Branch Operations

HR&S Sweden establishes HR&S Local Branches in Sub-Sahara African countries. The Branches represents HR&S Sweden in the country, and develop relations with Institution managements, local authorities and other relevant stakeholders. The Branches also manage RISE Centres, which provide support to local social entrepreneurs, researchers and innovators to offer their products and services to the local community.

Operations in general

Motivation, Professional development & team-building – HR&S Local Branches

HR&S is a very firm company, our strategies are profound, but we are nothing without the hard work of our team-members.

Team-leaders call for monthly local meetings with the local team, the purpose is team-building, work motivation and individual development of each team-member.  Team-leaders shall understand and act on the needs of each team-member, offer clear instructions related to each assignment, address any challenge that the team member experiences and ensure reward in the sense of reimbursement as well as personal and professional development.

Services

Each Centre has its own set-up, depending on the needs and the context. Besides the support programmes to the member programmes,  the Centres offer consultancy, seminars and workshops addressing the HR&S Management Srategies.

Establishing Relations With Potential  Institution Management Partners In Our Target Countries.

Benefit from https://www.humanrightsandscience.se/offer-to-scientific-institutions/
We establish links within the management at institutions in SSA countries, seeking relations with individuals with agency for change and do persona research to empower the relations.  We will involve our network members to support with identifying persons to be our ambassadors at the management level at their own institutions. We will prove our performances through free seminars where we present our services and our previous results.  We seek to understand the challenges of the institutions and propose how we can support with addressing those challenges. We present a reasonable price for the services that we offer. Then we remain in professional contact, invite to events, and update on our activities.

Expected Output: 
– Team-leaders identify names on door openers in their own institutions. Indicator: ten names.
– Network coordinators reach out to the network members for names/door openers. Indicator: ten names.
– A list with 20 names of persons with whom we have had contact, affiliations and done persona research.
– Five, 30 min seminars where we strengthen the relations with potential partners.
Expected outcome:
– Ten powerful connections that we maintain where we have i) identified their ambitions and outcome challenges, ii) proposed activities and milestones and iii) informed about a reasonable price.
Progress markers:
– One signed coaching agreement. We will offer free of charge 30 min seminars or one hour,
but webinars need to be paid for. The coaching we offer to the management includes webinars on the strategy for change, helping them develop progress markers for their own curricula. We shall put effort into identifying the outcome challenges and then propose how we solve the challenges through activities and milestones.  In addition we can provide training for their researchers and technicians, and that is then an activity within their SfC. Not stand-alone events.

The institutions pay directly to HR&S Sweden for the service of giving the webinar.

Webinars

Invite to, and manage the exam after, webinars  arranged by HR&S Sweden and by HR&S advisers, as well as the Certificate of those passing the exam. The fee from individual participants (EUR 10) is a direct income to the Local Branch.

Keep the networks active

  • Researchers: Kenya & Burkina Faso
  • Technicians: Uganda & Rwanda
  • Entrepreneurs: Nigeria & Zambia
  • Development stakeholders: Liberia & Togo

External corruption control

Each centre develops good relations with a lawyer, a representative from the police and the bank.

Team Of Operations Members running businesses

Our main challenges is to identify accountable loan-takers. We need role-models. If the team of operations also runs businesses, but benefit from loans, we have role-models who both see the challenges with being a loan-giver as well as a managing business finances. It seems it will serve the HR&S mission well. The assessment is that taking a loan by the team of operations has potential conflict of interest. 

One of our strengths is that we impose on ourselves the challenges that we want to guide our partners to manage, meaning we have direct experience. If we want to guide a partner on how to increase the number of customers in this targeted country, do we know how to increase the number of customers for RISE in this country? If we do, we can also give training to our RISE member. If we do not know how to increase the customers for RISE in this country, then the training we give RISE members may be more of theoretical, and not base on own experience and own understanding, and we may risk wasting our members time time. Score low on the Progress Markers.

HR&S training Events

RISE members and team of operations attend all HR&S  training events for free. RISE team may as well participate in HR&S training as presenters and/or support staff.

