Author: Business Oxygen Pvt. Ltd.

Alternative financing

Posted on by Business Oxygen Pvt. Ltd.

A different approach to financing business

The Himalayan Times, 07.08.2016

Alternative finance has become the new buzzword for entrepreneurs worldwide who are seeking for a fund to either start a business or to grow their existing ones. In the past 5 years Kathmandu has witnessed a big change in the way the entrepreneurs are financed. With several new funds coming up in the entrepreneurial ecosystem, the investors are not only injecting cash flow to the businesses but also helping to build a sustainable and financially sound ecosystem. I met Siddhant Pandey, CEO of Business Oxygen, one of the alternative finance funds present in Nepal.

Verbatim from Pandey.

‘The whole idea behind Business Oxygen (BO2) was to create private equity venture capital fund that would be invested in SMEs in Nepal. It was promoted by the IFC which is a member of the World Bank group. They have such funds in 15 other countries with a fund size of 15 million dollars for Nepal. The investment size for the entrepreneurs willing to grow their business is between 100K to 1.5 million dollars. The idea is not just investing for commercial usage but also develop capacity of SMEs along the lines of international practices.

One of the biggest lacks that the local SME sector has is structured systems and processes, and of course capital. Banks usually do not finance SMEs and do not have collateral of securities. So it is very difficult for an SME to go to the next stage. We do not cater to startups but invest in companies that have enterprise value and have been in business for a couple of years and who need a scale-up capital. That is where we come in. And the value addition with a fund like Business Oxygen that differentiates us is that we have technical assistance-ship fund which enables the capacity building of the entrepreneurs and the his business.

Unlike a bank’s debt financing where the bank gives a debt on the basis of the security and the future cash flow of the company, we act as an equity partner for the companies that we invest in. We hold hands with the company from financial injection to exit. So at that point, we put the processes and systems in place, and make sure that the company is transparent, good governance is in practice, structures like the Board is present, the SME venture pays taxes on time.

The biggest problem with SMEs in Nepal is that they are unstructured with multiple books of accounts and do not pay tax. The prime stipulation when we enter such a company is that they need to buckle up and take care of such details. Most of them understand that initially, that might have profitability but in the long run; double book keeping is not sustainable.

International mentors, that have decades of experience in running a business, spend time with the SMEs for a few weeks and pave a path ahead for them. We feel that alternative ways of financing a business is not just about making money but making a business sustainable. I personally find incredible potential in the market and great ideas that have started which do not get a chance to scale because of the lack of capital.

BO2 has successfully invested in two of the finest restaurants in Kathmandu, Dalle and Le Sherpa and have a couple of more promising and ambitious companies in the pipeline. You can get in touch with an associate at BO2 at info@bo2.com.np

यसकारण चाहिन्छ प्राइभेट इक्विटी फन्ड

Posted on by Business Oxygen Pvt. Ltd.

कुनै पनि मुलुकमा आर्थिक विकासका लागि व्यावसायिक योजना तथा त्यसलाई आवश्यक पर्ने पुाजी चाहिन्छ । नेपाल पनि त्योभन्दा भिन्न हुन सक्दैन । आर्थिक विकाससागै विभिन्न मुलुकले लगानीका विभिन्न प्रणाली विकास गरेका छन् । त्यसमध्ये एक हो– प्राइभेट इक्विटी । नेपालमा निजी क्षेत्र र अझ भन्नुपर्दा साना तथा मझौला उद्योगका लागि आवश्यक लगानी गर्ने भनेको बैंक तथा वित्तीय संस्था हुन् । तर, केन्द्रीय बैंककै नीतिअनुसार उनीहरूले विनाधितो लगानी गर्न पाउादैनन् । धितो नभएका व्यवसायी तथा व्यावसायिकता भएका व्यक्तिका लागि प्राइभेट इक्विटीको ठूलो महत्व छ । निजी क्षेत्रबाट खुलेको इक्विटी कम्पनी बिजनेस अक्सिजन प्रालिका अध्यक्ष तथा प्रमुख कार्यकारी अधिकृत सिद्धान्तराज पाण्डेले प्राइभेट इक्विटीको आवश्यकता यसरी बताए :

