Entrepreneurial Success: 7 Simple Actions

enerselva3I joined Agora because I was inspired by its work to promote the development of social entrepreneurs in Latin America. After selecting entrepreneurs generating positive social impact in Latin America, Agora facilitates these entrepreneurs’ access to financial, social, and human capital to increase their success and impact. I am currently advising four social social enterprises in Peru: two in clean cookstoves, one in solar lamps, and one in organic smallholder agriculture.

Having worked in microenterprise, small business training, and consulting in Africa and Latin America, I believe human and social capital are even more important to individual, company, and country development than financial capital. Here are the most important verbs I have identified for successful entrepreneurs:

Continue reading Entrepreneurial Success: 7 Simple Actions

There’s a Lot More to Coffee Than Beans

I set off with Luisa Lombera and Gates Gooding, the founders of a company named Pixán, (which means happiness, soul or essence in Maya), joining them in their quest to find the raw material that had thus far eluded them. Fresh from Agora Partnerships’ Entrepreneur Retreat held in Granada, Nicaragua, we were infused with an invigorated sense of purpose.

Gates and Luisa applied to the Agora Accelerator with the aim of turning Pixán into a flourishing business that will double the income of coffee farmers in the Pixán supply chain. Searching for an opportunity to create impact in the coffee sector in Latin America, they were inspired by the Yemeni traditional practice of making a drink called kishr (or qishr), which is a kind of chai made with coffee fruit, ginger, cardamom and cinnamon. Luisa and Gates took to the idea and are now looking to produce a beverage made with an infusion of dried coffee fruit, also known as “cáscara” (skin or peel – in Spanish).

Continue reading There’s a Lot More to Coffee Than Beans

Shared Values: what we look for when selecting entrepreneurs for the Agora Accelerator

Ben Powell - Impact Investing in Action 2013 (1)The Agora Accelerator is designed for entrepreneurs with real potential to make a significant positive contribution to the world. When we select our classes, we look at a number of factors including business model innovation, scalability, and social impact. But the most important factor by far is the quality of the entrepreneur.  Figuring out who are the most promising entrepreneurs for the accelerator is one of our hardest jobs, especially given the tremendous energy and innovation we are seeing among entrepreneurs working throughout Latin America.  We don’t pretend to have all the answers, but we have found that using core values as a framework can be incredibly helpful in understanding the power an entrepreneur will eventually wield to propel his/her company to success.

Continue reading Shared Values: what we look for when selecting entrepreneurs for the Agora Accelerator

Valores Fundamentales – lo que buscamos cuando se seleccionan emprendedores

Ben Powell - Impact Investing in Action 2013 (1)La Aceleradora Agora está diseñada para emprendedores con potencial real para hacer una contribución importante y positiva al mundo. Cuando se seleccionan nuestras clases, nos fijamos en una serie de factores que incluyen que tan innovador es el modelo de negocio, la escalabilidad y el impacto social; pero el factor más importante es la calidad del emprendedor. Averiguar quienes son los emprendedores más prometedores para la Aceleradora es una de nuestras tareas más difíciles, sobre todo en vista de la enorme energía y la innovación que estamos viendo entre emprendedores que trabajan en América Latina. No pretendemos tener todas las respuestas, pero hemos encontrado que el uso de una serie de valores fundamentales como marco puede ser increíblemente útil para comprender la motivación de un emprendedor, para impulsar su empresa al éxito.

Continue reading Valores Fundamentales – lo que buscamos cuando se seleccionan emprendedores

Con Ágora Partnerships, uno siempre tiene más de lo que espera

IMG_6309Marcelo Hernandez Mahecha y Alexander Valencia participaron en La Aceleradora Agora 2014. Su negocio, CAIA Ingeniería, provee servicios de consultoría de energía y emisiones para empresas en industrias de alto consumo energético en Colombia. Luego, CAIA brinda servicios para implementar las mejoras recomendadas, a través de innovadores contratos de rendimiento de ahorro energético, que reducen o hasta eliminan las salidas de flujos de sus clientes.