Collaboration with institutions
Testimony: Many institutions seems to be dependent on aid support in all respects. The reason being that  this is the way they have been introduced to and they have adapted. Actually it is a very solid state. Anything that is different will come with a friction. 
-We can find people who want to make a change and be self-driven but the system will swallow them up.  With time they may give up. We will try to bring those person with an mind for change to join HR&S. Maybe we can use social media more to find the change makers.
-One problem can be the “system”, that we have to follow protocol. For example, people may not talk in meetings not to offend anyone. Then HR&S can then have a role, and come in as an outsider and talk about that we have a common goal, and we need to listen to everyone to find a solution.
-There is also a bureaucracy that hinders smooth management. Issues have to pass too many levels. HR&S may, as an outsider, have access to many levels to deliver the message.

Webinars
The tasks are: develop a flyer, attract participants, compile names, affiliations and e-mails of participants, control that participants have paid, encourage good internet, run the webinar, have a session where we ask for reviews, offer one examination occasion,  possibly offer one follow-up exam session, develop a list of those who passed the examination with exact names, develop the certificate template, produce the certificates and distribute.
Distribution of tasks:
– Joint activities: develop a flyer (we want to share the information three months in advance, it takes time
for institutions to process the pay). produce the certificates and distribute. We will plan the distribution of the joint tasks for the full year in January.
2022 proposal:
*March SfC researchers and technicians – Uganda and Rwanda, *April manuscript writing – Kenya and Burkina Faso,
*Sept SfC social entrepreneurs – Zambia and Nigeria,
*Oct proposal writing – Togo and Liberia.
– Branch specific: attract participants, compile names institutions and e-mails, control that participants have paid, encourage good internet, possibly offer one follow-up exam session, develop a list of those who passed the examination with exact names and share with those who produce the certificates.
– HR&S Sweden or Expert adviser: run the webinar, have a session where we ask for reviews, offer one examination occasion.
Preparations: We should develop standard templates for the flyer and the certificate.  Good also because people will start to recognise our material.They can always be fine-tuned.  Good also because people will start to recognise our material. The templates may be bilingual.

Accountability
Testimony: Some of the projects that we support fail on accountability, and accountability is key. Reason being that when white people support financially, partners in Africa will consider the support a donation. Therefore, we need to grow our members in relation to accountability, both in terms of the person and the business. Challenges to pay back may be small to start with but can scale with time and make the situation impossible to handle. It is crucial to ensure a good relationship within the RISE Centres to openly discuss challenges, before it is too late.

Assigning new RISE members

The person:

  1. Pitches for the other RISE members (team-building) and for the Branch operations team. The potentially new RISE member is made aware that the capital is shared among all RISE members, and that paying back is key to the development also for the other RISE member businesses.
  2. Pitches for Action10.
  3. Attends minimum one accounting training with the Branch accountant.
  4. Attends minimum one SfC training,
    with Sweden if available at that time otherwise with the local Branch.
  5. The HR&S Branch and HR&S Sweden takes a joint decision.
  6. A contract is signed before transferring the first loan.

The HR&S  Branch team of operations members, typically support RISE members by benefitting from the same expertice as they operate with in the Branches.  Independent auditors are  assigned for both the Branches and RISE members when the capital exceeds EUR 10,000. 
Probation period: Persons who seek to join RISE Centres Operations team are welcome on a probation period of maybe six months. If they prove themselves to be active, responsible and take initiatives, they step up and become HR&S Branch Operations Team member. Operations team members must have access to good internet connection.

Direct Understanding And Experience

One of our strengths is that we impose on ourselves the challenges that we want to guide our partners to manage, meaning we have direct experience. If we want to guide a partner on how to increase the number of customers in this targeted country, do we know how to increase the number of customers for RISE in this country? If we do, we can also give training to our RISE member. If we do not know how to increase the customers for RISE in this country, then the training we give RISE members may be more of theoretical, and not base on own experience and own understanding, and we may risk wasting our members time time. Score low on the Progress Markers.
That is why we may also encourage members of the operations team to become loan-takers, in order to get direct experience; from being boat a loan-giver and a loan-taker.

