Horn Magazine

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2015 | THE HORN MAGAZINEThe Horn Magazine is a publication thataims to celebrate the business achieve-ments of people from the Horn of Africaliving and working in the UK. The ideabehind this aim is to inspire all those whomay have an aspiration to do well in thebusiness world.The magazine also aims to connectbusinesspeople in order to benefit fromeach other by sharing ideas and tips. Webelieve that this may prove importantin contributing to a well-informed Hornbusiness community in the UK. At thesame time, with this magazine we hope toconnect businesses with potential custom-ers through features and advertisement.We hope you’ll enjoy this inaugural issueand reap some benefit from the content.As you will see, we have a couple offeatured articles with a wealth of advicefor businesspeople and those who may bedreaming of owning a business one day.We wish you a happy and informativereading. 5

THE HORN MAGAZINE | 2015 5 bu ev anaging cash flow is one of the most challenging aspects of being a business owner.Learning to budget, however, can helpyou overcome this challenge.Many entrepreneurs leave a secure jobto run a business. When you do this, youmove from earning a regular income toearning a more haphazard income, whichcan make personal budgeting difficult.The haphazard nature of business incomeis one of the risks of running a smallbusiness. The following tips will help anyentrepreneur or small business ownerreduce the risks by creating a workablebudget for the business.1. Create a Realistic Cash you estimate your initial startup costs,Flow Projection: Don’t assume include all the essential expenses for the first six months, as this will give you someyour sales will live up to your projected time to get your business up and running.market potential in your first year or two Even if you work from home, there willof operation. Your dream business may be be essential services and costs you’ll needterrific, but reality is often quite differ- to pay for your business.ent. While it can be difficult to projectincome since you don’t know exactly how 3. List Discretionary Busi-sales will go in any month, be as realistic ness Expenses: Discretionaryin your projections as possible. It’s betterto underestimate your potential business expenses for a business could includeincome than to overestimate when you buying some supplies, especially in thecome to budgeting. initial startup of a business. Do you re- ally need to purchase new plants for the2. List Your Essential Ex- office in the first month? Or to providepenses: Essential expenses incurred free coffee or sodas for your employees? Decide which items you want, but couldin running a business include wages, live without until your business can affordtaxes, rent or mortgage payments on to purchase the items without going intothe business property, and operatingexpenses such as power, water, Internetand telephone bills. You may also havelegal obligations that incur a cost, suchas registering your business name. When6

2015 | THE HORN MAGAZINE5 budgeting as high as 20 percent or more in certain ideas for industries, particularly during the critical brand-building stage. every small business 4. Reduce Debt Quickly: owner While it may be difficult to start a busi- debt. ness without incurring some debt, you’ll want to reduce the debt as quickly as While people trying to sell you advertis- possible. Debt costs the business more in ing may tell you otherwise, expenditure interest repayments, so having a budget on marketing is not a required cost of that has the business operating in the doing business. If your business is self- black sooner is always a good idea. If funded, or any time cash flow is tight, you do take out a debt for your business, focus on marketing strategies that are ensure you will be able to make the repay- either free — networking, public speak- ments every month. ing, media outreach, and even cold call- ing — or pay-for-performance, such as 5. Never Spend All of Your affiliate marketing or referral programs. Profits: Always keep some of your For budgeting purposes, it’s best to set your marketing expenses as a percentage profits in reserve to cover contingencies. of sales. Exactly what percentage depends Work out a spending budget that spends on your industry and business model, less than you expect to make. Even if but 2-10 percent is the starting range you are operating a small business from recommended by both SCORE and the home, do not pay yourself all of the busi- SBA. Note, though, that it may need to be ness profits each month. Instead, work out a reasonable wage for yourself and pay it regularly, as part of the budgeted expenses of the business. If your sales are higher than you expect in one month, don’t be tempted to splurge in the next month. Keep to your written budget and keep the additional profits aside. That way, if the sales fall unexpectedly in one month, you’ll have reserve funds available to cover the shortfall. Write out your business budget and ensure that your expenditure is less than your actual (not projected) income. A successful business is one where both business profits and personal income for the business owner and founders con- tinue to rise. Good budgeting techniques will help you achieve both. 7

