Fund Manager Consultant – DCA Youth Enterprise Fund

1. Background

DCA Kenya country programme has been providing business and entrepreneurship skills training to refugee and host population youth in Kakuma Refugee Camp and Kalobeyei Settlement since 2017, adopting a blended learning^[1] approach. From the project evaluation and learning from other existing entrepreneurship models, it is evident that lack of capital is the main impediment for young entrepreneurs to start, grow and expand their enterprises as the natural next step after skills development. To fill this gap, DCA conducted an evidence-based project modeling and design through the support of a project group made up of 4 other country programs. The assignment established a best fit model for Youth Enterprise Fund (DCA YEF). DCA YEF is modeled to receive individual donations and disburse loans – a sustainable financing approach for youth entrepreneurs in Kakuma Refugee Camp and Kenya at large.

DCA Youth Enterprise Fund (DCA YEF) will address two main problems; a) inadequate funding for youth entrepreneurs in our context b) the current inability of DCA to receive overseas individual donations for such support. The model recommends establishing partnerships with local and overseas individual donors with the adjustment in internal processes and procedures to accommodate such funding. In terms of management for the revolving fund component of DCA YEF, the model recommends partnering with a financial service provider for disbursement and loan repayments. This way, DCA hopes to sustain the health of the fund through donations and loan repayment. It is also envisioned that the model will be replicated in one other DCA country program within the first year of operation of the DCA YEF.

In this regard, DCA Kenya is seeking the services of a Fund Manager Consultant to set-up and operationalize the DCA Youth Enterprise Fund in Kakuma with a keen focus on establishing relevant partnerships, set-up the revolving fund systems and processes, aligning with DCA internal procedures, and initiate the disbursement of loans.

2. Purpose & objectives of the consultancy

The purpose of this assignment is to operationalize the already established best fit model for DCA Youth Enterprise Fund in Kakuma. The key objectives of the consultancy are to;

1. Set-up and operationalize the structures, systems, and procedures for managing and roll-out of the DCA Youth Enterprise Fund based on the established best fit model and costed work plan taking into consideration compliance with DCA NGO registration in Kenya, tax implications, impact on the current market, and other potential risks. This includes appointment and defining the role of a Fund Advisory Committee envisioned to continuously evaluate and make recommendations on the management of the Fund.

2. Ensure the established partnership between DCA and a financial service provider is strengthened with clear terms of engagement and understanding of the distribution of roles as well as awareness creation and building synergies with other relevant actors.

3. Train and capacity build DCA and relevant financial service providers staff on the management and implementation of DCA Youth Enterprise Fund including understanding, application, and compliance with the set systems and procedures.

4. Map potential overseas and local individual donors relevant for DCA YEF in collaboration with the DCA team to come up with an outreach strategy considering the potential for replication and scale-up.

5. Develop consultatively together with the DCA team, an exit/wind-up strategy for the DCA YEF to be used at the end of the fund program term. This will be included in the service contract with the FSP.

3. Scope of Work

The consultant will set-up and operationalize the DCA Youth Enterprise Fund in Kakuma considering that the purpose of the DCA YEF will be two-fold: a) to accommodate overseas and local, individual donations and b) for disbursing loans to – and receiving repayments from - youth entrepreneurs. The consultant will establish systems and procedures for the management of the revolving fund component. S/he will support the development of engagement terms with a financial service provider (FSP) including the exit/wind up strategy, and train and capacity build DCA and FSP staff on the implementation of the project, and build synergy with relevant actors in Kakuma. The consultant will also map potential local and overseas donors to finance the Fund and develop an outreach strategy to the donors. S/he will advice on the management of the fund including coming up with an exit strategy and advising on the establishment of a Fund Advisory Committee and defining its role. The consultant will also engage the project group throughout the assignment duration and finally do a hand-over presentation towards the end of the consultancy period to ensure a seamless transition.

4. Time Frame

This exercise will take at most thirty (30) working days spread over 3 months effective from 15^th May 2021 inclusive of preparation time, systems set-up, partnership strengthening, staff training, initial rollout, and hand-over presentation with the project group.

5. Deliverables

This assignment will result in the operationalization of the DCA YEF, which will receive individual donations and disburse loans to youth entrepreneurs. The assignment will cover the set-up of systems and procedures for the management of the fund, streamlining partnership with a financial service provider, training of staff on the management of the fund, and developing an outreach strategy to potential donors to finance the Fund. The deliverables for this assignment will be;

· Functional systems and procedures for the management of DCA Youth Enterprise Fund including loan disbursement and repayments.