प्राइभेट इक्विटी भनेको कुनै पनि कम्पनीको सुरुवातमै वा सञ्चालनमा रहेको कम्पनीको विकास र स्तर वृद्धिका लागि लगानी गर्ने अथवा वित्तीय पहुँच पुर्‍याउने उद्देश्यले स्थापना हुने कम्पनी हो । यसमा निश्चित समय तोकेर वा कम्पनीले नाफा नकमाउन्जेल लगानी हुने गर्छ । विदेशमा विशेषगरी सूचना प्रविधि क्षेत्रमा प्राइभेट इक्विटी लगानी भएको हुन्छ । पछि, कम्पनीले प्राथमिक सेयर निष्कासन (आइपिओ) जारी गरेपछि उनीहरू पुाजीगत लाभ लिएर निस्कन्छन् । नेपालमा पनि त्यो आवश्यक छ । कसैसँग व्यवसायको राम्रो सोच छ, जसलाई सबै प्रकारको अध्ययन र विश्लेषणले सफल देखाउँछ भने उसलाई लगानी गर्ने कम्पनी नभए सोच मर्छ । त्यस्तै, कसैले राम्रो नाफा गरिरहेको कम्पनीको स्तर वृद्धि गर्नु छ, तर बैंक तथा वित्तीय संस्थामा धितो राख्न सम्पत्ति छैन भने पनि उसको योजना बीचैमा सकिन्छ । त्यस्तै प्रकारको सोच वा योजनामा लगानी गरेर त्यसबाट नाफा आर्जन गर्ने निजी कम्पनी नै प्राइभेट इक्विटी कम्पनी हो ।

नेपालमा कुनै व्यवसाय सुरु गर्दा केही मानिसले आफू–आफूमै रकम जम्मा गरेर व्यवसाय सुरु गर्थे । त्यो पनि एक प्रकारको प्राइभेट इक्विटी नै हो । तर, त्यो दिगो हुँदैनथ्यो भने कुनै मापदण्ड मान्दैनथ्यो । अन्तर्राष्ट्रिय मापदण्डअनुसारको इक्विटी फन्डमा लगानीकर्ता र फन्ड म्यानेजर हुनुपर्छ । लगानीकर्ताको लगानी फन्ड म्यानेजरले व्यवस्थापन गर्ने हो । नेपालमा पहिलोपटक विश्व बैंकको आइएफसीले बिजनेस अक्सिजन स्थापना गरेको हो । कुल १ करोड ४० लाख अमेरिकी डलरबराबरको यो भेन्चरमा नेपाली लगानी २० प्रतिशत रहेको छ । यसले साना तथा मझौला उद्योगमा लगानी गर्ने र त्यसको क्षमता वृद्धि गर्ने योजना लिएको छ । नेपालका धेरैजसो साना तथा मझौला उद्योग बैंक तथा वित्तीय संस्थासम्म पुग्न सक्दैनन् । यसमा धितोको अभाव मुख्य कारण हो । नेपालमा साना तथा मझौला उद्योगको क्षमता साढे दुई अर्ब अमेरिकी डलरबराबरको भइसकेको छ । यसले कुल गार्हस्थ उत्पादनमा २० प्रतिशत योगदान गरेको छ । यसले २० लाख मानिसलाई रोजगारी दिएको छ । यसलाई स्तरोन्नति र वृद्धिका लागि पनि प्राइभेट इक्विटी आवश्यक छ ।