Team work

The different coordinators shall work together, targeting their individual assignments in a supportive and joint manner.

 

Coordination procedures

Physical meetings

  • The coordination is preferably performed through face-to-face working sessions.
  • The face-to-face meetings are arranged as often as agreed in this contract; minimum quarterly, preferably every second month or every month.
  • The work sessions should be in the form of; one-on-one tuition, group advice sessions, large-scale workshops and large-scale seminars.
  • Each session has a duration of one – four hours.
  • All staff assigned to be part of the coordination event attends the working sessions as prepared by the Coordinators.

Follow-Up Meetings In-Between Physical Meetings

  • The coordination includes additional phone calls and group calls as required.

Visit To Programme Sites

  • The coordination includes visits to the programme sites as required.

We need to arrange with good internet and computers for the branch team-members.

Emergency fund

Each RISE centre has an emergency fund put aside so that they can assist where needed, and the RISE Centre fundraise for the emergency fund, it-self.

Equal partnership

In a business relation both parties must benefit, or the relation will not last long. For both parties to benefit, both parties must try to find opportunities for the other party and therefore also have a deep interest in understanding the other party’s situation, ambitions, and challenges. There is a challenge related to the tradition of seeing mzungus as givers; money, training, travels, mentoring, coordination, administration, equipment, repair. But as we know from 60 years of aid, aid has proven to increase poverty. Moving away from looking for donation and a “Help-me” attitude to a proper equal partnership will empower all stakeholders, and create independent, self-sustained and powerful institutions. All members of the Branch operations team must have this understanding, which will result in that everyone will work hard to achieve results; attend all  meetings, propose ways of doing things, take on assignments, and deliver results in time.   The question changes from “how can you help?” me to “how can we help each other”. The HR&S management strategy is built on i) real-time outcome evaluation planning, ii) measuring impact using scientific methods, iii) managing transparency and accountability, and iv) needs and user-driven programmes. 

New RISE Operations Team Members To Understand HR&S 

HR&S is not aid but a social enterprise that establishes country representation. The RISE provides coaching to members, as well as, manages the centre and generates income. It is slow but firm process to establish a new RISE Centre, where the team members with time understands the concept and the meaning of the different assignments. It is a trial and error. All information is available on the website. The transitions from theory to actual practice can only be made organically.

Probation period

Persons who seek to join HR&S Branch Operations team are welcome on a probation period of six months, as a Support Team member. In the position of a Support Team member the persons are not eligible for reimbursement, but are welcome to attend webinars free of charge. They attend meetings and get small assignments.. IF they prove themselves, thus being active, take initiatives and deliver results in time, they step up and become HR&S Branch Operations Team member. 

HR&S Branch Operations team must have access to good internet connection and a computer or a cell-phone.

Manage a WhatsApp chat with RISE-members

The purpose with the joint chat group is knowledge sharing, on all aspects of business scaling. We do accounting, road-maps, team-building and more. It is also for the RISE members to have an opportunity to share between your-self and give each other advice as being social entrepreneurs in Kenya. The RISE members share the same capital that is used for loans, and we depend on each other. We have to make the RISE-members to fee comfortable sharing successes and challenges with each other. We are all together, supporting each other. We need transparency and accountability to thrive. Each RISE-member to stay strong and know they belong to a strong, kind supporting team.

Benefit from the lean-business model to ensure income to each Country Branch

We use an iterative  approach benefiting from the Lean start-up methodology. It is a data- and experiment-driven method of moving from assumptions to verified facts in as short a time as possible. Lean Startup is based on “fail fast – fail often” and by gradually increasing learning about customers and the market, the financial risk is limited.
 
