[{"bbox": [56, 100, 1145, 212], "category": "Table", "text": "<table><thead><tr><td>Category</td><td>Risks</td><td>Likelihood (High/ Medium/ Low)</td><td>Impact (High/ Medium/ Low)</td><td>Mitigating measures</td></tr></thead></table>"}, {"bbox": [66, 212, 1137, 318], "category": "Text", "text": "Most SMEs find it hard to pay the required appraisal fees and meet cost of valuing the collateral before accessing the funding because of lack of liquidity thus delaying the approval and disbursement of funding. Under the first phase of the START facility arrangement, Uganda Development Bank (UDB) has agreed to have the SMEs pay 0.5 % at the start of appraisal and the balance after issuing loan offer documents."}, {"bbox": [66, 318, 1137, 530], "category": "Text", "text": "Many SMEs lack the required collateral to secure credit from financial institutions. Where collateral is available it is of low value, cannot easily be converted to cash or non-transferable thus unattractive to lenders. According to an FSD Uganda report of 2017 -Widening Credit Collateral Options for the Masses beyond Land Titles in Uganda only two out of ten Ugandan adults possess a land title, yet land is often times the collateral presented. UDB has agreed under the first phase of the START facility to lower the collateral requirement to 50% for START facility SMEs and accepted equipment as collateral. Many SMEs have also failed repaying the Loans at 0%. Based on the experience of phase 1 of the facility, lessons learnt regarding this problem will need to be incorporated and taken into account for the second phase."}, {"bbox": [66, 530, 1137, 662], "category": "Text", "text": "Most enterprises are organized informally and lack systems, processes, controls in their business operations. They have not taken advantage of the Information and Communications Technology (ICT) and digital tools available to simplify their business operations thus increasing inefficiencies. START Facility has used post-investment BDS and Technical Support to support most of the SMEs to acquire digital tools and training to use the same to simplify their operations. Digitalisation will be a strong component of the second phase."}, {"bbox": [66, 662, 1137, 795], "category": "Text", "text": "The START facility aims to support projects that promote women's economic empowerment. However, the ownership of the agribusinesses is dominated by men. The limited land ownership means many cannot provide collateral (Norfund, 2020). This highlights a major structural and socio-cultural barrier to women's access to and exploitation of economic opportunities and foster inclusive economic development. START facility has continued to target and encourage Women and youth owned / managed MSMEs to access START facility funding."}, {"bbox": [66, 795, 1137, 928], "category": "Text", "text": "Many SMEs struggle with limited skilled personnel, as most of the individuals managing key business operations (accounts, HR, marketing) are temporary staff. This is majorly because many SMEs find it expensive to hire skilled personnel and often rely on family members and friends. Some of the staff have fulltime positions in other organisations and cannot fully commit to the SMEs which affect the business operations. This is also partly contributing to the lengthy BDS process as the staff cannot commit to the process fulltime."}, {"bbox": [66, 954, 301, 981], "category": "Text", "text": "For the Land component:"}, {"bbox": [66, 1007, 1137, 1091], "category": "Text", "text": "Mailo Land is a very delicate matter that requires intense preparation of the population and key stakeholders in terms of understanding land rights, responsibilities and regulations. This also requires sensitizing key stakeholders at national level. As a result, every intervention has to be accompanied by a strong and continuous awareness raising."}, {"bbox": [66, 1110, 1137, 1165], "category": "Text", "text": "The partnership with the Ministry of Land, Housing and Urban Development is key and necessary in solving the Mailo impasse together with a strong capacity building of land administration structures."}, {"bbox": [66, 1183, 1137, 1268], "category": "Text", "text": "Continuous awareness raising about payment of ground rent after project implementation is vital to ensure continued harmony between landlord and tenant and in the prevention of land evictions and conflicts. This is important to avoid \"forgetting\" about tenants' obligations to pay ground rent after the land was documented."}, {"bbox": [66, 1286, 1137, 1370], "category": "Text", "text": "Alternative Dispute Resolution approach employed on the ILGU project is a fast, effective, affordable and acceptable way for communities to solve land conflicts and live in harmony as it builds on traditional and local structures and systems, without the need for formal courts and justice systems (with the exception of criminal cases)."}, {"bbox": [66, 1388, 1137, 1473], "category": "Text", "text": "There is need to address environmental aspects by creating awareness on how to preserve and protect the environment by discourage encroachment on wetland and protected areas like rivers, lakes and forest. This was something done only very limited under ILGU which will need to be expanded in the second phase."}, {"bbox": [1039, 1662, 1157, 1686], "category": "Page-footer", "text": "Page 14 of 27"}]