धेरैजसो उद्योग–व्यवसायको व्यवस्थित र सही लेखा प्रणाली नै हुँदैन । बोर्ड हुँदैन । क्षणिक वा व्यक्तिगत निर्णयमा भर पर्छ । तर, प्राइभेट इक्विटीले लगानी गरेपछि लेखा प्रणाली, निर्णय प्रक्रिया सबै व्यवस्थित हुन्छ । यसले गर्दा राष्ट्रको आर्थिक तथ्यांक सही निस्कने मात्र होइन, व्यवसायमा दीर्घकालीन योजना बनाउन नीति निर्मातालाई समेत सहयोग पुग्छ । योजना मात्र लिएर बस्नेहरू पनि लगानी प्राप्त भएपछि व्यावसायिक बन्न र रोजगारी सिर्जना गर्न सक्षम हुन्छन् । व्यवसायीमा वित्तीय पहँुच बढाउने यो उत्तम विकल्प हुन सक्छ । ब्याज नलिने र धितो नलिई लगानी गर्ने कम्पनीलाई प्रवद्र्धन गर्दा साना तथा मझौला उद्योग तथा नयाँ कामको सोच बनाउनेलाई धेरै फाइदा हुन्छ ।

हामी प्रत्यक्ष विदेशी लगानी भन्छौा । तर, त्यसलाई भित्र्याउन सही काम गरेका छैनौा । अघिल्लो वर्ष नेपालको प्रतिव्यक्ति वैदेशिक लगानी जम्मा १ अमेरिकी डलरबराबर छ । हाम्रोभन्दा एक वर्षअघि कानुन ल्याएको भारतमा प्रतिव्यक्ति २७ डलर छ । जब कि त्यहाँ १ अर्ब ३० करोड जनसंख्या छ । त्यसैले विदेशी लगानी भित्र्याउन पनि वैदेशिक लगानीमा प्राइभेट इक्विटीलाई प्रवद्र्धन गर्नु आवश्यक छ ।

सबैभन्दा पहिले नेपालमा प्राइभेट इक्विटी बुझाउन नै समस्या देखिएको छ । नेपालमा पनि प्राइभेट इक्विटी कम्पनी प्रालिमै दर्ता हुने हो । तर, नेपालमा अहिलेसम्म प्रालिलाई नियमन गर्ने निकाय नै छैन भने पनि हुन्छ । प्राइभेट इक्विटी कम्पनीलाई पनि नियमनभित्र राख्नुपर्छ । यो बजेटमा प्राइभेट इक्विटी कम्पनीलाई प्रोत्साहन दिने भन्दै एक अर्ब रुपैयाा छुट्याउने भनिएको छ । त्यसमा प्रावधान र कार्यविधि निर्माण गर्नुपर्छ । नेपालमा वैदेशिक लगानी तथा प्रविधि हस्तान्तरण ऐन सन् १९९२ मै बनेको थियो । तर, अहिलेसम्म त्यसको संशोधनसमेत भएको छैन । दुनियाँ कहाँबाट कहाँ पुगिसक्यो । अहिले यसलाई परिवर्तन गरेर वैकल्पिक लगानी ऐन बनाइँदै छ । त्यसमा विदेशी लगानीलाई सहजीकरण गर्ने व्यवस्था होस् भनेर यो क्षेत्र बुझेकाले माग गर्दै आएका छन् ।