  1. Problem.
    What are the problems that our product or service should solve for the customer?
    Aid dependency and the fragile infrastructure it creates.
  2. Solution.
    What is our solution to this problem?
    Empower self-sustained scientific research, social enterprising and innovation.
    Value proposition: i) Strategy for change road-maps for scientific institution managers, social entrepreneurs and sustainable developers, ii) business loans, iii) RISE Centre business scaling support, iv) products and services to under-served communities through social enterprising, and v) coaching the aid and private sector to embrace equal partnership.
  3. The customer’s options.
    How do customers solve their problem today?
    Aid financial donations and aid free services.
  4. Key figures.
    What measurement values do we want to use to check that we are on the right path?
    i) No of contracts with institution managements, ii) no of RISE members, iii) level of business loans pay back,  iv) level of social good delivered measure through TestE, v) no of contracts with the aid and private sector.
  5. Unique value proposition.
    What exactly makes our solution worth buying?
    xxx
  6. Our competitive advantage.
    Which one is it?
    SfC tool and cross-cultural understanding.
  7. Customer segment.
    What does the ideal customer look like?
    xxx
  8. Channels.
    In what ways can we reach our ideal customer?
    xxx
  9. “Early adopters”.
    What does the ideal customer who buys first look like?
    xxx

Social media

Each Branch develops a FB page in order to reach and discuss with individual Target partners.  HR&S and Action10 postings are shared and the PMone of followers are 500 per country.

Each Branch develops a LinkedIn page in order to reach institutions and sell coaching services. PMone of followers are 1000 per country.

Intrinsic motivation & Agency for change

The HR&S Local branches Team of Operations is composed of very, very special people. They are the fore-front of HR&S in each country; respected, appreciated and trusted by HR&S Sweden to represent HR&S in our target countries.

  1. The HR&S Local Branches Operations team members must make an effort to understand the core values of HR&S and then make a well-informed decision on if they want to become members.
  2. The HR&S Local BranchesOperations team members must be active, they must take own initiatives. They are free to improvise. Free to make mistakes. In HR&S we see mistakes as an opportunity to learn. If we do not make mistakes, then we also do not try new things. What we are proud of is that we learn from our mistakes, make informed decisions, and do not repeat the mistake.
  3. Cross-cultural understanding. In every country can it be difficult for the formally educated community and the illiterate community to understand each other. Thereby we may lack trust and respect and efficient communication may become a problem. In HR&S we depend on the coordination between groups with different capacity and experience, all being equally important, when improving livelihood for the under-served community; may it be the capacity to perform according to university education or to manage a programme within an under-served community. HR&S therefore depends on establishing teams of members with cross-cultural skills.
  4. As a result of the Aid industry, the expectation of persons seeking to become members of the local HR&S team of operations many be the donor-driven structure. Persons may expect that their salaries and other programme running costs shall be paid for by foreign donors, that foreign donors shall provide administrations services, pieces of training as well as equipment, consumables, service and maintenance, free of charge. But HR&S team members must agree with that salaries are not paid for by HR&S, training is not given for free by HR&S, programmes are not funded by HR&S. Instead the HR&S local RISE centres are social enterprises that generate the income required to do local social good, in deep, close and caring collaboration with HR&S Sweden. HR&S benefits from the Lean startup model, the Lean business model and the Agile strategy.

Assigning new members: Potential new members must be able to answer a few questions about HR&S proving they have studies carefully and understood HR&S very well.  Potential new members are also assign on trial for six months before becoming full team members. During the six months of trial they will get assignments to deliver on and join a few meetings with partners. They have to prove that they will take initiatives, be active and attend meetings, show cross-cultural respect with other communities and not be judgmental, and accept that RISE are social enterprises that pay costs and reimburses team members from income generated by RISE itself.

Attend RISEtalks of other branches to share knowledge.

Offer webinars, within the country or region or internationally, to share expertise knowledge.

Infrastructure

During the pilot phase, we aim for the team leader to have good computer and internet access.
We also aim for a zoom account.

HR&S runs webinars, where our practical strategies and core values are addressed. This is a good opportunity for new and potentially new  operation’s team members to understand HR&S, our Local Branches and RISE Centres.

