By Mulengera Reporters
Small and medium enterprises (SMEs), often described as the backbone of Uganda’s economy, were placed firmly in the spotlight during the TUPANGE Business Ne Equity Bank forum in Mbale held on August 19, where entrepreneurs and experts distilled eight game-changing lessons for business survival and growth.
The event, which drew bankers, business leaders, and academics, was a wake-up call for SMEs to stop treading water and instead harness tools such as value chain financing, digitalization, and strategic partnerships. With the country’s SME failure rate standing at a staggering 53%, the forum struck a timely chord, that without innovation and collaboration, businesses risk falling by the wayside.
The Bank’s Executive Director, Commercial, Claver Serumaga, set the tone, stressing that scaling up requires more than loans. “SMEs need tailored financial products, technical support, and compliance know-how,” he noted.
Other speakers, including Olivia Mugaba, the bank’s Head of SME, and industry leaders like Saleh Naminya of Casa Uganda Safaris, unpacked practical solutions that had worked in the trenches.
One recurring theme was value chain financing, a lifeline that allows businesses to finance not just themselves, but their entire supply chain. By giving SMEs access to stock financing and mobile-based credit lines, banks enable firms to pay suppliers promptly, win bigger contracts, and maintain credibility.
As one case study showed, a local business grew its credit line fivefold, from UGX 20 million to UGX 100 million, by combining consistent performance with trusted partnerships, including Coca-Cola.
Technology was also touted as a game changer. Point-of-sale machines, mobile banking, and digital records were highlighted as non-negotiables for firms eyeing international clients.
“Running a modern business with outdated tools is like trying to catch fish with your bare hands,” one panelist quipped.
But money and technology alone won’t do the trick. Speakers hammered home the need for ecosystem collaboration across sectors such as tourism, agriculture, and manufacturing. A tourism operator, for instance, can’t thrive without reliable transport and quality produce, a reminder that no business is an island.
The forum also shone a light on tax compliance, urging SMEs to bite the bullet and formalize operations. Proper registration, participants were told, is the golden key to government incentives and exemptions.
Meanwhile, financial literacy emerged as another Achilles’ heel, and entrepreneurs were advised to seek training, avoid nepotism in hiring, and consult experts to dodge costly mistakes.
At the heart of all these lessons was the issue of sustainability and market access. With limited working capital often forcing SMEs to close shop, innovative products like invoice financing were showcased as solutions. Equally, the push to tap international markets through trade fairs was portrayed as essential for long-term survival.
The Mbale gathering was more than a talk shop, but a roadmap. By marrying financing with knowledge, compliance with innovation, and individual ambition with collective strength, the forum gave SMEs a fighting chance to turn the corner.
The next stop for the TUPANGE Business Ne Equity Bank series will be Arua on August 21, 2025, where the conversation continues on how to build resilient, competitive enterprises.
