ACDI VOCA Development of Business Plans for APS Grantee Enterprises Consultancy Opportunity

ACDI VOCA 

Resilience and Economic Growth in the Arid Lands-Accelerated Growth (REGAL-Accelerated Growth)

Scope of Work: Developing Business Plans for APS Grantee Enterprises
    
A. Overview and Background to the Assignment 
 

The Resilience and Economic Growth in the Arid Lands-Accelerated Growth (REGAL-Accelerated Growth) activity is a five-year, $20 million contract. 

REGAL-Accelerated Growth builds on REGAL-Increased Resilience efforts by creating a more inclusive and competitive livestock value chain that increases pastoralists’ resilience and stimulates economic growth in Kenya's arid lands as well as catalyzes actors/stakeholders of livestock value chains to recognize and invest in a common vision for change and collaborative action. 

The project has been achieving this by causing behavior change among market actors / stakeholders - both women and men - all along the meat, dairy, and hides and skins value chains; driving investment in critical upgrades that eliminate value chain constraints or mitigate risk; and identifying and building the capacity of change agents within pastoral communities capable of driving investments, upgrades and increased economic competitiveness. 

The project has 4 interrelated components that include: 

(1) improving the  business enabling environment of livestock value chains, 

(2) creating or expanding end market opportunities and catalyzing commercial investments in the meat, camel dairy, and hides and skins value chains, 

(3) increasing livestock productivity through the development of market-driven solutions, and 

(4) ensuring value chain growth is inclusive of women, youth and local groups through the use of key partnerships and small-scale, demand-driven investments.  

B. Assignment Rationale
 

The program recently issued an Annual Program Statement (APS) with the purpose of soliciting concept papers from prospective grantees for entrepreneurial investment partnerships with communities under the REGAL-Accelerated Growth project, focused on promoting growth of three value chains: meat and live animals, dairy/camel milk, and hides and skins.  

Proposed investments are expected to address a range of issues, including but not limited to improving access to inputs and other services (processing, extension, improved inputs, mechanization, market information systems, and other new technologies) for livestock keepers and value chain participants, and the strengthening of current, and provisioning of new, markets and marketing opportunities.  

The goal is to improve productivity and competitiveness of value chains that offer jobs and income opportunities for pastoralists. Strategies for the target value chains are as follows:
 

1. Meat & live animals: Start-up of commercial value addition operations and investments linked to producers with expanded markets. Private sector investments promotion including the marketing strategies/campaigns and business linkage initiatives with traders, processors and other lead firms. 

Live animal market infrastructure technological mechanization/advancement with a view to increasing transaction volumes, market efficiencies and easy of revenue collection. In-kind grants may take the form of infrastructure improvements, equipment, processing plants, construction, and other goods and services.
 

2. Camel milk / dairy: Build on successes of the raw camel milk value chain to take it to scale, in addition to fostering linkages between local production networks and processors of high-quality camel milk to instill needed commercial drivers into the local value chain. In-kind grants may take the form of cold storage equipment, processing plants or equipment, infrastructure construction, and other goods and services.
 

3. Hides & skins: Promote commercially viable hides and skins (processing) industries by addressing key value chain constraints facing producers, primarily around organization and marketing of skins (horizontal linkages) and technology (wet-salting, slaughter techniques, storage, handling and animal health) through fostering linkages between local producers, traders and processors. 

In-kind grants may take the form of tanning and other improved processing equipment, construction of processing facilities, and other goods and services. 
 

Special attention in all investment proposals is given to inclusive gender and youth approaches and linkages with producer groups at the community level.  

The investments will be either in Isiolo or Marsabit counties. 

The proposed investment are expected to be conducted in partnership with one or more communities and therefore the grantee is expected to specify the name of the community/communities and/or community-based organizations that they propose to partner with, and provide proof of the community’s consent or anticipated consent for this investment. 
 

It is based on this background that the REGAL-Accelerated Growth project seeks to engage the services of consultants to work with selected APS grantees to conduct a holistic appraisal of the investment idea and assist the entrepreneurs/small enterprises to develop a viable business plan that will effectively and efficiently operationalize the investment to realize its potential. 

C. Purpose and Objectives of the Consultancy 
 

The purpose of this consultancy is to provide identified APS grantees with technical support to conduct market assessments, risk analysis, competition analysis, and supplier opportunity assessments and develop viable business plans to operationalize the proposed investment profitably and sustainably. 

To the extent possible, the consultant should use a training of trainers approach when working with the grantees in order to build their capacity to conduct similar analyses in the future.

Based on the APS issued, 23 applicants submitted concept papers. 

A compliance review was conducted for all the applications which was followed by a technical review that was conducted by an evaluation committee.  

Based on this review, seven (7) organizations were shortlisted to move to the next step of business plan development. 

The consultants will therefore support the shortlisted applicants and will be involved in the following specific activities:
 

1. Review proposals of shortlisted APS applicants: The consultant will be required to read the applications and all supporting documents submitted by grantees that have been shortlisted for further consideration for funding.
 

2. Conduct feasibility assessment of the investment and make necessary recommendations: The consultant should undertake a thorough SWOT analysis of the investment. The consultant should support the applicant in conducting a risk and competition analysis, and should discuss with the applicant about possible modalities for governing and managing the business/investment to optimize its efficiency and effectiveness, looking at its current status, capacity and commercial potential as well as opportunities for creating employment opportunities in the counties. 
 

3. Assist the shortlisted applicants in identifying potential markets and requirements for entrance to the market: The consultant should undertake a rapid market assessment, identify a potential market share for the enterprise and develop marketing strategies that will provide enterprise growth and profitability.
 

4. Assist the shortlisted applicants in developing enterprise operational strategy/business plan for the next 3 years: Based on the information collected above, identify infrastructure and other resources needed for the enterprise/investment to achieve profitability.  This should include actual costing, cash flows, realistic assumptions and benchmarks, requisite standards, and risk mitigation plans. This should also highlight concrete steps to be taken by the grant holder in order to ensure effective and efficient operations.

D. Deliverables
 

Anticipated deliverables include the following:

1. A completed SWOT analysis of each of the prospective grantees, developed jointly with the applicant using a training of trainers approach
2. A viable business plan developed together with the prospective grantees detailing a clear implementation framework and management structure for the investments

E. Assignment Timeline
 

The estimated level of effort for this assignment is a 5-day work week with each APS grant holder with business plan activities occurring simultaneously for a number of applicants. 

The period of performance will be limited to a period of two (2) weeks.

ACDI/VOCA anticipates working with seven (7) APS applicants for this purpose.

F. Consultant Qualifications 
 

The consultant(s) will be required to meet the following criteria:

• Post-graduate level qualification in any of the following fields: economics, business administration, livestock and/or agricultural economics, financial analysis or other relevant fields
• At least 10 years’ professional experience in business planning, economic and/or financial analysis, value chain development, or other relevant areas
• Prior experience in feasibility studies, in-depth economic analysis, or market analysis and exposure to international trade issues
• Proven track record of professional execution of similar consultancies and demonstrated capacity to deliver high-quality outputs within a strict timeframe
• Excellent analytical, communication and multi-stakeholder facilitation skills is essential
• The consultant should be willing to travel and work in the Counties of Marsabit and Isiolo during the consultancy period.

G. Submission Requirements and Deadline

All interested applicants should submit the following documents:

• A detailed curriculum vitae
• A signed bio-data form (click here to download the biodata formand click here to download the biodata form instructions)

These should be submitted not later than COB 6th June, 2014 and to the email address regalag@joinav.org