This week, Cytonn E-hub season 1 participants had a training session on sourcing for capital, overcoming capital challenges, pitching to investors and the cost of capital. The training was facilitated by Maurice Oduor, Investment Manager at Cytonn and Reuben M. Mabishi, Business Development Analyst with Cytonn Diaspora.
Maurice
Oduor, (right ) and Reuben M. Mabishi, during the training on sourcing for
capital
Speaking during the training, Oduor said that sourcing for capital is one major challenge faced by entrepreneurs. He also stressed that for entrepreneurs, capital budgeting should consider the time value for money.
“Decisions on investment, which take time to mature, have to be based on returns the investment will make. Unless it is for social reasons, if the investment is unprofitable in the long-run, it is unwise to invest in it now,” he said.
Mabishi said that pitching for entrepreneurs is primarily selling the business and creating confidence on how the potential of the business will be realized through good profits and providing a pleasant return for the investor.
Cytonn eHub season 1 participants during the training
"Having a well written business plan will improve your pitching as it will have a set of financial projections for the business. These include the overall budget, current and projected financing, a market analysis and its marketing strategy approach,” he said. “This will show the investors that you understand what you are doing and you know exactly what to do with the money they give you,” Mabishi added.
The forum is one of the weekly trainings that the entrepreneurs go through under the Cytonn Foundation's E-hub, a 12-week training and mentorship programme for young and upcoming entrepreneurs that seeks to enhance knowledge and capabilities on how to run and grow successful enterprises.
