SME Global Partners is a profit organization that has created this platform for our members to access and execute Joint Venture (JV)** transactions or projects. The JV transactions or JVA or projects are called “JVAfrica” or “JVAfrica Project.” Members come from the following types:
Project Sponsors (“First Joint Venturer”)
- Vetted SMEs
- Vetted Startups
- Vetted Charities & Non-profit organizations
A Project Sponsor/First Joint Venturer (FJV) is defined as a member and the designated representative of a project, appointed by or the owner(s) and management of a project or small business or startup or Charities & Non-profit organizations listed or to be listed on SMEJV4Africa
Field Partners
- Vetted Microfinance Institutions (MFIs)
- Vetted Technical Assistance firms/professionals (TAs)
Our MFI Field Partners are screened, trained and equipped with required processes and technologies by SME JV 4 Africa’s company, and leveraged to provide limited technical assistance to Project Sponsors when needed, posting loan/fund requests to SMEJV4Africa, disbursing loans/funds and collecting repayments/returns, and otherwise administering loans/funds raised by a Project Sponsor on SMEJV4Africa.
Our TA Field Partners are screened, trained and equipped with required processes and technologies by SME Global Partners, and leverage to provide technical assistance to project sponsors when needed, and help Project Sponsors post projects on SMEJV4Africa.
SMEJV4Africa partners with a network of Technical Assistance firms/professionals and Microfinance and other institutions as Field Partners to help identify, select and support project sponsors across Africa.
Investors (“Second Joint Venturer”)
An Investor/Second Joint Venturer (SJV) is defined as a member, other than a Project Sponsor who provides resources (funds and/or tools and/or knowledge) for a project or small business or startup listed on SMEJV4Africa in exchange for equity or profit or loan interest. Investors can play any or all of the roles below:
Second Joint Venturers (SJVs)-Investor
- Funds – A sum of money made available for a JVAfrica project
- Tools – 2-in-1 Tools/Asset recycle (Tech-refresh at home and investment in Africa)
- Knowledge – “Sweat equity” to be included in the future.A SJV-Investor is defined as a member who provides resources for a project or business listed on SMEJV4Africa in exchange for equity or the expectation of a monetary return on investment.
Second Joint Venturers (SJVs)-Lenders
- Funds – A sum of money made available as loan(s) for a JVAfrica project
- Tools – 2-in-1 Tools/Asset recycle (Tech-refresh at home and loan to Africa)
- Knowledge – Value to be determined by the Venturers.
A SJV-Lender is defined as a member who provides resource in the form of a loan to a project business listed on SMEJV4Africa in expectation of principal pay back with interest.
Donor or Charity givers
- 2-in-1 Asset recycle (Tech-refresh, tax credit at home and donation to Africa)
A donor is defined as a member who funds a non-profit project or organization, or NGO startup, listed on SMEJV4Africa in exchange for nothing or non-monetary rewards.
SME JV 4 Africa is the first JV focused, hybrid platform “integrating funds, tools and knowledge as loan, investment and donor” to launch and to allow participation from all over the world with local African JVs. Additionally, 10% of all platform revenue goes to vetted Charities and non-profit organizations that support African’s need.
* Over the past few years, a new way of funding ideas, projects and businesses has emerged called “crowdfunding.” Crowdfunding is the collection of resources from backers—the “crowd”—to fund an initiative. The funding efforts usually occur on Internet platforms. The initiative could be a nonprofit campaign (e.g. to raise funds for a school or social service organization), a political campaign (to support a candidate or political party), a charitable campaign (e.g. emergency funds for an ill person or to fund a critical operation), a commercial campaign (e.g. to create and sell a new product) or a financing campaign for an existing small business or a startup company.
There are three main crowdfunding models for small businesses and startups:
- Loan-based crowdfunding, where people loan funds to a business or project in expectation of pay back with interest;
- Equity-based crowdfunding, where people contribute resources/funds to a business or project in exchange for equity; and
- Donation-based crowdfunding, where people donate to a project in exchange for tangible, non-monetary, rewards.
Crowdfunding models involve a variety of participants:
- People or organizations that propose the ideas and/or projects to be funded;
- The “crowd” of people who support the proposals;
- The organization (“platform”) which brings together the project initiator and the crowd.
**A joint venture is a strategic alliance where two or more parties, individuals or businesses, form a partnership to share markets, intellectual property, assets, knowledge, and, of course, profits.
How we do it
Together with our EDN partners, we will source, vet and organize the projects to be presented to our members, who then will be able to choose companies/projects that interest them and make individual decision to enter into joint ventures with the project sponsors, and lend to or invest in the project(s). SMEJV4Africa will utilize the efficiency of web based crowdfunding via special software solutions to simplify the JV process and make it as efficient and easy as possible. All transactions and agreements are done in dollars, eliminating exchange rate risk. Special provisions can be made for transactions and agreements in local currencies. Political Risk Insurance option is available, upon request.
