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Empowering Social Entrepreneurs in Emerging Markets: Lessons from YSB Uganda (2015-2019)

With the USAID Development Experience Clearinghouse (DEC) offline, the responsibility of sharing development impact stories increasingly falls to implementers and advisors. The experience of YSB Uganda offers valuable lessons that deserve to be amplified, not only to build institutional memory but to inform future entrepreneurship and private sector engagement efforts. At ALD Strategic Advisory, we are committed to spotlighting proven models, such as YSB, that bridge economic opportunity gaps, particularly for women-led and inclusive enterprises, ensuring that these insights continue to shape impactful development programming.


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Project Summary: USAID & YSB Uganda

Between 2015 and 2019, Yunus Social Business (YSB) Uganda—supported by USAID’s Partnering to Accelerate Entrepreneurship (PACE) Initiative—launched a blended model of acceleration and patient capital for early-stage social businesses. The program targeted youth- and women-led enterprises with high-impact potential across agriculture, health, education, and clean energy sectors.

The approach is integrated:

  • Intensive BDS and Acceleration Programs

  • Small Debt Investments for Scale

  • Post-investment Advisory Services

  • Portfolio Impact Monitoring and Learning


What We Learned

YSB Uganda demonstrated how localized, adaptable support structures can unlock significant social and economic value—even in risk-sensitive markets.


One of the clearest lessons from the YSB Uganda experience is that capital alone is not enough—capacity must accompany investment to unlock real impact. Entrepreneurs thrive when funding is paired with tailored business development services, hands-on mentorship, and clear accountability frameworks. This blend not only strengthens business fundamentals but also increases the likelihood that investments lead to sustainable growth and meaningful social outcomes. Another key learning was the importance of focusing on the maturity of the enterprise, not just its mission. While early-stage ideas are vital to an ecosystem’s dynamism, YSB found that channeling resources toward businesses that had already demonstrated traction and investment readiness produced greater returns in both financial and social terms. By adjusting its model to prioritize more mature ventures, YSB deepened its economic impact and reduced the risk of business failure.


Throughout the program, YSB recognized that gender-smart support is essential to achieving inclusive growth. Many women entrepreneurs faced structural barriers that required intentional solutions, including targeted outreach, flexible scheduling, and access to women mentors and peer networks. By embedding these practices into program design, YSB significantly increased women’s participation and the success rates of women-led businesses. Finally, YSB demonstrated the value of measuring what truly counts. While financial metrics like revenue and investment remain important, the program’s real insight came from tracking broader indicators such as income stability, business survival rates, and the strength of ecosystem relationships. These metrics provided a fuller picture of impact and helped inform continuous learning and adaptation throughout the program’s lifecycle.


Key Project Outcomes:

  • 601 full-time jobs created, 32% for women and 74% for youth.

  • 8,883 micro-entrepreneurs supported across rural communities.

  • 2.3 million customers reached with improved goods and services.

  • $2.78M in private capital mobilized, exceeding targets by 85%.

  • $3.85M in revenues generated by supported social businesses.


Applying the Model to Central America

For policymakers and funders operating in Guatemala, Honduras, El Salvador, and beyond, the YSB model offers a powerful template for mobilizing SGBs and inclusive growth. What’s needed:

  • Localized Accelerator Networks with embedded post-investment support.

  • Flexible Finance Facilities blending grants, catalytic debt, and first-loss capital.

  • Gender-Intentional Ecosystem Design that closes gaps for underrepresented founders.

  • Cross-Sector Alliances uniting donors, banks, ESOs, and diaspora investors.

  • Robust MEL Systems that support adaptive learning and scalable impact.


How ALD Strategic Advisory Can Help

At ALD Strategic Advisory, we bring firsthand experience designing and managing USAID’s entrepreneurial ecosystem initiatives, including the GEDI and CEO projects in Guatemala. Our firm works with clients to:

  • Design regional investment readiness programs with gender-smart frameworks.

  • Structure catalytic funds and blended finance vehicles.

  • Facilitate investor-donor partnerships across borders.

  • Conduct MEL and learning reviews to inform portfolio pivots.

  • Align trade and investment policy to unlock value chain participation.


We don’t just consult—we co-create systems that work on the ground. Let’s build on the legacy of YSB Uganda to accelerate inclusive entrepreneurship across Central America.


 
 
 

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