HR&S is not an aid institution but a social enterprise that establishes country representation. The RISE provides coaching to members, as well as, manages the centre and generates income. It is slow but firm process to establish a new Local Branch, where the team members with time understands the concept and the meaning of the different assignments. It is a trial and error. All information is available on the website. The transitions from theory to actual practice can only be made organically.

Action_Invest

Substantiality

It is important that the RISE members has balance in their businesses. The ActionInvest capital shall not decrease as a result of members failing to pay back. As donations are collected, the capital on the Branch bank account shall always mirror the amount collected. 

Additional fees

HR&S does not charge any additional fees but the interest.

Accountability procedures

  1. Team-building and joint financial responsibility for the ActionInvest capital among RISE members, combined with accounting training and auditing with management reports.
  2. RISE member direct coaching and training of RISE members customers.
  3. Signing agreements with employers that loan and interest is withdrawn directly form the salary.

Calculation Examples

Long-term 10% if one year or more.
If we borrow EUR 100 we pay EUR 100+10 after one year, and 100+20 after two years.

With 36% annual interest / short-term one month
If we borrow EUR 100 we pay back EUR 100+3 after one month. Proposal for our programme in Liberia.

With 14% annual interest / short-term six month
If we borrow EUR 100 we pay back EUR 100+7 after six months. Proposal for our programme in Togo.

Examples from the programme:

  • Togo villages, loan-giver is a RISE member,
    six months loans paying 7% of the capital (A.3) 
  • Liberia employees,  loan-giver is the HR&S Branch,
    one months loans, paying 3 % of the capital (A.31). 
    Expected income: A capital of EUR 2,000 = EUR 720

Annual reports

Each Branch delivers their annual report due 15 February.

The annual report are designed according to the the Branches preferences but shall contain the following chapters.

  1. Message from the Team-leader.
  2. Financial report.
  3. Management report.
  4. Compilation of the RISE members and their businesses.
  5. Compilation of services and products delivered to under-served groups.
  6. Compilation of Management Strategy for Change training and coaching.
  7. The year ahead,
    financially and concerning the programme.

During the May Team-leaderTalks the Team-leaders make narrative oral presentation of their annual reports.

Annual Branch Evaluation And Review

As a result of each year of operations, the team shall effectively evaluate and improve aspects of concern. The Team of Operations undertake to provide advice by developing a written opinion.

Annual RISE members Coordination Report per Branch

The Coordinators undertakes to draw up a joint annual  Coordination, report to be included in the annual Branch report.

  • The annual coordination report should present the coordination year’s activities, and include a written assessment.
  • The annual report should relate to the fiscal year financial report.
  • It should be developed in a way that it can help the Branch and the RISE members to evaluate the day-to-day activities.
  • The Coordination Annual report should include the following:
    • A presentation of the coaching programme; how it was planned and how it was implemented.
    • A presentation of the content of the RISE members programme.
    • Financial reports.
    • A compilation of  output, outcome and sustainable impact.
    • Outcome evidence are referred to (photos, videos, interviews)
    • Compilation of and reflection on lessons learned and proposed informed decisions.

Finance administration & accounting

The operations staff  is obviously up-dated with and obey to the laws of the country. Tax is paid accrtingly.

Local branches finance and administration is the responsability of the accountant, including continious accounting according to international standars, annual financial report and to arrange for external auditing if the turn-over exceeds EUR 10,000
unsplash - accounting

Bank account signatories

Signatories
Two members of the HR&S Brsnches operations team are signatories of the bank account. These are the team-leader and the deputy team-leader or the accountant. Pre-arrangements with the bank shall make it possible for the signatories to provide their statements electronically.

Bank account withdrawals

Withdrawal by RISE Centre
The team-leader provides a request to HR&S CEO when withdrawals are required. Withdrawal from the bank account by the RISE Centre requires authorisation by HR&S CEO and the signatures from both signatories. The withdrawal request states the purpose for the withdrawal, which programme it refers to and wich agreements it is supported by. Thus the request compiles all the costs it shall cover. Within two months after the date of the withdrawal, receipts for all costs are compiled by the accountant and shared with HR&S CEO and both signatories.

