North Macedonia: Business-Technology Accelerator UKIM (BAU)
Fund for Innovations and Technology Development of the Republic Macedonia
2019
- 2025
Funded by the Fund for Innovations and Technology Development of the Republic Macedonia, Crimson, Ss. Cyril and Methodius University (UKIM), RSM Macedonia, and the Foundation Stamboliev, established the Business-Technology Accelerator UKIM (BAU). BAU is designed to help technological entrepreneurs, startups, and spinoffs from the university and beyond to scale up to international markets, through the provision of business and technology acceleration services, and smart investments.
BAU offers pre-acceleration and acceleration programs, and manages a €530,000 fund for pre-seed and seed investments and early stage financing for technological entrepreneurs, startups and spinoffs. The Crimson Development Foundation is one of BAU’s principal founders and is providing support to BAU’s day-to-day operations and management of the accelerator’s investment portfolio. In addition, CDF is assisting BAU with the design of its acceleration programs, operational procedures, and investment/financing mechanisms and instruments.
Western Balkan Green Economy Financing Facility (WB GEFF)
EBRD, the Austrian Ministry of Finance and the European Union
2017
- 2025
Funded by the European Bank for
Reconstruction and Development (EBRD), the Austrian Ministry of Finance
and the European Union, the Western Balkan Green Economy Financing
Facility (WB GEFF) is a €85 million on-lending facility, designed to
support investments in energy efficiency and renewable energy in the
residential building sector in the Western Balkan region. Crimson is
supporting implementation of WB GEFF through key senior management and
partner-bank liaison positions in Albania, Bosnia & Herzegovina,
Kosovo, Macedonia, Montenegro and Serbia.
Macedonia SME Commercial Finance Fund
USAID, NORFUND, Crimson Capital
2003
- Ongoing
Crimson designed and manages this $4 million fund that provides innovative, short-term working capital finance products to small and medium sized enterprises (SMEs) in Macedonia. The Fund directly targets the problem of the “missing middle” in which vast majority of companies in developing countries cannot obtain short-term working capital financing needed to grow, employ more people, increase exports, and become competitive and viable for the long-term. The Fund utilizes products such as Purchase Order Finance and pre-export financing to address the lending needs of the SME sector. In 2012, the Fund received an additional $300,000 from USAID Macedonia to establish an Innovation Financing Vehicle (IFV) designed to support business innovation and start-ups.
To date, the Fund has made loans totaling more than $40 million to Macedonian SMEs, supporting d more than 7,000 new jobs, including over 3,750 jobs for women and 400 for minorities. The Fund extends loans to all regions of Macedonia, and targets all major sectors of the economy, including light manufacturing, trade, textiles, ICT, retail, agriculture, food processing and construction, but particularly targets SMEs under that are not being adequately served by existing financial institutions, including rural businesses, entrepreneurs and enterprises owned by women and minorities. The Fund has played a key role in the expansion and growth of SME activities in Macedonia.
Macedonia Agribusiness Activity (AgBiz)
USAID
2007
- 2010
The primary objective of USAID’s
AgBiz Program was to sustainably increase the competitiveness of
Macedonian agribusiness producers, processers and traders in selected
agribusiness value chains. The AgBiz team worked to help Macedonian
agribusinesses enter export markets for value added food products,
enhance market linkages along the selected value chains, improve
business management and operations, build income-generating
opportunities for agribusinesses and create new employment.
Crimson worked through a subcontract to ARD on AgBiz to help Macedonian
agribusinesses source capital, enable them to expand and improve
production, and increase sales. Crimson experts assisted agribusinesses
access over $7.4 million in debt financing and over $9 million in equity
to expand their operations and complete trade deals. To further support
agribusinesses source capital, Crimson experts developed the Finance
Guide for Agribusinesses and SMEs. The guide provides detailed
explanation of the financial products and services available to
Macedonian agribusinesses and practical information on how to apply for
them.
The Crimson team also assisted fresh fruit and vegetables producers and
marketers to improve their processes, install more efficient drip
irrigation systems, upgrade storage facilities, and enhance their export
marketing capabilities. Crimson experts organized six study tours (in
South Africa, Israel, USA, Holland, Poland and Croatia) with a focus on
pre/post harvest handling of fresh products. In addition, Crimson
organized seven B2B meetings and assisted Macedonian exporters
participate in three trade fairs, including Fruit Logistica Berlin,
World Food Moscow, and Novi Sad International Agricultural Fair. As a
result, Macedonian agribusinesses increased sales by over $12.5 million
in just three years. To further promote international competiveness,
Crimson experts assisted agricultural producers and processors implement
HACCAP, ISO 20,000 and Global Gap.
Crimson also assisted the establishment of the Macedonian Agro Exporters
Association (MAEA), the first trade association in Macedonia
representing fresh fruits and vegetables exporting companies.
Privatization and Restructuring of the Macedonia Electricity Company (Elektrostopantsvo na Makedonija ESM)
Government of Macedonia
2002
- 2006
Under this initiative, Crimson was the co-lead
investment bank with the Meinl Bank Consortium (MBC), and advised the
Government of Macedonia (GOM) on the unbundling, restructuring, and
privatization of the vertically integrated electric power utility ESM.
The project targeted reform of the legal and policy framework for the
energy sector and restructuring of the regional electricity market and
worked towards compliance with the Athens Protocol. Program components
included: Creating detailed restructuring plans
Assuring due diligence in technical, commercial, financial, tax, and legal frameworks
Delivering recommendations on the structure and regulation of the electricity market in line with European standards
Preparing and implementing actual restructuring and privatization
Crimson assisted the GOM in obtaining a key $45 million USD
pre-privatization investment from the EBRD for ESM and was a member of
the government’s steering committee for the restructuring and
privatization of the energy sector. On March 17, 2006, the GOM approved
the sale of 90% of AD ESM, the Macedonian Electricity Distribution
Company, to the Austrian utility EVN AG for €225 million, along with an
investment commitment of €96 million. This sale represents a regional
record price per distribution customer. European and Macedonian press
and Transparency International praised the transaction as a successful
model of privatization.
Macedonian Business Resource Center (MBRC)
USAID
1995
- 2003
USAID and Crimson established the MBRC to help
Macedonian businesses streamline and strengthen their competitiveness,
financial management, operations, service delivery, and marketing. The
project enhanced local ability to export their products, raise capital
and attract join venture partnerships.
Over 350 companies benefited from improvements and restructuring, and
the MBRC trained 4,500 local managers, consultants, and government
officials in 40 key subject areas. During the last three years of the
project, MBRC facilitated over $95 million in trade and investment in
more than 1,100 transactions. The MBRC also focused on capacity
building, and incubated and spun out six independent, sustainable local
entities which are now 100% self-supporting, including 4 consulting
firms and 2 NGOs.
