Local early stage entrepreneurs will have their costs of doing business lowered and hence increase their chances of growing business, thanks to the new initiative established by infoDev World Bank, Vodacom Tanzania Limited and the Commission for Science and Technology (Costech)
A statement issued by in Dar es Salaam yesterday said along those lines, a consortium known as Dar Teknohama Business Incubator (Dtbi) based in Arusha has been created to assist business incubation that seeks to support selected startups grow into profitable firms.
The firms are eventually expected to provide products or services to low income and urban rural communities in East Africa.
The successful business would be given venture development services including seed capital, funding to allow the entrepreneurs to work on his business full time.
According to the statement, the project can be in any sector of the economy aimed at bringing about development to the community.
Further, the project will be measured by milestone and deliverable outcomes and eventually must be sustainable with the ability to scale up or replicated, it said
For SMEs or company incubation, the duration is generally approximately three years, it said, adding that depending on the needs of the incubatee company, the time period can be extended, the statement added.
Incubatee companies then graduate and leave the incubator to go out to set up their own businesses, while Dtbi brings in new businesses to incubate and help grow, it added.
The new initiative aims to have national impacts in capacity building and entrepreneurship growth, the statement noted, adding that the programme is in line with the government’s vision 2025 to transform Tanzania into a knowledgeable society and spur entrepreneurs to become high growth entities having a positive impact on the economy.
Costech, together with partners from the Tanzanian private and academic sectors, and infoDev, has developed the Dar Teknohama Business Incubator (Dtbi ) as a business driven but a "not-for-profit" entity.
The key founding partners have been infoDev World Bank, Vodacom Tanzania Ltd and the host costech.