The state of Entrepreneurship in Sierra Leone

Notes from an entrepreneurial enthusiast

Global interest in Entrepreneurship has risen in recent years as policy-makers recognize its strategic significance for economic growth and development. The predominant focus has been, creating a favorable environment for entrepreneurial development; the entrepreneurial ecosystem. Like other developing economies, Sierra Leone is experiencing an entrepreneurial awakening in its efforts to partake in the global entrepreneurial ecosystem-building trend. This article will briefly review the state of entrepreneurship in Sierra Leone.

What is the entrepreneurial ecosystem?

Unlike preceding approaches which concentrate on the firm, the entrepreneurial ecosystem sees the individual entrepreneur as the central player and emphasizes on the roles of the political, economic and social contexts on the entrepreneurial process.

It seeks to establish a network of supporting elements and resources, all of which are equally significant in ensuring the entrepreneur is empowered, and value-creating ideas and start-ups are nurtured into success. It is characterized by entrepreneurial advocates who recommend and urge policy-makers to implement favorable or entrepreneurial-friendly policies, investors who believe in, and are willing to bet their money on value-creating ideas and start-ups, readily available market intelligence, organizations to provide skills and personal development opportunities, storytellers, mentors and coaches willing to provide relevant advice and support, and incubators/accelerators to catalyze the entrepreneurial network.

Previous state of entrepreneurship in Sierra Leone

Sierra Leone’s business community has been largely dominated by rent-seekers, commonly known as “businessman.” characterized by much older individuals, usually above average income, travel overseas frequently to buy general merchandise and resell at wholesale or retail prices. Rent-seeking entrepreneurship is generally very profitable. However, the capability to generate jobs, create and deliver value, be sustainable and foster economic development becomes very questionable. Notwithstanding, Sierra Leone is experiencing an entrepreneurial awakening. An evolution from rent-seeking to value-creation is at hand.

This is a crucial and an exciting period for entrepreneurial enthusiasts and Sierra Leoneans at large. It is logical to postulate that the unremitting frustrations caused by a worsening economy, lack of jobs for an increasing number of graduates, very low wages for those lucky enough to secure jobs, and lost hope for a political saviour laid the foundation for the emergence of a value-creating, high-potential, high growth, high impact entrepreneurs, ignited by the global entrepreneurial trend. This is all the more spectacular as this emergence is dominated by young people.

Enabling a nascent ecosystem for the emerging value-creators

The need for an enabled, robust and productive entrepreneurial ecosystem becomes absolute as the surging urge to create value, solve social problems, create wealth and be recognized takes over the young people. An enabled ecosystem will not only fuel their desires to contribute to economic development, it will also guide them, eliminate some of the many frustrations entrepreneurs go through, and improve their chances of success. In order to create a robust and a thriving ecosystem, a few issues have to be addressed. Some of which include;
1) The talks

The first step to enable and build Sierra Leone’s entrepreneurial ecosystem is for all stakeholders to engage in candid conversations on entrepreneurship, skills development, entrepreneurial-friendly policies and the entrepreneurial ecosystem. Commendably, such conversations seem to have dominated Sierra Leone’s TV programs, public seminars, radio programs, and social media recently. In addition, the establishment of the Directorate of Science, Technology and Innovation(DSTI) is a significant indication of entrepreneurship and innovation being a priority at a national level. Notably, the private sector is enthused and motivated to develop self- sustaining profit-driven, demand markets. This is evident through the emergence of business incubators and accelerators, creative hubs, and other programs for entrepreneurs.

2) Mapping the ecosystem

One of the challenges in enabling the ecosystem in Sierra Leone is the great disconnect that exist among entrepreneurial players. Sierra Leoneans are “hush” type of people. They work in silos simply because the culture to bring talents and disruptive innovations to public knowledge and celebrate creativity is lacking. This is subtly frowned at and seen as being boastful. Fortunately, the increase in networking events in the country has been a significant leap towards mapping the ecosystem by identifying, clarifying and noting down key players.

3) Prioritizing high potential entrepreneurs

In trying to promote and finance entrepreneurship, limited resources are usually being spread among countless of base of the pyramid ventures. This is quite true especially in the case of micro-finance institutions. Though such strategy contributes to increase in domestic revenue, a re-allocation prioritizing high potential, high growth ventures is highly recommended. High potential ventures are scalable, export oriented, generate sales and create jobs at a greater scale, and are based on innovation. Significantly, they have a high social and economic impact.

4) Reinventing an entrepreneurial-friendly Culture

a) encourage risk taking and failure. Entrepreneurs should not be ashamed of, frown at or fear failure. Rather, they should acquire the habit of risk taking, learn to experiment and make mistakes.
b) discourage rent-seeking and encourage innovative, high potential, high impact entrepreneurship.
c) encourage story-telling; recognize, commend and celebrate entrepreneurial success.

Conclusion

Sierra Leone’s entrepreneurial ecosystem is very young, yet holds great potential towards contributing to economic growth and development provided effective home-grown solutions are implemented. Situated along the coast of the Atlantic Ocean, blessed with a beautiful topography, rich soil, rich in minerals, beautiful climate, the country can thrive in tourism, agriculture and fishery, and mining industries respectively.