Software As A Service (SaaS) and Online Joint Ventures (JVs)
Due Diligence
We take the due diligence of vetting our members very seriously. Members provide traditional due diligence materials, which may include financials, information technology plans, information security information, plus compliance and social engineering data. We vet every member, project sponsors/FJVs, field partners, investors/SJVs, lenders and donors. All parties have to abide by our stringent rules to remain on the platform. Prior to funding a project, SJVs may review the due diligence materials we’ve gathered, and are encouraged to conduct their own due diligence as well.
Technical Assistance
SMEJV4Africa works with Technical Assistance (TA) institutions to source grassroots’ SMEs, startups and individuals that fit into our criteria for credible projects. Some of these TAs are FastTrac certified entrepreneurs. Referred to as TA Field Partners, they provide TA support to the project sponsors when necessary, as well as make projects available for members’ review and participation:
Members are made aware of projects to review on our JV platform. If a project is listed and funded, it becomes a JV. Once a JV is formed, members will have access to the JV’s systems and will be able to monitor and participate in day to day activities and decision making.
Loans
SMEJV4Africa works with microfinance institutions to provide loans to grassroots’ SMEs, startups and individuals without access to traditional banking systems in our network. At funding, 98% of your loan/fund is sent to the microfinance institutions, referred to as MFI Field Partners, who administer the loans/funds in the field. As the JV progresses and the loan is repaid, 98% of your total returns will be remitted to you. SMEJV4Africa works with you to send assets other than funds when needed to those without access to traditional shipping systems. The fee of 2% of the assets’ total cost of delivery must be paid separately to us. Microfinance institutions will administer the payment collection in the field and 98% of your total returns will be remitted to you. Subject to additional requirements, local micro lending insurance is also available for a fee, should you decide to protect your loans.
Profit Sharing/Investments
SMEJV4Africa works with microfinance institutions to provide investment funds to grassroots’ SMEs, startups and individuals without access to traditional banking systems in our network. At funding, 98% of your funds are sent to the microfinance institutions, referred to as MFI Field Partners, who administer the funds in the field. As the investment matures, 98% of the payments will be remitted to you.
SMEJV4Africa works with you to send assets other than funds to grassroots’ SMEs, startups and individuals without access to traditional shipping systems. Prior to delivery, 2% of the assets’ total cost of delivery must be paid separately to us. Microfinance institutions will administer the payment collection in the field and 98% of your total returns will be remitted to you.
Donors
SMEJV4Africa works with microfinance institutions to provide donor funds to grassroots’ charities and non-profit organizations. At funding, 98% of your donation is sent to these microfinance institutions, referred to as MFI Field Partners, who administer the funds in the field. SMEJV4Africa works with you to send assets other than funds to charities and Non-profit Organizations. Prior to delivery, 2% of the assets’ total cost of delivery must be paid separately to us.
Enforcement
We enforce a strict set of standards to help ensure that all members are dealing fairly and openly with each other and delivering on their commitments. Scores are kept on every member’s current and completed JV transactions. Members who do not meet their commitments are flagged and prevented from initiating new transactions of any kind.
Learn more about how it works https://www.smejvafrica.com/how-it-works.
How do I Sign up?
Visit SMEJVA4frica and sign up; whether your intent is to loan, share profit or donate, cover the activity as a journalist, or as a founder/project sponsor. Only approved members may have access to the platform content. Once we verify that you meet our membership criteria, you may login or signup to have full access to information about the SME JV 4 Africa SMEs and projects available for funding. Note that there may be additional requirements that you must fulfill before joining any JVAfrica to make loans or investments.
You may also sign up for our newsletter to stay in touch if you do not meet our current membership criteria. For further information browse the site, sign up, or contact us.
How do I make a loan or investment?
View the projects available to members in the “Discover Great JVA Projects” section of the SMEJV4Africa. You will have access to information about the project or business, which may include videos, presentations, analysis, project terms, project team backgrounds, and more. You will also be able to participate in a virtual call or meeting with project sponsor/management if requested. Once you have decided to join the JVA to make a loan or investment, you will indicate the type of resources (funds, tools and knowledge), funding amount and make payment on the website. If you cannot make payment online due to system limitations or payment means limitations in your country of residence, we will make JVA allocations based on a process which combines both a first-come first-served and pro-rata calculation and then send you payment means or transfer instructions for your JVA. The JVA documentation includes your signed certification that you meet your country’s JV criteria.
