Oshipe – A Fallacy Or Reality?

AS a prospective entrepreneur I would like to air my views in your widely read newspaper about the so called Oshipe Development Fund.

It was with a sigh of relief that we initially read in the newspapers about this Fund. Many potential entrepreneurs agree with me that it is difficult or even impossible for a small start-up business to secure a loan from financial institutions in this country.Many of us were quite relieved when Oshipe was established ostensibly to assist small-medium businesses start ups or expansions using more flexible terms than normally required by a bank.But to be honest I was somewhat disappointed when we submitted our business plan to Oshipe.When submitting one’s business plan you are told that within days you will receive a letter acknowledging receipt of this business plan and within two weeks they would have determined the commercial viability or otherwise of your business.This is not true at all.You do not hear from them in the stated timeframe.If you are unfortunate you will not here from them at all.I know quite a number of potential entrepreneurs who faced this dilemma.Feedback should be timeous to enable entrepreneurs to enlist support from other financial institutions should Oshipe be unwilling to fund a proposed business rather then waiting three months only to be told that you did not meet the standard.The business will not recover such lost time.My question is what sort of operation is this when it takes a long time to get your feedback? Do they know how much it costs timewise and other related outlays to come up with a comprehensive business plan? Such indifference is not acceptable.My thinking was that bureaucracy is only in Government departments but the rot is also rampant in the private sector.As a ‘funder’ of small businesses, venture capitalists like Oshipe should demonstrate a high standard of professionalism.SMEs should learn from them about time valuing and adhering to promises.Making a follow up enquiring about the status of one’s application is quite a nightmare.You are told that the only person dealing with business plans assessment is the Business Development Manager who can be out of office for more than two months in a row.It means for that period this person is not in the office or busy on something else no one will be working on business proposals.Why is it that there is no delegation of duties? Someone else can also assess the commercial viability of business plans.Email enquiries are also not replied to.We are not sure if the failure to respond through email is as a result of technophobia or just apathy.In this information age, email is the fastest and cheapest means of communication.Why not responding through emails for most efficient and timeous communication rather than relying on the post which is slow and unreliable.Letters get lost at times.In starting a business one is always scared that someone or a big company will identify the opportunity you would have discovered and start the business ahead of you during the long time your loan application is being studied.Unfortunately this is what happened to us.It was a heart-breaking experience.Due to false promises of Oshipe we lost a chance to start a business.We are now endeavouring to come up with a new business idea and going through the same gruesome and sleepless night experience of compiling a business plan.We hope we will not face the same quandary this time around when we submit our business plan to them.I have no hard feelings that our proposal was rejected but please do notify applicants in a reasonable time.My warning to all prospective entrepreneurs wishing to get financial assistance from Oshipe is not to expect too much from these guys as far as quick assessment of business proposals is concerned.There is no sense of urgency at all in their system.Despite the fact that time is of critical importance in business they are not bothered.This Fund is modelled along the lines of venture capitalism but the people responsible for running this Fund are not running it as venture capitalists.They are either incompetent or just indifferent.In my view this does not give Namdeb, the mother company of Oshipe, a good name.If you cannot deliver timeously please just do not promise or give a timeframe no one will give a damn.At least this will protect prospective entrepreneurs from unnecessary headaches of counting days.It’s really unnecessary and uncalled for.Also if Oshipe has received too many business plans such that they cannot process them on time why not just tell us.At least we know that there is no one to fund our businesses rather than to console us through falsehood.In my opinion, Oshipe makes money, especially when they acquire some equity in viable companies they help setting up.It means therefore the company should be fast when dealing with SMEs since it is a win – win situation.You are venture capitalists and venture capitalists are known to be aggressive especially were there is a big opportunity.In Namibia we need more venture capitalists to lessen dependency on one entity to safeguard against complacency.If there are available already, let them come out.Advertise so that we will know about you.It is not a charitable venture but a business one.This is another investment opportunity for rich individuals in Namibia and big companies too.In South Africa such companies abound and some even make more than 2 000 per cent in return for the initial capital invested in less than 5 years.The evidence is available in the electronic environment for verification.This letter only services to inform the captains of this company of the stress associated in waiting for a feedback from them for too long not to condemn them.Oshipe is a very important entity and we support its noble cause to assist SMEs but please be insightful to time.Professionalism should form the backbone to all its operations.I hope change