Hablamos con Marcelo sobre su experiencia en La Aceleradora Agora y esto fue lo que nos contó.

Continue reading Con Ágora Partnerships, uno siempre tiene más de lo que espera

Completing the Puzzle: how the Agora Accelerator helped PACE MD piece together a complicated business model

In Mexico, more than 3 million neonates die in their first month of life, almost 300,000 women from complications at birth, and more than 750,000 children die of diarrheal illness each year. And this is just the beginning. Haywood Hall, founder of PACE MD, discovered that a significant amount of these deaths can be averted with proper training. Mexico suffers from a “Medical Knowledge Gap” in which health care providers lack fundamental training and/or continuing medical education opportunities to provide consistent high quality care.

Continue reading Completing the Puzzle: how the Agora Accelerator helped PACE MD piece together a complicated business model

The Value of Community Along the Road Less Traveled

Vega is solving a major problem in the coffee industry: 80% of coffee farmers worldwide (20 million farmers) are trapped in a cycle of subsistence farming, earning around $1 per pound of coffee which is ultimately sold for upwards of $20 per pound. Typical coffee supply chains include around 20 middlemen and can take up to 6 months for the coffee bean to reach the consumer.

Vega empowers coffee farmers in Nicaragua to process their own premium beans, and connects them directly with coffee lovers on their online marketplace.

Continue reading The Value of Community Along the Road Less Traveled

Agora Accelerator Provides Birds-Eye View for Entrepreneurs in Latin America


Luciérnaga distributes small solar lighting technologies that affordably meet the
lighting and device charging needs for energy poor populations in Central America. Luciérnaga fights energy poverty, delivers clean energy, and strengthens markets. The company has sold 3,400 solar lights, providing 17,000 people with access to light and allowing them to save up to $220 per year.

Luciérnaga participated in the 2014 Agora Accelerator. We interviewed the Founder and Managing Director, Sebastian Africano, to learn more about why he decided to apply for the Accelerator and what value he gained.

Continue reading Agora Accelerator Provides Birds-Eye View for Entrepreneurs in Latin America

Thinking Outside the Box in Latin America

“There has never been an example of an economy that has suffered as a result of giving women access to capital, knowledge, networks, and entrepreneurial tools. The only places where women don’t add as much to the economy as men are places they aren’t allowed to. The world has too many problems to only have half our brains working on them.” – Anne Welsh McNulty

Business has provided billions of people around the world with endless opportunities. From personal laptops to affordable air travel, innovative business models have provided us with a wealth of comforts the world over.  However, there are still those who live day to day without products, services, and opportunities that so many take for granted.

More than 20% of Peruvians (6.5 million) do not have access to electricity. 35% (16.7 million) of all Colombians are unbanked, as is 65% of the population of all of Latin America. (1) Nearly 54% (8 million) of Guatemalans live below the poverty line ($1.25/day), while 75% (11.3 million) of the population participates in the informal economy. (2)

Though these statistics may seem daunting at first, three regional innovators are successfully tackling these challenges – Alicia Kozuch, Founder of Buen Power (Peru), Ana Barrera, Founder of Aflore (Colombia), and Sophie Eckrich, Founder of Teysha (Guatemala). These entrepreneurs are harnessing the power of business to electrify remote rural communities, build trust in often uncertain financial systems, and create a direct connection between artisans and customers – all while making a profit and shifting the way their respective industries view success.

Alicia, Ana, and Sophie are all 2014 McNulty Fellows, an annual scholarship award funded by the McNulty Foundation. Each year, the McNulty Foundation selects three outstanding women entrepreneurs accepted into our Accelerator program and funds their participation in an effort to amplify market-driven solutions to pressing issues in Latin America.

LIGHTING UP PERU

IMG_5211 (1)In Peru, the combination of the Andean Mountains and Amazonian Jungle creates a complex geography that often prevents entire communities from connecting to electrical grids. It’s these conditions that motivated Alicia to look beyond the problem and look to a solution.

