Challenges facing young traders now highlighted

Dar es Salaam. Young entrepreneurs may be trying but lack of financial skills is challenging their businesses growth. This emerged during a visit by KPMG and Restless Development to entrepreneurial groups in Ilala and Temeke districts that aimed at collecting their encounters for further assistance.

“We audit our income ourselves, something that is inappropriate and unfavourable to the growth of our groups,” said Mr Salum Khatibu, the chairman of Ngao Group in Manzese.

The group which consists of 30 members earned Sh2.7 million from their cargo business as a net profit last year. Mr Khatibu added that despite their struggle in developing their enterprise they lack experts on financial issues including accountant, business adviser and record keeping person and they have been doing it without formal knowledge.

At Temeke a group called Hans Innovative which consists of 16 people use waste materials to make jewellery and sandals. They make nearly Sh9 million a year.

However, the group leader Mr Hassan Ally said they still face a problem of sufficient market for their products and technical expertise to find the market.

Currently the ‘culture-jewellery’ making group sell their products at Mwenge but aspire to go beyond Tanzania borders if they get enough trainings, channels and opportunities.

“There is also low response of Tanzanians into valuing and buying homemade commodities which largely demotes our internal trade” added Mr Ally.

On her part KPMG marketing officer Ms Gertrude Mwakasege said the visit to the groups intended to collect their shortcomings and prepare trainings that will enable them to utilize different opportunities to maximize their profit.