policy
Members who don't attend annual meetings and directors who fail to attend board meetings
Lack of consistent membership education about the problems cooperatives face and the challenges they must meet
Not supporting the cooperative with enough money (risk capital) to get the job done
Low-cost management - it's the most expensive item for a cooperative. High-priced management is usually the least expensive item.
Not closely watching the formation of cliques and special interest groups within the cooperative
Concealing facts about a cooperative. All facts, both good and bad, should be placed on - not under - the table.
Errors in financial policy, such as over-extension of credit, too little capital, poor accounting records, lack of a financially sound, systematic program for reimbursement of equity
Errors in educational and social work. This begins by failing to teach cooperative ideals to members unfamiliar with how cooperatives function, neglecting general educational programs, failure to develop member loyalty or countering the development of factions within the association.
Management errors, such as inadequate inventory, poor location, improper equipment, neglected appearance of physical facilities, employee dishonesty, ineffective management, incompetent directors, nepotism, poorly conducted meetings, admittance of disloyal and dissatisfied members.

Why Cooperatives Thrive

Providing only the goods and services members use
Financed by the members. The greater the financing (risk capital) supplied by the members, the more efficient the cooperative.
Using all major fixed assets at the 75 percent level, or more members who do the majority of their business with the cooperative
Low administrative and overhead costs
More individualized and specialized services, particularly in the marketing area
Maintaining an open line of communication with members. Individual members will then become more influential
Selecting and developing a quality management team.
Placing more emphasis on electing business-oriented directors
Developing and implementing a systematic method of cooperative education for members, employees, directors and paid management
Aggressively positioning for changes in operations, markets and member needs.

How to Start a Cooperative

Hold a meeting of leading persons to discuss a need that forming a cooperative might meet.
Hold an exploratory meeting of interested persons. Vote whether to continue. If affirmative, select a steering committee.
Conduct a survey to determine cooperative feasibility.
Hold a second general meeting to discuss the survey results. Vote on whether to proceed.
Conduct a market or supply and cost analysis.
Hold a third general meeting to discuss the results of the market or supply and cost analysis. Vote by secret ballot on whether to proceed.
Conduct a financial analysis and develop a business plan.
Hold a fourth general meeting to hear results of the financial analysis.
Vote on whether to proceed. If affirmative vote on whether the steering committee should remain intact or whether changes should be made.
Draw up necessary legal papers and incorporate.
Call a meeting of all potential charter members to adopt the bylaws. Elect a board of directors.
Call the first meeting of the board of directors and elect officers. Assign responsibilities to implement the business plan.
Conduct a membership drive.
Acquire capital - develop a loan application package.
Hire a manager
Acquire facilities
Start up operations.

The primary organizational documents for cooperatives are the Articles of Incorporation and the Bylaws. Other legal documents may include the membership application and membership certificate.

The Articles of Incorporation state the kind and scope of the cooperative business. Often broad operating authority is stated even though services may be limited at the beginning. The articles usually contain the following:

Name of the cooperative
Principle place of business
Purposes and powers of the cooperative
Proposed duration of the cooperative
Names of the incorporators
A provision for redemption of member equity although sometimes this is in the bylaws

The Bylaws state the rights and obligations of the cooperative's board of directors and members and guide the day-to-day operations of the cooperative. The bylaws usually specify the following:

Requirements for membership
Rights and responsibilities of members
Grounds and procedures for member expulsion
Procedures for calling and conducting membership meetings
Voting procedures
Procedures to elect or remove directors and officers the number, duties, terms of office, and compensation of directors and officers
Time and place of the directors meetings
Dates of the fiscal year
Information on how the net earnings will be distributed
Other rules for management of the cooperative

Grace. George. Munnu. Teopista. Peter. Robert. Any and all Ugandan based members, this is the time to jump in and ask questions. Ask specifics. Offer ideas. Dig for clarification. Please realize there's no such thing as a bad question. It may well be too that some questions don't have answers yet...and that's okay too.

Last comment added: Tue, 06 Nov 2007 12:40:04 PST

BREAKFAST CLUB-CHILDRENS` ACTIVITIES

POST IN ACTIVITIES THAT CAN BE BEST FOR BREAKFAST CLUB CHILDREN DURING HOLIDAYS.

Breakfast Club is a name given to a group of children that belongs to members of NED Uganda both at Kampala and Gulu. This Children during holidays and weekends need to have some activities so as to keep them busy ,Creats healthy mind, Phisical fitness and mental development.

