Aavishkaar Presentation
Aavishkaar Presentation
Aavishkaar Presentation
Entrepreneurial Opportunities..
Entrepreneurial interventions do have the potential to impact the bottom of the pyramid but the intervention strategies vary based on approach, choice and the scale of intervention. Large Corporate
Business Expansion in Rural Markets Business Intervention for Social Change Social Sustainable Enterprise
BOP Opportunities
Rural Products enterprises in the area of handicrafts, agri products, dairy, renewable energy for rural electrification, medicinal herbs based products and many more. Social Technology initiative such as N-Logue (WLL), Drishtee (egovernance), Vortex (rural ATM), CK Shakti (Local Language Software) Financial Innovation based interventions such as Microfinance Replication and scale require risk capital with equity feature!!
Business Growth
Business plan to grow business past micro stage Requires more infrastructure, addition of new products and services Increase in headcount
Maturing Business
Business growth slows Focus on profit and efficiency
Growth
Maturity
Aavishkaar Focus
Investment Thesis
AIMVCF seeks to achieve sustainable development in India by: Investing in innovation and appropriate technology driven Small & Micro enterprises that are socially relevant environmentally friendly commercially viable and have little or no access to established financial institutions for risk or collateral free loans/Equity Achieve Socio-commercial returns for its global investors
Decision by the Management board on investment, size and valuation based on the recommendation of the Executive team
Aavishkaar Portfolio
Servals Automation Private Ltd
Servals is an appropriate technology provider for rural India. The company has two products: an energy efficient kerosene burner and a rain gun irrigation device. Both products were designed by rural innovators. Servals currently has 7 employees and is located in Chennai. Kerosene stove burners 70000+ sold Sold burners will save customers in aggregate US $ 500,000 during their useful life (1 year); government fuel import burden also reduced by same amount [assumes Rs. 100 kerosene expense per household per month, reduced by 20% conservatively) Rain gun 170+ sold A micro-irrigation device, also called an overhead sprinkler. The rain gun produces an artificial rain by throwing out water to a distance of up to 90 feet with a 360 degree rotation facility The size of the drops, the quantity of water released and distance are such that it provides optimum irrigation to many crops while saving water otherwise wasted through flood irrigation
Rain Gun Kerosene Burner
Orders
SERVALS AUTOMATION
SHGs
Layered Incentive Scheme
Supply
Manufacture
Equity investment of US $ 26,444. Rigorous hand holding support over three years by Aavishkaar Micro Equity Fund
Social Parameters :Relationship with 10 large NGOs, also supplied burners to service distressed victims in Tsunami. Won the International award of maximum fuel efficiency by Paraffin Safety Association of South Africa
Company Overview SKEPL pioneered the automation of the milk collection process at dairy cooperatives. The system introduces transparency and efficiency and helps improve cooperative management. SKEPL has 32 employees and is located in Anand, Gujarat. Social value SKEPL products improve the operations of milk cooperatives, an effective business structure utilized throughout Indias dairy industry. Cooperatives using SKEPLs technology are more profitable, improving the livelihoods of their members.
Orders
Milk Cooperative
Milk Unions
SKEPL
Marketing effort with Dealers and Sales Team Assembling & Supply
Outsource Parts
Foreign Imports
Equity investment of US $ 44,000. Rigorous hand holding support over two years by Aavishkaar Micro Equity Fund
Social Parameters : Outreach with 600 Unions and cooperatives in Gujarat. Expanding to Maharashtra, MP & Rajasthan.Recently won Manthan Award for best e-content practices in e-business category
Company Overview Craftsbridge is a design and marketing outfit with an outsourced production model in the area of Indian handicrafts. The companys mission is to design and market handicraft idea worldwide and generate sustainable income for talented but economically challenged artisans from India.
BUSINESS MODEL
Orders
Corporate Buyers
International markets
Craftsbridge
NGO Facilitator
Outsource Production
US $
Aavishkaar Investment
2001
2002
2003 Year
2004
2005
400% commercial growth achieved by investing equity of US $ 100,000. Rigorous hand holding support over two years by Aavishkaar Micro Equity Fund
Social Parameters : Outreach with 13 NGO & 100 Craftsmen. Very small individual businesses in handicrafts are also part of Craftsbridge supply Chain.
