Although the process of starting a business is relatively challenging and requires some legal and economic consideration this can be very rewarding in Ghana. Below are some simple guidelines to assist you with the process they are as follows;
1. Business Registration
The legal procedure to begin a business in Ghana requires the business to be registered in the Registrar General Department. Follow these steps:
- Choose a Business Structure: Choose whether to apply for registration for becoming a sole trader, partnership or limited liability company.
- Name Your Business: Visit the Registry of Companies to search for your desired business name to confirm on its availability.
- Submit Required Documents: Complete some paperwork and submit documents like ID, proof of business address, and LLC operating agreement (for LLC entities).
- Obtain a Tax Identification Number (TIN): This can be gotten from the GRA and every person doing business in Ghana requires a TIN.
- Pay Registration Fees: Depending on your business type you pay differently ranging from membership fees to certain amount of money depending on your business type.
- Get a Business Operating Permit: This is available from the Local Government Authority of your local area of residence.
2. Challenges for Startups
- Access to Finance: One of the biggest challenges most business owners face is the challenge of financing with most of the popular financial institutions demanding collateral.
- Bureaucracy: Drawing permits and going through various regulations may take a long time.
- Infrastructure: The roads are poorly developed in most of the countries; electric power is unpredictable or non-existent in many places; Internet connectivity is similarly sparse in many areas, especially outside of urban centers.
3. Opportunities for Startups
- Growing Middle Class: That is the middle income population increases their purchasing power, create market opportunities for startups in retail, technology and Health sectors.
- Government Support: Some examples are the National Entrepreneurship and Innovation Plan (NEIP) which provide capital and coaching to young businesses.
- Tech and E-Commerce Boom: The new economy has opened opportunity for new entrant entrepreneurs, such as web-based businesses, financial services, and mobile applications.
Profiles of Successful Ghanaian Entrepreneurs
Many people have come up to be locally owned businesses, thereby being role models for many people starting businesses. Some of the greatness’s of this world are:
1. Dr. Kwabena Duffuor – Banking Pioneer
Kwabena Duffuor’s biography shows that he established uniBank Ghana and served as governor for the Bank of Ghana. Kwabena Duffuor originally entered into business in the area of finance; he contributed immensely towards the development of the banking industry in Ghana. Under his leadership, uniBank became one of the biggest African owned banks before its merger with CBG Dr. Duffuor builds on his knowledge of the economic environment and the specific needs that are unmet in the market.
2. Patricia Poku-Diaby – Cocoa Tycoon
Ms. Patricia Poku-Diaby is the Chief Executive Officer of the Plot Enterprise Ghana limited, a cocoa processing company. Born into a trading family she was initially in the business and diversified into cocoa processing, an important sector in Ghana. During her tenure, Plot Enterprise also divested and currently sells cocoa products in the global market. This paper concludes that there is much that could be learned from Patricia’s journey with regard to exploiting the potential of Ghana’s natural resources for economic development.
3. Fred Swaniker – Education Innovator
Fred Swaniker established the African Leadership Academy and the African Leadership University that seek to educate African leaders of the future. Born in Ghana, Swaniker has transformed education in Africa by providing unique courses that are in leadership, entrepreneurship, and making positive changes. Fred Swaniker's work is excellent evidence of how education can be an effective weapon in the change of the economy.
Digital Innovation in Ghana: Shaping the Future of Business
Ghana is now widely recognized as a technology center where technology is changing the business of different industries such as financial services, farming, health and education.
1. Fintech Revolution
Mobile money and other financial technology (fintech) sub-sectors such as agents banking, mobile payments and transfers, have grown very rapidly in the country with the existence of MTN Mobile Money and Vodafone Cash. These platforms have a played an important role by providing banking services to several millions especially in areas where there is little or no banking supporters. Other startups such as Hubtel and ExpressPay are emulating mobile payments and e-commerce making it easier and creating channels for business to open their markets and capture their markets.
2. E-Commerce Boom
The current Ghanaian e- commerce market has indicated growth with some of the most prominent players being Jumia and Tonaton. Customers buying electronic goods, clothing accessories, and groceries are among those that have increasingly turned to purchasing products online in Ghana. This trend has the potential of a new niche on the market for beginner entrepreneurs providing tech-savvy consumers with products and services. Mobile money makes payment processes easier and this goes along with the ease of using online shopping.
3. Agri-Tech and Smart Farming
In the agriculture sector, the government is helping farmers to improve the yields because of digital innovation through agro-tech solutions. Farmerline and Esoko are examples of companies that offer farmers mobile access to markets, prices, weather, and farming tips. These interventions are increasing yields while also offsetting risks and making it possible for smallholder farmers to play a more significant role in the economy.
4. E-Health Solutions
Telemedicine and other digital health platforms are also transforming the health industry in Ghana. The examples include; mPharma and Zipline which is improving access to medicines and health-care delivery respectively through technology. For instance, Zipline employs drones for the delivery of medical products meaning that critical drugs get to the clients on time. Innovations such as these digital health solutions are helping overcome the issues of access that have consistently caused concern in healthcare services delivery.
Conclusion
This piece seeks to understand the general environment surrounding entrepreneurship in Ghana and the challenges as well as opportunities that comes with it. However, there remain many challenges preventing solo entrepreneurs from growing their business, including access to money and propriety; there is nevertheless increasing multiplicity and spectacles from the virtual world and authorities. Using Lessons from Successful Entrepreneurs and Leveraging on Technology: A Possibility of Ghanaian Startups to foster economic development.