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THE HORN MAGAZINE | 2015............................... The Sole Reb............................... SOURCE:www.solerebels.com............................... SOLEREBELS is an amazing fo founder and managing director B.............................. Zenabwork in Ethiopia!10 SOLEREBELS began as an idea: that the creation of shoes could be a platform for inspiration hope. By crafting xtraCOOL footwear that gave the person wearing them immense comfort and joy, we create great employment opportunities right inside our community and giving the often ignored a chance to engage in creative endeavors. From our inception we proudly employed and trained the highly marginalized or those thought unemployable. Together we set out to re-imagine the traditional Ethiopian “selate” and “barabasso” shoes (recycled car tire sole shoe pictured to the right) in dynamic + vibrant new fashions. We aimed to create something that was authentically local but had a truly universal flavor to it and for the past few years we have that and more. All the while we never lose our focus on crafting our wares from the most eco-sensible materials available: a

2015 | THE HORN MAGAZINERebels Storyzing footwear company founded in 2004 by companyector Bethlehem Tilahun Alemu in her community ofcombination of recycled, organic and bio- one about prosperity creation driven bybased materials.  Then we make shoes in local Africans maximizing their talents andthe most energy efficient manner possible resources.– with our talented hands. 2% of globaltrade... give us the chance to compete and Bethlehem Tilahun Alemu was born andWIN some market share, just like TIM- raised in the Zenabwork /Total area ofBERLAND or PUMA, or NIKE or any Addis Ababa, one of the most impover-of these global brands, and watch what we ished and marginalized communities ofcan accomplish... Ethiopia. Growing up Bethlehem saw that Ethiopia had plenty of charity “brands”Bethlehem Tilahun Alemu - The but not a single global brand of its own.Founder of Sole Rebels So she set out to change all that. Tapping into her community’s and the nations richFrom the humblest of beginnings, Beth- artisan wealth and heritages, Bethlehem setlehem Tilahun Alemu has built soleRebels about reimagining what footwear could be.into the planet’s fastest growing Africanfootwear brand. In early 2005, fresh out of college in Addis Ababa, Bethlehem founded the trailblazingA trailblazer in every respect, Bethlehem footwear company soleRebels to providehas shifted the discourse on African solid community-based jobs. Flash forwarddevelopment from one of poverty allevia- five years, many shoes and HUNDREDStion orchestrated by external actors, to of creative, dignified and well paying jobs later, soleRebels is the planets fastest grow- 11

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2015 | THE HORN MAGAZINEing African footwear brand, the world’s soleRebels emerges as the first Africanfirst and only World Fair Trade Federation brand to become an international job[WFTO] FAIR TRADE certified footwear creation powerhouse with its internationalcompany AND the very 1st global foot- stores forecasted to create over 600 jobs inwear brand to ever emerge from a develop- the countries where they are located by ending nation! 2015 , proof that growth in Africa equals real global economic and jobs growthKnown as the Ecommerce pioneers of the around the planet!African continent, Bethlehem took soleRe-bels ecommerce engagement to the next Bethlehem represents the leading edge oflevel. Moving beyond the groundbreak- a new generation of homegrown Africaning online retail partnerships she forged leaders, talented entrepreneurs who areyears back with the planets ecommerce taking on the global market and winninggiants Amazon, Endless, Javari, Amazon on an unprecedented level. She gives faceUK and the EU’s #1 online footwear and voice to what grassroots African-retailer spartoo.com, Bethlehem led the driven female economic leadership lookslaunch of soleRebels state of the art, fully like , as she continues to elevate her nation,ecommerce enabled global website www. her continent and her company, all KEYSsolerebelsfootwear.co. to creating more prosperity across Africa and beyond! 13

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THE HORN MAGAZINE | 2015LA DIOSA LONDON.................................................. Multi-award winningbusiness, which specialises in fine jewellery, high-end fashion jewellery and luxury scarves. 16

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THE HORN MAGAZINE | 2015 ‘The GoLdadeDssi’oisna:Spanish.LA DiOSA, was born out of the creative style, passion and ambition ofNatasha Faith and Semhal Zemikael, a young London-based design duo.The friends travelled the world for a year to seek inspiration for theirmulti-award winning business, LA DiOSA, which specialises in fine jew-ellery, high-end fashion jewellery and luxury scarves. Their initial travelstook them to the Mayan ruins of Mexico, the exotic islands of Thailandand electrifying destinations such as Tokyo, Singapore, Thailand and Ma-laysia.Faith & Zemikael learnt invaluable skills whilst living in Mexico andtrained with a small group of women who taught them how to makejewellery. Their vivid imagination and adoration for unique gemstoneshas allowed them to hand make incomparable designs through pure in-spiration. The designers believe in working sustainably and are proud tosource all their materials ethically.La Diosa jewellery is worn by many famous people and celebrities in-cluding the wife of Gordon Brown, former British Prime Minster, SarahBrown.18

