$3 million, interest-free: Private sector moves to help entrepreneurs seize the opportunity

Three million dollars — that's how much money entrepreneurs, on their own, have access to through the Guyana Development Bank. And that money can be borrowed interest-free, meaning you don't have to repay a single extra dollar. It's also collateral-free, so there's no need to use your home or anything else as security.

Guyanese private sector leaders — from those in manufacturing to seasoned business players in tourism and logistics — have publicly shared plans to help budding entrepreneurs capitalise on this financing.

"We understand that entrepreneurs and small businesses make up over half of our economy, we wanna see these businesses grow," Chairman of the Private Sector Commission, Gerald Gouevia Jr said recently on the Starting Point podcast.

Gouevia Jr works in the aviation, hospitality and logistics sectors. According to him, the $3 million Guyana Development Bank loan for entrepreneurs can be a gamechanger, directly resolving one of the biggest hurdles to business development in Guyana — that is, access to financing.

Because of the conviction that small businesses help to spur economic growth, Gouevia Jr said the PSC has been working to help entrepreneurs tap into the financing soon to be offered by the government-led Bank.

He said business support desks at the PSC, and across other local private sector bodies, have been developed to help entrepreneurs craft or refine business plans, while benefitting from business and financial planning. The goal is to help entrepreneurs figure out the best ways to be successful in whatever business venture they go after.

"We are preparing them to walk into any banking institution," Gouevia Jr said too.

That's not all. Established private sector players, the PSC Chairman said, are also encouraging budding entrepreneurs to form clusters or consortia. For one, that allows them to access more financing. Instead of a single entrepreneur getting $3 million from the Development Bank on their own, a group of five entrepreneurs could get $15 million; 10 entrepreneurs would have $30 million at their disposal.

Similar sentiments have been expressed by other private sector leaders.

President of the Guyana Manufacturing and Services Association (GMSA), Rafeek Khan recently said the body is keen on helping local businesses expand. The GMSA has been rolling out mentoring programmes, business coaching and an accelerator programme supported by the European Union. Through these, the association is helping businesses strengthen their operations before seeking capital.

The Georgetown Chamber of Commerce and Industry (GCCI) has also been offering support, with a keen focus on encouraging budding entrepreneurs to register their businesses and get their documents in order. That includes nudging towards formal business registration with the Deeds and Commercial Registries Authority, acquiring a Taxpayer Identification Number (TIN) and registering for taxes, then registering with the National Insurance Scheme (NIS) to make social security contributions for themselves or any employees.

Though the startup process may involve several administrative steps, GCCI President Kathy Smith emphasised that adhering to these processes isn't a burden — it's a necessary step to get the business off the ground.