In Mbarara, a group of determined young people has turned their chalk-making business around thanks to the financial support they received from Mbarara City South Women Entrepreneurs Emyooga SACCO. With eight young women and two men, this youth association shows how microfinance can spark entrepreneurial growth and community development.
Overcoming Early Hurdles
Before discovering the Emyooga program, the group was stuck, unable to improve the quality of their products or grow their business due to financial limitations. However, things took a positive turn when they learned about the program and secured a one million shilling loan from the SACCO. With smart financial management, they paid off the loan in just three months and borrowed another three million shillings to buy a chalk drying machine. This investment was a game-changer, significantly reducing losses during the drying process, which had previously been done on tarpaulins laid on the ground, often spoiling many pieces.
With their new machine, production increased from 500 to 2,000 boxes, with each box containing 150 chalk pieces and being sold at a cost of three thousand shillings per box. They then took out a third loan of four million shillings to create custom packaging, launch a small marketing campaign, and hire three youths, two who work in production, and one who supports the marketing officer to search for new clients. These efforts paid off, allowing them to expand their market to schools in Kabale and Kyenjojo, besides their home base in Mbarara.
The Bigger Picture with Emyooga
The story of these young chalk makers highlights the broader impact of the Emyooga program. By providing access to affordable financing, the program empowers individuals and groups to overcome barriers, scale their businesses, and contribute to their communities. The Mbarara City South Women Entrepreneurs Emyooga SACCO has been instrumental in facilitating these transformations, demonstrating the power of collective effort in financial inclusion.