2015 | THE HORN MAGAZINENatasha Faith:“I was born in Uganda and came toLondon at the age of three after myfather, John Muwanga, passed away. Myfather was a well known up and com-ing fashion designer in Kampala andI would say that I gained much of myinnate creativity from him.“I grew up in East London with mywonderful mother Edith, who hasalways made me feel grounded and in-dependent. Growing up within humblesettings can almost make you feel thatyou deserve to become a product ofyour environment. I made a choice. Iwanted to be successful and encourageyoung people like myself that you cando whatever you put your mind to.”Semhal Zemikael:“I was born and raised in East Lon-don. My parents, who are still married,met whilst studying in London in the70s. My father is from Eritrea and mymother from Ethiopia. I have an olderbrother and we are a close family.“Despite the conflict between thesetwo countries I love the true beauty ofthem both. The generosity that is foundin these people is very humbling. Myparents have worked hard all their livesand have instilled the importance ofa strong family, gaining respect andachieving your dream. My mother runa business in Ethiopia at the age of 18and her determination and work ethicis very inspiring to me.” 19

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THE HORN MAGAZINE | 2015 DAHABSHIIL Largest African based international money transfer business.Dahabshiil Story SOURCE: www.dahabshiil.co.ukDahabshiil is the ‘rags to riches’ story of an Africanentrepreneur whose business was interrupted after theSomali civil war. With limited resources and a strongnetwork of contacts he set about rebuilding the com-pany, which two decades later is now the largest interna-tional money transfer businesses in the Horn of Africa.In 2010, Dahabshiil celebrated 40 years in lifeline to those living in many countriesthe business. With Abdirashid Duale as across Africa and beyond.CEO, and founder Mr Mohamed Duale asChairman, Dahabshiil remains a fam- Company Historyily business. Today, Dahabshiil employs5,000 people across 126 countries with Dahabshiil was founded by Mr Mohamedoffices in London, Hargeisa, Mogadishu Saeed Duale in 1970. He started tradingand Dubai. It provides services to some as a remittance broker, selling importedof the world’s leading humanitarian goods from Gulf States on behalf oforganisations, including the United Na- migrant workers and transferring thetions, Oxfam, Save the Children and Care proceeds back to their families. In 1970,International. Dahabshiil opened its first shop in Burao,Dahabshiil is arguably one of the most the capital city of the Togdheer provinceimportant multinational businesses in in North-West Somalia (now known asAfrica – providing a vital money transfer Somaliland). Over the next 18 years, Mr Duale Mohamed, with the support of his staff expanded the business to become the22

2015 | THE HORN MAGAZINEHIIL ased ney ss. Abdirashid Duale: CEO, Dahabshiil Groupleading remittance broker in the Horn of In 2009, Dahabshiil made banking his-Africa. tory and launched the first ever debitIn 1988, the business collapsed as civil card in Somaliland. In 2010, Dahabshiilwar broke out across Somalia, forcing opened an Islamic bank in Djibouti. Fortyhalf a million Somalis to seek refuge all years on and Dahabshiil’s original valuesover the world. With limited resources, still ring true: trust and responsibility. TheMr Duale used his experience and strong business has zero debt, remains entirelynetwork of business associates to set up a family-owned and is committed to its fairnew remittance venture, enabling Somali commission fee policy. Dahabshiil contin-refugees to send goods back to displaced ues to support the Somali communityfamily members. Coinciding with an both in Africa and abroad, investing 5%influx of Somali immigrants to the UK, of its profits into community regenera-the family set up an office in London. As tion projects involving the developmentthe UK’s Somali population grew, so did of schools, hospitals, agriculture andDahabshiil. sanitation. 23