Buen Power doesn’t just provide an affordable and sustainable source of light to off-the-grid rural communities; the company has built a business model that creates local micro-entrepreneurs by integrating teachers as distributors of dLights. “We are utilizing teachers – since they are going to these remote communities anyway. While they are back in their home cities on the weekend, we train them in solar energy, and provide them with sample lights and specially created picture books which we have designed. They then hold community meetings in the communities where they work – and teach the community members about solar energy and its benefits and offer the lights for sale. These teachers earn a commission on sales. We are also creating other micro-entrepreneurs – by supporting about 50 other locals who buy our products at wholesale and sell at retail in their very distant communities.”

Q'ero girls with dlight - Buen powerAlicia recently received an email from a friend who works in remote Peruvian communities that stated, “Last week, we arrived in Q’ero well after dark. We saw a light in the distance which slowly moved towards us. These three beautiful girls came to meet us with you will never guess what – one of your dLights! What an amazing sight – never before have we been greeted in the dark.”

Alicia recalled, “The story brought tears to my eyes as I could clearly see, from an outside source, that our work was touching lives that we didn’t even know about. What an incredible feeling! It’s these moments that keep me going through the hardest days.”

Buen Power is currently in the process of opening 6 new locations in Peru. Next, the companies plans to replicate this distribution system country-wide. They recently received a $100,000 grant from USAID to pursue their “radical new distribution method for rural electrification”. (3)

BRINGING TRUST INTO FINANCIAL SERVICES IN COLOMBIA

IMG_4547 (1)Ana is thinking big. “Within the next 5-10 years I would like to see that Aflore has revolutionised the way of addressing the unbanked [adults who do not have bank accounts], in such a way that it has inspired others to innovate and develop other products and services to serve them properly.  After spending so many years working at the forefront of financial innovation in large investment banks,  I now believe that it is actually in this market segment where innovation should really happen, and most likely, the only segment where it really matters.”

Besides the unbanked, Ana has found that many of the people in Colombia who do, in fact, have bank accounts withdraw their money as soon as it lands in their accounts. She believes that this problem of financial inclusion is not an issue of access but rather one of engagement. Ana explains that, “Aflore’s main innovation is the channel: distributing financial products through a network of informal advisors. These informal advisors are people that are already trusted in their communities and who are seen as financial role models. We leverage these existing trusted relationships not only to get people to engage in financial services but also to access information about our clients (personal and financial) that allows us to do risk assessments of a demographic that the banks are not attending.”

Jeny, one of Aflore’s first clients, illustrates the success of this business model. Jeny has been unable to get a loan from a bank in the past because she withdraws her minimum wage salary each month as soon as it is deposited. In steps Yaneth, an Aflore advisor.

In addition to being an advisor, Yaneth is also one of Jeny’s closest friends. Yaneth has built a small but successful clothing manufacturing business from her home and has become a trusted source of financial advice for Jeny and other women in her community. When Jeny’s mother fell ill, Yaneth offered Jeny a $100 loan to visit her family. When Jeny repaid this loan, she was then extended a $500 loan to buy a washing machine. Jeny has also repaid this loan and is considering borrowing an additional $1,000 to invest in her husband’s business.

“This year, we are focusing on proving and building the channel. We aim to finish the year with a network of 120 advisors,” Ana concludes. “We aim to put in place an operation that will allow us to scale our business significantly during 2015.”

HUMANIZING FASHION IN GUATEMALA

IMG_5312 (1)The Teysha team “wants to see a fashion industry that values the creators of the goods just as much as the design and look”. They believe “that in order to create a more vibrant and prosperous world for all, we need to know each other better and value each other’s talents more”.