Withdrawal by RISE Member
The loan-taker provides a request to the RISE accountant when withdrawals are required. Withdrawal from the bank account by a RISE Member/Loan-taker also requires authorisation by HR&S CEO and the signatures from both signatories. The withdrawal request states the purpose for the withdrawal, which programme it refers to and wich agreements it is supported by. Thus the request compiles all the costs it shall cover together with a statement presenting how the loan will be paid back and when.  Within two months after the date of the withdrawal, receipts for all costs are compiled by the loan-taker and shared with HR&S CEO and both signatories.

Non-Signatories To Bank Account

Members of the Team of Oreations may have obligations towards their employers, and being a company co-owner can cause a conflict of  interest. These HR&S team-members are welcome to have a position in the team of operations, while not being a signatiory of the back account nor the registration of the comapany.

Accountability management

Ensuring Accountability Among RISE Members

The “help-me” narrative must change. The RISE members must realise that this is an equal-partnership, win-win relation. That the partners shall support each other for the sake of establishing social good and move the country out of poverty as well as eradicate extreme poverty. The bottom line is setting the expectations right from the beginning to avoid unrealistic expectations. The RISE members shall not be looking for handouts, as this is not sustainable, but should create value for them-selves AND their partners,

and thereby bring the desired prosperity. RISE-member partners are the local branches, HR&S Sweden and Action10. Important also is to identify the right RISE membes, who will act with agency for change and intrinsic motivation, who will become role-models.
Activity: Each Centre has a certain amount of capital to pay out as loans. Within the Centre the RISE members are made aware of the size of this capital how the capital is distributed between them. The Centre shall create a good and supportive atmosphere where the RISE members support each other to manage their business, generate profit and pay back in time and with interest,  by giving advice and provide supportive actions. Full transparency is created among the RISE members on how loans are paid back.  If someone is not paying back, less will be available for the other RISE members, for the coming batch of loans. What we are targeting is the motivation to pay back, so that the loan-taker her-self and the other RISE members can benefit as much as possible, but also a sense of responsibility for the well-being of the local branch AND for HR&S Sweden.   In case there is an external challenge, maybe drought for a farmer, then everyone will have to accept decreased capital, even though everyone will suffer from less capital.
Milestones:  In RISE Centre meetings the members are made to realized that the money to be giving to them is a loan to be paid back, and that the amount given out as loan will be deducted from the principal amount at source.  They are made to understand also that they will cross reference each other in the group, that is to say that if any member of the group default in repayment, the entire group will be held accountable.  If they are faithful in repayment, they will be qualified for applying for a higher loan. They usually repay the principal on a monthly basis.  The members are made aware that the purpose is for their businesses to expand and for more RISE members to be added to the community and thereby strengthening the team.

Short-term loans to employees

Short-term loans to individuals from identified institutions (both NGO and Governmental). Written formality and agreement with the head and accountant of each beneficiary institution that result in a timely payback of said loan with interest directly to our bank account. Each individual may receive the amount of EUR 100 – 1000 with an agreement to be paid back with interest for a period of 1 month.

 

unsplash - budget

Scam defence

419 scams from Africa towards foreigners is increasing significantly. Scamming mzungus has become a billion dollar industry, annually.
This is a relevant topic for HR&S for two reasons:
i) HR&S and Action10 will be attacked by 419 scams, and
ii) scammers will reach out to HR&S as a shortcut to foreign funds for their own benefit, without doing the 419 scam, but by taking a loan that they never intended to pay back or interact directly in other ways.

