Going after KEBS/MOH approvals
We had to interrupt all our scheduled visits as per scheduled to visit Kenya Bureau of Standards and Ministry of Health to confirm what we were told was going to be a herculean task by the NGO Project Head who was very hostile. The first point of call was KEBS, and having dealt with them before as i worked in the corporate world for a firm manufacturing cough syrups, i was aware that we needed to notify them once we had already started the approval process and had the batch numbers of products to be dispatched to us (for some reason all this did not come back to me because of the grim pictured that was painted by this NGO Project Head).
The PVOC officer we met at KEBS was very helpful and calm and confirming what had blacked out of my mind the previous day. All he needed was us to give the batch and certificates of analysis for products being imported and promised that approval would be done within 24-48 hrs and is not charged. I was surprised and started thinking why would the NGO Project guy paint such a bad and torturous picture on the approval process.
The next stop was Ministry of Health armed with all the samples we wanted approved and met the Head of Division of food safety and Quality Control. He was very approachable and did not even require an appointment just like the KEBS -PVOC officer. Surprisingly he was very clear and simple that all he wanted was 5 kgs of each product as samples fully prepacked in the final sale form including specifications of the content and the Certificates of Analysis. After which they would confirm with KEBS if they have approved importation then proceed with their tests and silent market surveillance.
For once i thought i was missing something and went ahead and asked if we have to change the packaging as instructed by the hostile NGO officer-The MOH Officer was categorical that we did not unless we want to or unless our clients demand of us.The MOH officer even went ahead and gave me one more target (unknowingly) in the process by confirming that we can even sell all the products from the supermarket shelf. This was not part of my initial target but in the evening as i thought through it, i added it on my target list expanding my customer target base.
Now i am wondering why this guy was not objective in his input and why was he not willing to hear us out. Earlier on as we waited for the meeting i read a journal on the activities of this NGO and noted that they have an agreement with one particular manufacturer for all their nutritional needs and had me asking myself if they were protecting their organisation or the manufacturer from competition. And also why was this guy interested in the prices at the beginning before hearing what we were offering?
The two visits uplifted my spirit and at least erased the doubts that had already started growing in me. But i still went ahead and submitted the requirements to both KEBS and MOH and promised myself that i will go back to the same officer when all is cleared and see if he will listen to us or will throw more spanners our way.
Financing
This is my biggest challenge and cracking it has been a challenge since the products are high valued and the larger quantities you buy the cheaper it is. Lead times and expiry has to be managed for the both Philani and Philani Yabantwana fortified Maize and Soya Porridge and the Soya based Milk Nutrimil and Nutrimil Junior which all have a shelf life of one year.
Financing for start ups not relatively well known in the market and with a new product too i discovered is impossible to get, Besides being a woman has made it even more difficult with one institution insisting on meeting my husband before they can consider my application. I felt this to be demeaning and walked out on the entire process and one financier gracefully turning me down that in as much as we can fund you, your husbands consent must be in written form and we are in the year 2014!!!!!!!
However, in the process i came across African Banking Corporation (http://www.abcthebank.com/) that were willing to consider financing should we secure orders and agree that the payments will be made directly to our accounts held by them at an agreed interest amount through LPO financing. This was a break through as i had held on my marketing activities since January 2014 as i figured this out so that i do not get more orders than i can deliver. Now i need to close the sales.
At this point we have not yet determined how much stock we need as we were still introducing the product and since we can not keep for more than 2 months due to the shelf life that is one year, then i am thinking of a more robust way of delivering at max 2 months old for safety and also to give my clients products that they can use within 8 months. I am hoping that in the coming week i will be able to say "Eureka we have received the first order".
Crowd funding
In the meantime as i was doing my research on available financing options i came across the concept crowd funding on Indiegogo https://www.indiegogo.com/projects/create-a-circle-of-life/x/5714551#home and submitted 2 campaigns that have not picked up at all, i am yet to crack this but will get back to making them more appealing. I also have launched another one on fundrazr https://fundrazr.com/campaigns/8jpp5/ab/93CTRd. that i am hoping someone in some corner of the world will see and graciously contribute to and get me off the ground. In return i hope to give back to my contributors through a CSR activity focusing on reading rooms and libraries in rural areas so as you read do contribute to my campaign too and be part of the change i want to make. I still hope to raise at least USD 45,000 on crowd funding and equivalent of the same will go back to my CSR projects over the next 3 years. I will keep you updated on these activities and probably have my contributors identify with projects that their contribution will go towards.
Anyone out there well experienced and can help me with the crowd funding campaign is welcome and i will appreciate...
Look out for my next blog shortly that finalizes the month of April which is my first month in business and sets out my agenda for May
Your comments and contributions will be highly appreciated.
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