The Sunday News
Shepias Dube Business Reporter
IN the ears and eyes of some people a youth fund availed by the Government two years ago named Kurera/Ukondla Youth Fund was just another ‘‘useless’’ project that was riddled with corruption, nepotism and all the bad you can think of.
Its image was further damaged when CABS managing director Mr Mr Kevin Terry told Parliament last year that the default rate of the fund stood at 78 percent.
The Kurera/Ukondla Youth Fund was a $10 million fund availed by Government and was administered by a trust comprising Old Mutual Zimbabwe Limited, CABS, Ministry of Youth, Indigenisation and Empowerment and Zimbabwe Youth Council (ZYC).
Such a default rate shows that a number of youths who benefited failed to repay either because their proposed businesses folded or they simply diverted the profits somewhere else.
But behind that thick cloud of darkness there is definitely a silver lining.
Some youths managed to use the money productively and today cannot stop praising the fund as it has changed their lives.
One such typical testimony of a life that was transformed through the fund is that of Mr Wisdom Simbarashe Tiki.
Mr Tiki (30) runs Woodfit Enterprise situated at No 5 Institute Avenue, Raylton Bulawayo, a business which rose to its present status thanks to the fund.
The company specialises in the manufacture of cupboards, fitted kitchens, creep beds, office partitioning, and office furniture among many other things.
The company started operating in 2013 after Mr Tiki accessed a mere $700 from CABS under the Kurera/Ukondla fund.
“In 2013 CABS advanced me $700 although I had applied for $5 000. The money was to buy raw materials and some machines for cutting and finishing. As I got less than a quarter of what I applied for, I decided to purchase raw materials only and use some old machinery at my disposal,” he said.
An arrangement was made for the bank to directly pay the suppliers basing on the quotations provided.
“I never handled the cash, part of the loan conditions required that the bank pays Halsted Brothers and Paint and Allied — local companies that were to provide me with super wood and paint respectively.”
With the raw materials from the loan facility and a few dollars he had saved from part-time jobs, the young man managed to secure a lucrative tender worth $11 000 from Beitbridge-Bulawayo Railway, a privately owned railway company that provides a rail link between Bulawayo and Beitbridge.
The contract involved fixing and supplying the boardroom, reception and control room with furniture.
“It was a miracle, getting such money from a mere $700 investment. The gods were indeed smiling at me,” he said.
He had to fight and conquer the temptation of jumping into buying a luxurious car as had been the case with most young beneficiaries of the youth fund.
“Most people urged me to buy a car but my only aim at that time was to buy advanced machinery that would ensure the survival and expansion of my business. I had learnt from the mistakes of colleagues who had benefited from the fund before me.
“You see, if you are in the business of manufacturing the magic for survival and prosperity is securing advanced machinery which produce quickly and efficiently,” he said.
He bought the machinery; a Router machine for designing wood, Belt centre for joining wood and biscuit machine for sanding surface.
But it was just half of what he actually needed because there were some critical issues that also required urgent attention.
He had to pay back the loan (which he paid within the stipulated 12 months), find better accommodation for his young family and above all ensure that there was bread and butter on the family table.
Then in December last year another door opened.
“A Kenyan man who works in Saudi Arabia gave me a contract to fix built-in wardrobes and kitchen for his wife’s four-bedroomed house in the border town of Plumtree. So far this is my biggest tender and it gave me more than $12 000.”
With this massive cash boost he managed to hire two permanent workers, bought a residential stand in Upper Rangemore and of course acquire the dream of every youngman — a car!
“My life has dramatically changed. I am now an employer who is able to pay his workers every month and I can afford to award myself a monthly salary way above what most average workers in the country get.”
When asked how he is able to secure these high paying deals the soft-spoken entrepreneur attributed this to networking, honesty and integrity.
“Networking is the key driver of business. It creates linkages that make you visible to the world. And when you clinch a deal do it to perfection and in time — if people like your work they will tell others about you,” he said.
But how was he able to sail through the turbulent waters of business which have drowned most young entrepreneurs.
“It’s all about commitment, focus and financial discipline. Business is not all about a lavish lifestyle; it’s not about beer, women and cars. One needs to ensure that the business is secure before getting into unnecessary expenses,” he said.
He also advised young people who are seeking funds to come up with viable plans before sourcing the funds to avoid the temptation of misusing the money.
He, however, admits that business is not a bed of roses and has many challenges such as stiff competition from other up-and-coming entrepreneurs and well established companies.
To the ambitious young man the sky is the limit as he is hoping to build a big factory in the future.
He plans to open a show room in the city centre where he will market and sell the products he is manufacturing.
Certainly with proper guidance and vision, Mr Tiki has shown that Government projects can transform a number of people’s lives.