Company Overview Tide Technocrats operates in the space of Rural Energy Solutions. TTPL provides end to end solutions for micro hydel installations and the alternative fuel needs for the power plants. It aims to provide electrification in rural and far flung remote areas where bio mass creates avenues of employment.
Tide Technocrats:
BUSINESS MODEL
Turbine Vendors
ELC Vendors
Biomass Customers
TTPL
Coordinators
Coffee Plantations
Coconut Farmers
Tide Technocrats:
Recent Updates
Aavishkaar has partly divested its stake and has made a partial exit from TTPL. Aavishkaar has also found a Long Term Strategic Investor (Velcan Energy, France) for TTPL.
Shareholder Sampath and Rajeshwari stake Aavishkaar India Micro Venture Capital Fund Velcan Energy % Stake before partial exit 72.4% 27.6% % Stake after partial exit 34.42% 14.56% 51.02%
Company Overview Net Systems (I) Private Limited is a company based in Mumbai, aims to create disabled friendly IT infrastructure. It enables software and websites for the use of disabled, particularly those with vision and auditory impairment. The company also provides Technical Writing outsourcing services. Social value N-Syst is trying to open up a world of opportunities for the disabled by making IT infrastructure compatible to their usage.
N-Syst:
BUSINESS MODEL
Order Assignments
IT Companies (Domestic)
ITCOMPANIES
(INTERNATIONAL)
Sales Profits Poly. (Sales) Linear (Prof its) Q1 2005 Q2 2005 Year
45% commercial growth achieved by investing equity of US $ 40,000 in six months. Rigorous hand holding support over six months by Aavishkaar Micro Equity Fund
Company Overview Naveen Gram Agrotechnologies Private Limited is a start up company, based in Rajasthan which addresses and provides solutions for the challenges of awareness, availability and acceptability faced by small enterprises. It aims to make an impact in the rural sector through development of a distribution and marketing channel for rural products by tying up with innovative manufacturers. Social value Naveen Gram concentrates its efforts towards up gradation of rural processes through introduction of technology.
Aavishkaars New Investment Naveen Gram Agrotechnologies Private Limited BUSINESS MODEL
Demand
Naveen Gram
Dealers
Outsource Technology
Aavishkaar Efforts
Introductions to customers within Aavishkaars network of NGOs Continued strategic assistance
SKEPL
Continued efforts to improve financial discipline Assisting in MIS system development Using Aavishkaar network for business development
Craftsbridge
Restructured financial management, MIS Advised on new sales force compensation plan Providing export expansion advice Using Aavishkaar network for business development
TIDE
New promoter found Company restructured Aavishkaar sourced customer contracts Using Aavishkaar network for business development
The funded companies now use TALLY, the accounting software, to manage their accounts and produce timely financial statements.
Projects In Pipeline
Pipeline Projects
C K Technologies Private Limited
Venture Capitalist
Some Facts..
Aavishkaar has made six investments in last three years and is in the final stages of disbursing the seventh investment. Aavishkaar has raised a corpus of Us $ 1.3 Million and is working on raising it to US $ 5 Million. The Fund is expected to make return in the range of 4-6% on an IRR basis by 2010. The fund has already invested over INR 164 lakhs (USD172,000) with another disbursal of Rupees 50 lakhs (USD 110,000) approved and a near term pipeline of another Rs 93 lakhs (USD215,000) and a long term pipeline of USD 500,000of probable investment. The fund current corpus would be fully invested by march 2006.
Agri Processing, Contract farming Technology intervention for improved outreach and access Innovative Microfinance Start up Renewable Energy Handicrafts
With increased momentum in Microfinance in recent years, Aavishkaar has attracted new & large investors towards making equity investments in small enterprises and MFIs. The venture capital fund is in the process of entering into agreements with some major players of the industry. Aavishkaar is known for its rigid investment criteria and due diligence process in its space. With its strategies and management support, it has been successful in turning around its investee companies
Advisory Board
CEO
Project Officers
Project Originators
MOU
Contact
Mr. Vineet Rai, CEO AIMVCF Unit 201 & 221, Atlanta Estate, Dr. Ambedkar Chowk, Off Western Expressway, Goregaon (E), Mumbai INDIA 400 063. Phone : +91-22-5699 8955 Mobile: +91-98206 45736 Email: Website.:
[email protected]
www.aavishkaar.org