An entrepreneur must do her homework with patience. When I was in high school and college in the United States, I spent many of my summer breaks in Ethiopia, where I had the opportunity to spend time as an intern for private companies and the Ethiopian Government, and to volunteer for various NGOs. These unique experiences gave me an insider’s glimpse of different Ethiopian work environments and allowed me to reconnect culturally and emotionally, as well as to gain an understanding of the challenges present in the region. I also collected cold facts and research, delivering my university economics thesis on Ethiopia’s manufacturing sector.
After graduating from George Washington University in Washington DC, I worked for a government agency and then Ashoka, an NGO that promotes social entrepreneurship. The Ashoka fellows, who shared their experiences as entrepreneurs, inspired me and I increasingly felt the risk-reward trade-off between gaining additional, entry-level work- experience and launching a business in Ethiopia tipping towards the latter. I had planned to gain a few years of work experience before earning a graduate degree but my timeline changed. I decided to move to Addis Ababa to start ZAAF, a company focused on producing and marketing high quality leather goods crafted by Ethiopian artisans.
I’m not entirely convinced that entrepreneurs love risk, but we do respect it. It would be foolish not to attempt to quantify risk. In my own case, I needed to evaluate how much I was willing to lose before committing to launching my own business. This meant taking stock of my personal and professional reputations, my finances and of course, my precious time. If I did not understand how to leverage each of these wisely or effectively when I became my own boss, I would create a path for failure. I also understood that it is impossible to be completely prepared, especially in an environment of incomplete market information like Ethiopia.
But at a certain point an entrepreneur must jump. Just talking about an idea and accumulating knowledge about starting a business wasn’t going to get me anywhere. I had the good fortune of growing up in a large household of natural entrepreneurs who greatly inspired me towards concrete action. I made it clear to friends and family that I was serious about starting a business and willing to take the risks. For me, this meant moving to Addis Ababa, Ethiopia’s capital, making cold calls, visiting tanneries and building personal relationships with those involved in the business. I quickly learnt that launching and growing my business required unrelenting focus if I really wanted to see results. My return to Ethiopia was a “tough love” kind of welcome but it put me in a position to progressively deliver against my goals.
Social media expert and author Scott Allen has quipped: “Done is better than perfect.” This was my first learning curve. Being a perfectionist is well regarded in many creative industry work environments. It shows you are dedicated and passionate about your work. I tend to be this way. However, I came to understand that in the context of decision-making, this quality could be a disadvantage for an entrepreneur. Getting wrapped up in minute details of my work can mean I miss the big picture. When running a start-up business, you wear dozens of different hats, so you have to be prudent in how you allocate your time and focus. This doesn’t mean settling for a mediocre product or strategy but rather determining which details has an impact and which are insignificant.
As most things in Ethiopia revolve around friendship and family, I learnt to build a sincere and honest relationship before working with anyone. This was my second learning curve. Without first building strong relationships it is difficult to get things done and to open up other opportunities. This can even be very costly. In Ethiopia, business laws and regulations are constantly changing and not always well implemented. Here your networks keep you informed and protected in an evolving and at times ambiguous environment. Furthermore, many of the artisans I work with don’t necessarily have an office and require 50 percent of payment upfront before a service is delivered. I have had experiences where people disappeared on me after I paid a hefty advance. It’s good to know whom you’re working with before you enter into agreements. It’s also essential to provide incentives for people you work with so that they won’t imperil your business
Finally, I have learnt that I need to understand what real cost effectiveness means. I make an effort to do most things on my own to keep costs down but there are limits. It is essential to delegate certain responsibilities to others who are able to do things more efficiently than me. In the long run, some of these decisions turn out to be a crucial investment towards future success.
My company is still in its early growth stage and I still have a lot to learn but that motivates me. There are few things I can think of that are more rewarding and inspiring than applying my skills and experience to the largely untapped space of creating luxury accessories in Ethiopia. It is a privilege to be associated with skilled artisans and the many talented people who are part of the value chain for the products my company brings to the market. I’m fortunate to have been given a unique and privileged set of experiences and the vision to invest them back into my country of birth.