· Defined roles and terms of engagement with the partnering financial service provider.

· Synergies created with actors in Kakuma.

· Staff development training report

· Outreach strategy targeting potential overseas and local individual donors.

· An exit strategy

· Key roles and responsibilities of the Fund Advisory Committee

· Hand over report including a detailed implementation plan for a proper transition.

· Presentation to the project group.

6. Methodology

· Review of the already established best fit model for DCA youth enterprise fund.

· Based on the model, develop systems and procedures for the management and roll-out of the fund.

· Liaison meetings with the partnering financial service provider to streamline the terms of engagement and distribution of roles.

· Work closely with DCA and the dedicated partnering financial service provider staff to ensure understanding of the systems and procedures for the implementation of the project.

· Hold meetings with different ecosystem actors including UN Agencies to build synergy.

· Define roles and map potential members of the Fund Advisory Committee.

· Lead in awareness creation about the fund in Kakuma using multiple channels.

· Close engagement with the project group for updates and sharing lessons and perspectives.

However, the methodology above should not limit the interpretation of the ToR. The consultant can propose a methodology relevant to this assignment.

7. Desired Qualifications

· Education: A multi-disciplinary consultant(s) with a master’s degree in a relevant discipline in Youth Entrepreneurship, Business Management, Business Administration, Development Finance, Organizational Development, or any field related to Social Sciences (or equivalent).

· Experience: At least 5 years’ experience in investment fund strategy, managing loans and investment portfolio activities, micro-finance, digital financial services, and working with financing and business models in the humanitarian and/or development sector.

· Expertise: Proven expertise in setting up investment funds, developing funds structures, systems and procedures, and management of loan /revolving funds schemes is essential.

· Proven expertise/experience in managing and implementing innovative projects, organizational development, financial and risk management, and change management is an added advantage.

· Proven project design/development experience, multi-stakeholder engagement, strategic communication and awareness creating, partnership building, and leading webinars remotely through the use of emerging technologies or other digital workspaces to promote active collaboration highly beneficial.

· Excellent collaboration, analytical and process moderation skills, and able to interact with participants across contexts.

8. Assessment management and values

For this assignment, consultants are expected to familiarize themselves with and adhere to the DCA Code of conduct for contractors (ethical principles & standards). The consultant will also be expected to familiarize and observe the COVID-19 protocols in the Camp as set by the government and UNHCR. Please refer any questions or emerging issues to the DCA Kenya Head of Program (patrick.kenya@dca.dk).

The general terms and conditions of this consultancy are:

· Professional fee: The consultant(s) will be paid professional fees in accordance with this TOR and within DCA’s approved rates.

· DCA will cover ALL the consultants’ costs related to carrying out this assignment as defined in the final signed contract.

· Withholding income tax payable to the Government of Kenya (GoK) shall be deducted from the consultants’ fees during payment. Different tax protocols apply for Non-Kenyan consultants.

· A contract will be signed by the consultant(s) prior to commencement of this consultancy which will detail additional terms and conditions of service, aspects of inputs and deliverables.

· The full term of consultancy: structures, systems and procedures set-up, partnership streamlining with FSP, staff capacity development, awareness creating and hand-over report and presentation should not exceed the stipulated number of days.

9. Structure of the Proposal and Submission Guidelines

All expressions of interest should include:

Technical Proposal highlighting: brief explanation about the consultant(s) with evidence of previous experience in this kind of work; profile of the consultant to be involved in undertaking the consultancy; understanding of the TOR, the task to be accomplished as well as draft consultancy framework and plan and at least three report examples of previous similar work undertaken.

Financial Proposal: The financial proposal should provide cost estimates for services rendered including daily consultancy fees related to the consultant.

Contact persons:

Patrick Kibuku, DCA Head of Program (HoP) – Kenya. Email: patrick.kenya@dca.dk

[1] Blended learning is an approach to education that combines online educational materials and opportunities for interaction online with traditional place-based classroom methods.

How to apply:

Applications

All applications to be sent by email to: procurementkenya@dca.dk (clearly marked: ‘ Fund Manager – DCA YEF not later than 4^th May 2021.