Project:Delivering target training to entrepreneurs and SMEs so that they can obtain direct investment and financing.
Key Figures:Developed USD 3.5 million in direct investment for target businesses for a leverage ratio of 4.5 to 1 (investment generated vs. program fees).
Background:LixCap supported USAID’s Morocco Economic Competitiveness program by reviewing Morocco’s cold storage logistics value chain. Cold storage lostics is critical for boosting agribusiness exports, a sector which represents over 25% of Morocco’s total GDP.
Methods:LixCap and FSVC successfully leveraged the existing incubator and accelerator ecosystem to identify high-growth entrepreneurs and SMEs that were equipped for training and funding. Complex technical gaps were then addressed through process trainings and assistance. Trainings covered topics such as financial modeling, market assessments, and managing growth. Incubators and accelerators also received training to improve their own processes and thus expand their capacity to assist more entrepreneurs and SMEs.
Results:LixCap and FSVC screened and sourced over 140 businesses, provided 120 one-on-one consultations, and within the short timeframe at least 17 business increased their revenues. After only two years of program implementation, USD 3.5 million in investment was raised for entrepreneurs and SMEs, along with nearly USD 200,000 in new funding for local incubators. LixCap continues to provide ad hoc advisory services to several of the Gazelles Al Maghrib participants, showing the relevancy and impact of this work.