The Activities that might be surgested should be in Kampala and Gulu as well.ie have to mirror one another. Life in Africas` Director(Christina)had been organising for the holidays programmes for children such that members` children do come from kampala and meet the children at Gulu we center during the Holidays . It was such a wonderful programme and arrangement.

However there were so many challenges behind that. Travel expences from Kampala to Gulu was a problem as there is no any vehicle or transport means for their programme. Now can any one surgest any programme/Activities that children can benefit from it during holidays and week ends. I will come later with other activities that they used to do.

[Edited by group owner: Munnu Morrish on 18 Sep 2007 03:40 PDT: fixing pic]

Last comment added: Tue, 13 Nov 2007 11:31:16 PST

Sept/Oct 2007: Ned Uganda

Can someone share more about the new Gulu location that's currently being renovated, what the community is already planning for that space? When will the space be ready?

Beyond an internet café (downstairs?) what other business models would the Ned Uganda team like to explore in the same space? It would be great if any new business model for a product or service each had a team of 3-5 people working to make it profitable and sustainable. Does that make sense?

What can be learned from the other internet cafes in Gulu? What would make more people want to visit the Ned/Uganda/Gulu internet café? Can someone start to spec out the startup costs for the café: computers, electricity, connectivity, gas generator, etc.

Would Ned/Uganda t-shirts sell well? Ice cold Rwenzori bottled water? Dried fruit or meats? Microfinance loans. Paper beaded bracelets. Liquid soap is one, I know. What other products or services would the Ned/Uganda/Gulu coop community like to sell that could be profitable in a short period of time? I can help guide, offer ideas, share online, but members on the ground in Gulu need to unleash the entrepreneurial spirits. How soon is the retail space going to be open for business? Can we see some picture soon? That'd be great.

Can each business unit/model being considered be budgeted for cost of goods, marketing, expected sales, and team members in the unit?

We don't necessarily have to have the physical space open to explore some of the models. If three people think selling t-shirts is worthwhile, and there would be a need for 100 to start, that could be something possibly started without the retail space. Each business unit should have enough potential revenue so each worker would earn 2,000 to 6,000 shillings a day, cover expenses, and have excess profit that goes back into the coop for other models (and coop wide profit sharing).

Assuming 2,000 shillings per person a day, at three team members, at 90 days, loosely figure $279 in labor/pay for three months. Assuming startup costs for WIDGET/PRODUCT/SERVICE is $250, that's $529 combined...round it up to $600 USD...for giggles (ok, miscellaneous expenses really). If a business unit could be profitable in 90 days, paying expenses, earning a living for that units members, putting some funds back into the coop (first to recoup investment funding (for reinvestment, not return on investment), then to startup other models)...that'd be a great thing. Ned/Portland has the capacity to fund a minimum of 3-4 of these business units as soon as they are ready to go (If we get some Ned.com Chip-in, Facebook, Razoo matching funds, we might be able to finance twice as much).

Last comment added: Thu, 17 Jan 2008 06:47:11 PST

Uganda: September07loans in progres

This is where the advanced internet for change agents are to post the loan discriptions for the month of september.

Last comment added: Wed, 17 Oct 2007 05:57:17 PDT

Ned Uganda Announcements and Accomplishments

I am starting this thread so that we have a place to acknowlege our accomplishments and to announce our coming events.

I am starting with a big congratulations. I was just watching the Oprah show while working on my computer. The show is all about philanthrophy and highlights Bill Clinton's new book "Giving". One segment was on Kiva and the founders were there.

I was so proud to see our very own Grace and her peanut butter business highlighted and held up as a shining example of the success of Kiva loan recipients. What a treat to see a familiar face and hear that beautiful voice. It was only a short segment but it meant so much to me. The whole community should be very proud. I know I am.

Last comment added: Fri, 02 Nov 2007 21:43:34 PST

Wholesale Bulk Beads

I'd like to revive the discussion of the bulk jungle beads that we had going a while back on o/net.

I'd really love to develop a make-your-own bracelet kit as a "better world kids party" favor and general craft activity kit. I think this type of item would do really well.

Peter, Teopista and Grace - Christina suggested that I start the conversation up again here with you guys...Has there been any further consideration about bulk pricing and availability for the beads? Would there be an interest in piloting a small venture?

If I had a few handfuls of bulk beads - and I'm happy to purchase samples - I could create a prototype and go from there if there is willingness to try on your end. Of course, the bulk pricing structure/profit margin would be key to its success as well. But first I am simply wondering if you'd like to explore further?

Thanks!

Michele

Last comment added: Mon, 14 Jan 2008 16:50:28 PST