It is generally agreed that the reasons behind the scamming  are:
i) Some governments are precieved as corrupt and thus serve as a role-model for the population to get involved with scamming,
ii) there are not enough higher institutions for education leaving many illiterate, combined with lack of infrastructure leading to that also educated people are jobless
iii) some of those with high positions in the society, already rich, well-educated, with good senior employment positions, wants more,
iv) the wage gap between the rich and the poor is increasing,
v) lack of rule of law; the risk of being caught  is limited, and if  it happens the scammer will most likely will share a portion of the profit, as bribes, and will then be released, 
vi) many believe that further developed countries made African countries the way they are today as a result of colonalization  and slavary. Scammers  rationalize their criminal behaviour because they believe they are trying to recover what has previously been stolen from them.

The important issue is thus to not attract scammers, and if we do, make sure we explain our mission. The bottom-line is that HR&S and scammers actually have the same ultimate goal, fair and equal opportunites for all. HR&S claims that a sustainable development can only be achieved through a  transparent and accountable equal partnership collaboration between countries and continents. 

Business Start- / build-up  capital for  team-leaders

 

We see it as favourable for HR&S, if team-leaders and deputy team-leaders are running their own businesses, as the team-leader will then be in a position to be a role-model for RISE members. But rather than approving loans to team-leaders, HR&S will ensure enough reimbursement to ensure a capital. By doing so we:

  • Avoid any accusation of fraud.
  • Avoid that supporter worries that loans are given in a biased manner, that is that team-leaders promote themselves as loan-takers before other potential entrepreneurs.
  • Avoid the risk of loosing excellent team-leaders as a result of debates around agreements of paying back loans.
  • Testimony “It would in theory be okay to give team leader loans. But from experience, if we do so, we run a risk of loosing those very team leaders especially if they are unable to clear the loan. If we want to go into the loan business for team leaders, then we must have an independent adjudicator whose role is to take care of collateral. Generally, people are never willing to repay loans if such loans were received on the premise of their morality and honesty. Eventually, they default and just cease to operate for the company. As a person who runs a financial services business with my sister, I know that even the most trusted and honest people will find it hard to repay loans of any amount of they have not been requested to deposit collateral. For example, person x wishes to invest in his coffee business, a business that takes up to maybe 2-3 years to generate income.  That is not only a long loan period but it implies that they may be unable to easily make timely repayments and should he default, then we could loose the person as a team-leader. Because the person will feel embarrassed to continue working after having defaulted him / herself. I rather, we pay the person annual fees for his/her continued efforts on the project and he/she can use those fees to invest in his/her other business. That way he/she owes the company nothing, there is no risk of default and the person can continue working well as he/she has been.”
unsplash - investment capital

Starting a new HR&S Country Branch

Company limited by guarantee

Company limited by guarantee. The HR&S Country Branches are initially registered in each country as a company limited by guarantee.

Name
The name is usually “Human Rights and Science Branch Name of country”, or something similar depending on the rules of the country.
Alternatively the name can relate to the RISE Centre, such as HR&S RISE Support Centre Name of Country, or RISE Support Name of Country, or Research, Innovation and Social Enterprising Support Center Name of Country, etc.

Directors
The company is by law required to have at least one director, which is usually the team-leader. The HR&S Country Branch must have two or three Directors. Other Directors can be the deputy-team leader, the accountant and other persons in the Branch Team of Operations.

Guarantor
HR&S Sweden is the guarantor.

Capital
The capital required to always be available on the Branch account must be stated for the different countries. This is the amount that also has to be shown to the government if the company closes down.
Zambia: 15,000 Kwatcha, about USD 800.

Not-for profit
We do not have share-holders and the branch directors cannot take a profit from the company. reason being that the capital is built up by donations.

Bank account
The company opens a bank account as soon as it has been registered.
The team-leader and deputy team leader and/or accountant are usually the signatories.

RISE Centre
The RISE Centre is one of the HR&S Country Branch activites.

Tax exemption
The HR&S Country Branch shall preferably be exempted the liability to corporation tax which is made possible as a result of being registered as a company limited by guarantee in some countries.

start-up

The purpose with the company during the start-up phase is

  1. To have access to a separate bank account.
  2. To be able to handle company finances, a limited amount of company capital.
  3. To manage ActioInvest.
  4. To manage the RISE Centre.
  5. To be registered as a company in order to walk the talk.