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2015 | THE HORN MAGAZINEAbdirashid Duale: development finance at events including those at the London School of Econom-CEO, Dahabshiil Group ics, Oxford University and the UnitedAbdirashid Duale has worked for Da- Nations. Dahabshiil has featured in localhabshiil since his school days, helping and international media including Thehis father Mohamed Said Duale develop Financial Times, the BBC, Al Jazeera, Thea small Somali family business into an New York Times, The Economist and Theinternational firm operating in 126 coun- Guardian.tries. Today Mr Duale is responsible for In 2013 Dahabshiil won the ExcellenceDahabshiil’s global operations. for Enterprise category at the Muslim News Awards in London. The award was presented by the Shadow Chancellor Ed Balls. The Prime Minister David Cam- eron, the Deputy Prime Minister Nick Clegg, and the Labour leader Ed Milli- band all sent congratulatory messages.Mr Duale has established a reputation asan expert in the remittance industry, andhas vast experience in all areas of moneytransfer operations. His business net-work stretches from Africa to Asia, fromEurope“In 2013 Dahabshiil won the Excellenceto theMiddleEast, and for Enterprise category at the Muslim Newsfrom the Awards in London. The award was presentedUSA toAus- by the Shadow Chancellor Ed Balls. The Primetralia. Minister David Cameron, the Deputy PrimeHe was Minister Nick Clegg, and the Labour leader Edrecentlyaonresfasmtophneeeecd5te0dmpouMsbtliicnialftlliuioebnnatAianflridAcafraRicelalpnossrebt.ynttheconTtIhngoewr2c0aeo1rtm0Hu,maDlmuaanhlteiaottbysrsAahynwiidlamrwindoe2fnos0rt0she8aex, gcMMeelarlseyDno.”urceaolifen was named Top Manager of the Year byOver a period of 20 years, Mr Duale the International Association of Moneyhas founded new companies in Africa, Transfer Networks.Europe, the Middle East and NorthAmerica. He is involved in communityregeneration projects in Africa and else- Mr. Duale also serves on various advisorywhere in the world, in which Dahabshiil boards including at the Humanitarian In-invests a substantial amount of its profits novation Project (HIP), a research projecteach year. Mr Duale is a regular keynote based at the Refugee Studies Centre, Uni-speaker at international conferences. versity of Oxford and the International Association of Money Transfer Networks (IAMTN) which represents Money Trans-He has spoken about remittances, tel- fer Industry/Payment Institutions acrossecommunications, emerging markets and the globe. 25

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THE HORN MAGAZINE | 2015 How to Open a New Restaurant Many people dream of opening their own restaurant. If you happen to be one of those people, here is a step by step guide to get you started.28

2015 | THE HORN MAGAZINE1. Decide on a Restaurant Concept taurant you want to open.The first step in opening a new 2. Select a Restaurant Locationrestaurant is deciding what type of Location, location, location. It canrestaurant it is going to be. Are you make or break a restaurant. Beforelooking at opening a high-end fine you run and sign a lease for your res-dining restaurant? A casual diner? Do taurant location, do your homework.you have a specific type of cuisine you Is the restaurant location in a busyplan to serve, such Eritrean, Ethio- area with plenty of foot traffic? If not,pian, Somali, Sudanes or other type of is there enough parking? Have tencuisine? Perhaps you want to special- other restaurants come and gone inise in one area, vegetarian or vegan. the same spot? (Warning bells shouldBefore you move onto step two, you be loud and clear if that is the case.)first need to define what kind of res- 29

THE HORN MAGAZINE | 20153. Choose a Restaurant Name keeping practicality in mind.Probably the most fun step in opening 8. Write a Restaurant Menua new restaurant! Select a restaurant A well-written restaurant menuname that means something. It can be should be both descriptive, easy toa reflection of your theme or location read and have a clear, uncluttered. layout. A few things to avoid on a4. Write a Restaurant Business restaurant menu include clip art andPlan too many disclaimers.There are two important reasons you 9. Stock your Restaurantneed a restaurant business plan. One, Once you have your restaurant designIt helps you see big fat problems in down, you can start purchasingyour restaurant plan, like not a big commercial kitchen equipment andenough population base or a bad loca- furniture for your dining area andtion and two, no bank in their right other areas in the front of the house.mind will finance you without one. To save money, consider buying used5. Find Solid Financing equipment, as well as leasing certainFinancing issue is the step that stops items. Commercial equipment withmost people from actually opening the energy saving facilities can costtheir own restaurant. Although it is more at first, but usually pay for itselfincreasingly harder to get financing in as little as one year.for a restaurant, it is not impossible. 10. Hire Restaurant StaffBetween banks, small business agen- As you get closer to opening daycies and private investors, financing is you need to begin hiring for bothpossible. But you need to show up to the kitchen and floor. Kitchen staff,your interview prepared and profes- waiting staff and bartenders are allsionally, showing potential investors integral parts of any restaurant, andthat you know what you are doing. you want to hire the perfect person6. Apply for Licenses and Permits for each position.Many licenses and permits take sever- 11. Get the Word Out About Youral weeks, even months to be approved. New RestaurantSo as soon as you know you are good Advertising is a must for most newto go with your financing you should restaurants. Supplement traditionalstart filling the paperwork. advertising, such as newspapers and7. Design the Restaurant radio ads, with new media. Don’tA large empty space quickly fills up overlook the power of a good websitewhen you start adding commercial for your restaurant. Use social mediakitchens, walk-in refrigerators, a bar sites like Facebook, Twitter, Instagramand bathrooms. The design of a res- and etc to spread the word about yourtaurant should be a balance between new place.aesthetics and seating capacity, always30

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