10250257_644211412316537_6710091512219631956_nWith this philosophy in mind, Teysha has built a business model that creates social, environmental, and economic value for all stakeholders, every step of the way. Sophie explains the Teysha business model: “We work directly with groups of artisans to connect them to our customization platform, combining the forces of textile makers, leather workers, shoe makers, to make one of a kind goods. Our customers are able to customize their goods by learning about the various villages and techniques we feature. Through this model, we create a direct connection between the customer and the maker, and create a bridge between cultures.”

10155167_640971995973812_3946401823499050900_nThis model has the potential to revolutionize artisanal fashion in the region because rather than simply analyzing market trends, producing a product, and selling it – Teysha is building a platform to connect the producer and the consumer and empowering them to work together to create a product that uses the skills of the artisans and satisfies the desires of the person purchasing the product. By bringing this human element to the fashion industry, consumers consciousness and product transparency is reaching an entirely new level. Sophie affirms that “we are working to make ethically and authentically made goods the norm within the fashion industry”.

IN CONCLUSION

These three women have overcome countless barriers in incredibly difficult business environments. The McNulty Foundation recognizes the importance of this type of innovation, values the passion, endurance and leadership these women have shown, and is committed to supporting the growth of these game changing businesses.

Anne Welsh McNulty, co-founder of the McNulty Foundation, believes “Women don’t need to be told to be leaders or to find solutions to economic and social problems in their communities. All they need is access to the economic tools and networks traditionally denied to them and they will build the solutions on their own, because that is a human desire, not a gendered one.”

Successful Impact Investment in Nicaragua

photo 1 (1) (4)Aida Patricia is the founder of Oscaritos, a textile business that she started in Nicaragua in 1996 with only 100 dollars from a microfinance loan. In November 2013, Aida completed the repayment of a debt investment from Pomona Impact, an angel investment group founded in 2011. We had the opportunity to speak with Aida and congratulate her on the successful repayment.

Aida, tell us a little about your history with Pomona.

I entered the Agora Accelerator so I could prepare my company to receive investment and had the opportunity to present my company to a group of investors. It was in Granada, in 2011, where we met Pomona. They paid a lot of attention to our company and when we spoke with them, they directly asked us how much we need, and that is how it happened. They gave us a loan of $30,000 that we invested as working capital. This investment has really helped us to grow, in fact we doubled our sales this year. We are working on a report where we document our significant growth and the impact is has had for us and on the lives of our many employees.

How was the process of working with Pomona?

The link was Agora. Agora was always aware of our relationship and served as an intermediary, helping us communicate with Pomona and prepare the right documentation throughout the entire process. Sometimes, as a SME it is hard for us to understand what investors need and their way of thinking. Agora helped us establish the relationship with Pomona and was there every step of the way. However, the relationship became more than just a business deal. Our colleagues told us that it is amazing what we have with Pomona, a relationship was more than just about a loan. They really came to be part of the Oscaritos family. It was a successful investment and we thank them very much for that trust they had in us. I want to send Mark and Rich our deepest appreciation from everyone at Oscaritex. I do not have the words needed to thank all that we have achieved thanks to Pomona.

Richard Ambrose, co-founder of Pomona Impact, added a few remarks on Aida and the investment process:

In our opinion, Aida represents the untapped entrepreneurial energy in Central America that is ready to be unlocked. I credit her and Oscar (husband) for the courage, vision and uncompromising honesty needed to get the business started WHILE delivering on her social mission.  Instead of mimicking the harsh working conditions that many garment manufacturers use to drive production, she built an open-air production facility that invites natural light and fresh air as well as a respectful working environment for her employees.  

Agora was instrumental first in identifying her as a worthy candidate for its accelerator and second in providing the additional training necessary to help get Oscaritos ready for investment.  Throughout the life of the investment, Pomona even received additional support from Agora to assist with some reporting issues that Oscaritos was having trouble completing.  This translated to both cost and time savings for us (Pomona).  Quite simply – Agora continues to impress!

We received the final repayment of the loan from Oscaritos on time and with an equitable financial return. We maintain a close relationship and look forward to collaborating on future projects. Thanks to all involved!