Financial Literacy is Essential to Building a Sustainable Business
On Monday, April 29, the Growth Accelerator Entrepreneurship Challenge held its 4th workshop for the eleven creative, innovators, and ventures from across the country, gathered in Blantyre to be trained on the Financial Architecture of running a business. Buzzing with excitement and anticipation, everyone was ready to grow, learn, and network with some of Malawi’s best and brightest. During the two days of extensive training, members of the workshop learned about how they can drive revenue in their respective ventures, take calculated risks, and strategically invest in themselves, in a way that would produce a positive net revenue for their business.
The workshop was all about financial literacy; the backbone of any business. Subjects included an in-depth analysis of cost, pricing, and revenue according to each individual’s business, as well as how the respective entrepreneurs could multiply their current finances by taking what they had, and transforming it into a systematic, informed, and synchronized financial investment. Everyone had an incredible time learning, growing, expanding their businesses.
Daniel Dunga, Chief Investment Officer for CDH Bank, Malawi gave the ventures insight on the following crucial financial lessons:
- Obtain financial literacy
- Be able to manage borrowed money: Stick to the purpose
- Be able to manage credit within your cash-to-cash cycle:
- Chase credit repayments and have realistic predefined
parameters of how far you can bend as a business
- Prepare to manage your growth: Allow your business to
grow organically and do not force it without the required
capacity in place because then you run the grave danger of
An investment in themselves, their businesses, their futures, and the country of Malawi, the Growth Accelerator Program, along with the entire first cohort of entrepreneurs are tirelessly working towards the development of their ventures. But financial literacy is an essential cornerstone to building a successful and sustainable business. This is why it was the main focus of the workshop, and ultimately a large part of the program altogether is training, mentoring, and teaching young innovators and entrepreneurs financial literacy, marketing, and communications.