प्राइभेट इक्विटी कम्पनी खोल्न, बन्द गर्न, मूल्यांकन गर्न जताततै समस्या छ । त्यस्तै, कालोसूचीमा राख्ने प्रावधान पनि समस्या बनेको छ । कसैले कम्पनीमा बदमासी गर्‍यो र त्यहाँ १५ प्रतिशतभन्दा बढी प्राइभेट इक्विटी कम्पनीको लगानी छ भने त्यो प्राइभेट इक्विटी कम्पनी पनि कालोसूचीमा पर्छ । त्यसलाई सम्बोधन गर्नैपर्छ । लगानीका लागि खुलेका प्राइभेट इक्विटी कम्पनीलाई बैंक र फाइनान्समा जस्तै अरू बाधा आउनुहुन्न । हामीले ऋण दिने होइन, लगानी गर्ने हो । त्यसमा हिस्सा आउने हो । त्यसैले विदेशी लगानी आए पनि नेपाली लगानीमा संयुक्त रूपमा खुल्न गाह्रो छ । त्यसैले यस्ता समस्या समाधान गरी अगाडि बढ्नुपर्छ ।अपार्टमेन्ट छन्, तिनीहरूको मूल्य बढ्न सक्छ । अन्तर्राष्ट्रिय रूपमा के भनिन्छ भने कुनै पनि यस्ता ठूला विपत्ति मानिसका मानसपटलमा ६ महिनासम्म रहन्छ । हामीलाई भूकम्पले मात्रै होइन, नाकाबन्दीले लम्ब्याएको छ । यस्तो अवस्थामा पनि कर लक्ष्यभन्दा धेरै उठेको छ । पराकम्पन नगएको भए मान्छेले भूकम्प बिर्सिएका थिए । अर्थतन्त्र चलायमान भइरहेका वेलामा काम गर्न सक्ने अवस्था हुँदाहुँदै पनि छिटो काम अघि बढाउन निर्माण सामग्री भएन, कामदारको अभाव भयो । यसले समस्या थपेको हो ।

Click Below to read the article published in Naya Patrika.

यसकारण चाहिन्छ प्राइभेट इक्विटी फन्ड

Le Sherpa

Posted on by Business Oxygen Pvt. Ltd.

Born and bred to become an entrepreneur, the founder of the company always had his dream to own the finest fine dining restaurant in Nepal.  Mr. Sherpa established Le Sherpa in 2011.  With his team, he has successfully built his brand as one of well-liked name for fine dining in Kathmandu visited, appreciated and re-visited by tourists, expats and affluent Nepalese community alike.  With Bo2 investment, the founder has relocated the restaurant in a new space with better capacity and improved store image.  The weekly farmers market that restaurant has in its premises is another major event that has been a great platform for new entrepreneurs to sell their product innovation and a nurturing platform to build entrepreneurship to pave their dream. Currently, the founder lives his dream with an establishment and reputation that Le Sherpa has as one of the best fine dining restaurant location in Nepal.

 

Dalle Restaurant

Posted on by Business Oxygen Pvt. Ltd.

Two friends started their business in 2012 not to sell a different food menu but to sell the similar food menu sold at every other restaurant around the corners of Kathmandu differently. Within short period of time their recipe worked i.e. Dalle became a great success story and a well-recognized brand name among Kathmanduites within a year of operation with chains all over town. The founders of Dalle always had the dream to lead the fast casual restaurant space of Nepal market. Bo2 has partnered with the founders to build ‘Dalle’ chain of outlets across Kathmandu. With Bo2 investment, Dalle is not just one of the leading fast casual national chain restaurant but an institution that has been offering much needed jobs to over 100 youths of Nepal. Women represent over 25 % of DRPL workforce.

dalle-served
Dalle momos served at 30,000 feet.

 

Godawari International

Posted on by Business Oxygen Pvt. Ltd.

Nepalese population has been consuming hardened form of cheese locally known as ‘Churpi / Durkha’ since ancient times but since past few years with rising change in consumer behavior to feed their pets with human grade food, this traditional Nepali snacks has become very popular in developed market as the preferred snacks for their dogs. Thus, this demand has accelerated a great opportunity for the people in places like Illam where these Churpi are handcrafted in over 1000 homes, at over 200 micro diaries and for processing plant like our partner company – Godawari International Pvt. Ltd. The multiplier effect this industry can make to the Nepalese economy if companies like Godawari International scale up the results will be enormous.  BO2 is helping GIPL to attain that goal. The vision of Godawari International’s founder is to increase export of the ‘Churpi – hardened form of cheese’ in the international market. Godawari International Pvt. Ltd. is USFDA registered and with Bo2 investment has better working capacity, built one of the exemplary processing plants for ‘Churpi’ in the nation and the company is a step ahead towards its mission to  deliver best quality Nepal- made Churpi to its customers globally.