The Directors /signatories of the Country Branch are members of the Country Branch Team of Operations during the start-up phase.

Tax exemption

The HR&S Country Branch shall preferably be exempted the liability to corporation tax which is made possible as a result of being registered as a company limited by guarantee in some countries. The Team-leader shall seek such exemption, arguing that we seek social good and not profit for share-holders. The status of being limited by guarantee does not, by itself, allow a company to escape the liability to corporation tax, but this has to be negotiated with the appropriate national regulatory body.

Scaling up

As soon as the Branch generates enough income to sustainably be able to cover all costs including, reimburse team-members and have a significant capital (different from ActionInvest) on the account, it is time to register a company limited by shares. At this time the country Branch and HR&S Sweden will discuss the set-up in detail.

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About Companies limited by guarantee

A company limited by guarantee is a limited company, but with the difference to the usual company entity of there being no share capital. The company’s members are guarantors rather than shareholders. The same rules and regulations apply to companies limited by guarantee as to companies with a share capital. This means that the company will have to file accounts at the appropriate national institution within the usual deadline, file annual returns, keep proper accounting records, appoint directors and file returns with appropriate national institution. The main difference between a company limited by guarantee and one limited by shares is that the liability of shareholders is limited to the amount unpaid on shares, whereas the liability of guarantors (the members of a company limited by guarantee) is limited to the amount that they guaranteed. In most cases, the amount guaranteed will be around Euro 1 (in local curency) per member (similar to the ordinary Euro 1 share in a company limited by shares). Members cannot receive dividends, and will usually be involved due to their commitment to the company’s objectives, rather than to benefit financially. The memorandum and articles will usually differ from those of the standard share capital company and will generally include a defined list of specific objectives, and also a clause that prohibits the distribution of surplus profits. The balance sheet of a company limited by guarantee will be the same as that of a company limited by shares, apart from the fact that it will have no share capital. The bottom section of the balance sheet should be headed ‘Reserves’ rather than the usual ‘Shareholders’ funds’. There is no requirement, but it is common practice, to also include a note disclosing the guarantees; something simple such as: ‘The company is limited by guarantee of members and does not have a share capital. The liability of members is limited to Euro 1 (in local currency). The usual rules about related parties will apply, and the director(s) will be related parties in the usual way. Whether or not a member falls into the definition of related party will depend on the circumstances. Payments to members can only be by way of remuneration, as no dividends are possible.

Company limited by shares
At a later stage a company limited by shares can be registered and are then sub-divisions of HR&S Sweden.

Ensure access to internet

The aim is that each RISE Centre has good communication and work infrastructure.

Internet connection

The big difference between satellite internet and internet that comes from telemast (3G, 4G) is the range. Satellite is enough all over the world, while the masts are limited.
The speed of data traffic differs. Data traffic via satellite is much slower, and is primarily a solution for communication.

Satellite
Can always reach. By having a connection to satellite, we only need to keep the antenna free of obstacles. Satellite internet is stable.
IECT Sweden is the Swedish part of French IEC Telecom, specialize in satellite internet and offer products from quality brands such as Inmarsat, Thuraya and Iridium. The technology works maritime on land, and in the air. Services are aimed at both companies and individuals. Can offer encryption for businesses.  where this is interesting, such as the military. What is the difference between satellite and telemast?

Computer

Electricity

Service & maintenance

Safe guarding

Cost

Kenya

  1. Decent smartphone – 190 EUR
  2. Prepaid internet card- depends on the subscription package. The monthly one ranges from 8 EUR for 3GB.
  3. Standard laptop -340 EUR
Uganda
  1. Decent smartphone- 200 EUR
  2. Prepaid card/data- 5GB monthly data at 12 EUR
  3. Standard laptop – 350 EUR

Togo

  1. Decent smartphone- 200-300 EUR
  2. Prepaid card/data- 3-4-5GB monthly data at ~23 EUR
  3. Standard laptop – 550-600 EUR