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Philosophy
We believe the most important resource of developing countries is the entrepreneurial spirit of their people. This resource needs to be untapped and nurtured -- now. Unfortunately, most entrepreneurs in poor countries face nearly insurmountable barriers to success, from access to capital, to limited vision, to closed social networks, to lack of trust. We believe when great entrepreneurs in poor countries are empowered to play an active role in the development of their communities, society changes for the better.
The following core principles guide us in our development work.For more information, read Agora's testimony to the U.S. Congress on poverty in Latin America.
Build Entrepreneurial Societies
Entrepreneurs need a supportive, nurturing environment in order to take the incredible risks needed to drive innovation. Entrepreneurial societies are wealthier, more just, and better able to deliver the products and services people need. When we think about how to help poor societies fight poverty, we should think about how to make them more entrepreneurial.
Encourage Social Responsibility in Small Business
Business, no matter how big or small, must take into account the needs of shareholders, employees, customers, and the environment. We are committed to helping small business entrepreneurs become leaders and role models in their community for the way in which they operate their business.
Make markets more efficient
Local banks often argue there are few small businesses worthy of financing. Small businesses argue that the banks simply refuse to make loans. The real problem is lack of information and lack of trust that together prevent the entrepreneurial capital market from operating efficiently. When markets function smoothly, entrepreneurs have a better chance of reaching their potential.
Leverage Partnerships
There
are many investors, consultants, technicians, students and
professionals who want to help socially responsible developing world entrepreneurs overcome
the odds - but they don't know how. Creating mechanisms to allow these people to engage, while creating win-win partnerships with local organizations lowers the transactions costs of doing business with very small companies.
Investment & Opportunity, not Charity
Developing world entrepreneurs do not need subsidized loans or grants - they need a trusted partner to help their business gain traction and grow. Subsidy is usually best utilized to make markets work more efficiently, provide opportunity and education, and attract investment. Investment itself should be market or near-market based.
Local solutions to local problems
Local entrepreneurs -- and local development professionals working and living in the community -- are key to long term development success. Decisions that impact the success any small business should be made as close to the business as possible
Focus on Individuals
The most powerful force for attacking poverty is people and their will to create value where none exists -- or can even be imagined. We exist to help these kind of people live up to their potential to make a difference in their community by building trust.
Contribute to the Field
There is great need for innovation and sharing of best practices in the field of development. High impact organizations need to educate policy makers, funders, scholars, development professionals and investors of the power of entrepreneur-driven development strategies to fight poverty and create wealth in poor countries. Working together, we can build the field.