A Short Background on I/AF

From November 2020, SD4T offered  technical support to the National Industrial Research and Development Agency (NIRDA), to implement a national incubator/accelerator facility for wood-processing start-ups and MSMEs in Rwanda. The I/AF, which is the first facility of this kind with focus on the wood value chain, functions as a tool to move the Rwandan wood sector towards higher capacity in terms of MSME management levels and innovativeness. It further functions as a a feedback mechanism to the market and government institutions; the main objective is to improve the competitiveness of start-ups and companies in the wood value chain.

In order to achieve the objective, I/AF offers a set of customized services for start-ups, companies and cooperatives from the wood sector including business advice, entrepreneurship and business management training, coaching and mentoring, access to technical infrastructure, technical assistance, market information services, marketing assistance, facilitation of financial and investment linkages as well as facilitation of linkages for technological upgrading and access to a wide network of investors and partner organizations.

Highlights and Achievements of the First Phase

During it’s first phase the I/AF successfully enrolled candidates for the incubator and accelerator cohort. All participants went through an intensive and competitive process before being selected. The facility I/AF provided business advisory throughout the implementation period as well as coaching on top of different technical trainings specific to each business’s special needs. A total of 12 workshops with 67 training sessions (group sessions as well as individual sessions) were implemented successfully for the I/AF candidates.

Through incubation and acceleration support at least 31 selected wood companies were linked to potential financiers and/or investors to present their business plans through tailored pitching sessions across the country. Further, in the framework of the NIRDA Open Call and IAF support, 7 businesses were supported in the procurement process of big wood equipment and machinery.

Another major success of the facility was a a Computer Aided Design (CAD) lab with 10 workstations which was set up at the I/AF office. Main software such as Inventor Professional (comparable to Solid Works) and industry standard software from Autodesk were installed and numerous trainings for interested candidates were conducted, both of an introductory and advanced nature. 

 Additionally, a study tour to Germany was facilitated for 20 participants from all the functions of the Rwandan wood value chains (IAF beneficiaries, NIRDA and GIZ staff). This allowed participants to learn about market based, innovative approaches to business success in the wood economy. Participants also had the opportunity to view products and concepts in a Trade Fair as well as conduct B2B visits to machinery, boards, and fittings producers.  In addition to this some businesses in Rwanda were linked to suppliers and businesses in Europe.

Looking Ahead: New phase of the I/AF (January 2024-November 2025)

SD4Ts support will continue it’s technical support to the Incubator/ Accelerator Facility for the Wood Sector in Rwanda through high level local and international expertise exchange until November 2025. This entails:

• Facilitating the growth and technological upgrade of start-ups and SMEs via the provision of structured and studied interventions through an incubation and/or acceleration program to prepare them to meet the requirements at specific stages of capital raising (seed stage, early stage, venture capital stage, later growth stage capital) as well as scaling the individual companies.
• Developing the capacities of national institutions involved in the wood value chain development to accelerate the modernization of the Rwandan wood sector. 
• Facilitating linkages with timber suppliers and promoting exchanges with regional or international counterparts. 
• Supporting IAF/NIRDA’s organizational structure towards financial and operational sustainability.

SD4T looks forward to the collaboration in the second phase as there will be an excellent team of national and international experts who will support the selected I/AF beneficiaries and provide an even more customized support to the participants needs!