Small- and medium-sized enterprises in Ghana often have trouble getting financing. This is especially true if the business uses newer green technologies or climate-related projects. Banks and investors are often unable to properly assess the businesses’ potential success and evaluate their plans.
These startups are the focus of an initiative. It launched frankly.green in 2020. To connect potential investors with companies
It is based on an idea it calls crowdinvesting or crowdfunding where investors pool small contributions to finance projects together. Some financial supporters wish to do good for the environment while others see a smart investment opportunity with a promising business idea. Investments in companies have ranged from 100 to 25,000 so far.
The original idea came from the Frankfurt School of Finance & Management. It focuses on developing countries. It supports an established solar panel company in Ghana, among many other projects. Customers can either lease them or choose a lease-to own option.
Project goal: frankly.greenEncourages small-scale investments that contribute to climate action in Peru, Ghana, and Rwanda.
Budget: For its initial phase, the initiative plans to support around 60 projects and mobilize 6.2 million of private financing from small investors. It has received funding from the German Federal Ministry for the Environment in the form of the International Climate Initiative (IKI).
Partner organizations The Frankfurt School of Finance & Management. Fund for Environment and Climate Change in Rwanda. Ghana Ministry of Energy and Petroleum. Peru Ministry of Environment.
Duration: March 2019 December 2023
Video by Richard Ocloo & Jrgen Schneider