will soon come and/or the powers that may be at Namdeb will take action against this laziness.Concerned Entrepreneur Via e-mailMany potential entrepreneurs agree with me that it is difficult or even impossible for a small start-up business to secure a loan from financial institutions in this country.Many of us were quite relieved when Oshipe was established ostensibly to assist small-medium businesses start ups or expansions using more flexible terms than normally required by a bank.But to be honest I was somewhat disappointed when we submitted our business plan to Oshipe.When submitting one’s business plan you are told that within days you will receive a letter acknowledging receipt of this business plan and within two weeks they would have determined the commercial viability or otherwise of your business.This is not true at all.You do not hear from them in the stated timeframe.If you are unfortunate you will not here from them at all.I know quite a number of potential entrepreneurs who faced this dilemma.Feedback should be timeous to enable entrepreneurs to enlist support from other financial institutions should Oshipe be unwilling to fund a proposed business rather then waiting three months only to be told that you did not meet the standard.The business will not recover such lost time.My question is what sort of operation is this when it takes a long time to get your feedback? Do they know how much it costs timewise and other related outlays to come up with a comprehensive business plan? Such indifference is not acceptable.My thinking was that bureaucracy is only in Government departments but the rot is also rampant in the private sector.As a ‘funder’ of small businesses, venture capitalists like Oshipe should demonstrate a high standard of professionalism.SMEs should learn from them about time valuing and adhering to promises.Making a follow up enquiring about the status of one’s application is quite a nightmare.You are told that the only person dealing with business plans assessment is the Business Development Manager who can be out of office for more than two months in a row.It means for that period this person is not in the office or busy on something else no one will be working on business proposals.Why is it that there is no delegation of duties? Someone else can also assess the commercial viability of business plans.Email enquiries are also not replied to.We are not sure if the failure to respond through email is as a result of technophobia or just apathy.In this information age, email is the fastest and cheapest means of communication.Why not responding through emails for most efficient and timeous communication rather than relying on the post which is slow and unreliable.Letters get lost at times.In starting a business one is always scared that someone or a big company will identify the opportunity you would have discovered and start the business ahead of you during the long time your loan application is being studied.Unfortunately this is what happened to us.It was a heart-breaking experience.Due to false promises of Oshipe we lost a chance to start a business.We are now endeavouring to come up with a new business idea and going through the same gruesome and sleepless night experience of compiling a business plan.We hope we will not face the same quandary this time around when we submit our business plan to them.I have no hard feelings that our proposal was rejected but please do notify applicants in a reasonable time.My warning to all prospective entrepreneurs wishing to get financial assistance from Oshipe is not to expect too much from these guys as far as quick assessment of business proposals is concerned.There is no sense of urgency at all in their system.Despite the fact that time is of critical importance in business they are not bothered.This Fund is modelled along the lines of venture capitalism but the people responsible for running this Fund are not running it as venture capitalists.They are either incompetent or just indifferent.In my view this does not give Namdeb, the mother company of Oshipe, a good name.If you cannot deliver timeously please just do not promise or give a timeframe no one will give a damn.At least this will protect prospective entrepreneurs from unnecessary headaches of counting days.It’s really unnecessary and uncalled for.Also if Oshipe has received too many business plans such that they cannot process them on time why not just tell us.At least we know that there is no one to fund our businesses rather than to console us through falsehood.In my opinion, Oshipe makes money, especially when they acquire some equity in viable companies they help setting up.It means therefore the company should be fast when dealing with SMEs since it is a win – win situation.You are venture capitalists and venture capitalists are known to be aggressive especially were there is a big opportunity.In Namibia we need more venture capitalists to lessen dependency on one entity to safeguard against complacency.If there are available already, let them come out.Advertise so that we will know about you.It is not a charitable venture but a business one.This is another investment opportunity for rich individuals in Namibia and big companies too.In South Africa such companies abound and some even make more than 2 000 per cent in return for the initial capital invested in less than 5 years.The evidence is available in the electronic environment for verification. This letter only services to inform the captains of this company of the stress associated in waiting for a feedback from them for too long not to condemn them.Oshipe is a very important entity and we support its noble cause to assist SMEs but please be insightful to time.Professionalism should form the backbone to all its operations.I hope change will soon come and/or the powers that may be at Namdeb will take action against this laziness.Concerned Entrepreneur Via e-mail