By PETER EGWUATU

GroFin, the  multinational pioneer of finance for Small and Medium Scale Enterprises (SMEs) has announced that it has committed $323 million in over 350 businesses across Africa and the Middle East to date.

Guido Boysen, Chief Executive Officer of GroFin Africa states, said, “We are thrilled to reach this significant milestone, which illustrates the sheer volume of SMEs we have been able to support through our pioneering model with risk capital and business development assistance.

“These businesses span a wide range of sectors, business stages and countries. Our continuous increase in operational capacity and coverage makes us the largest multi country investor. Despite difficult economic times we have increased our annual investment pace well beyond a hundred transactions a year.”

GroFin’s funding of up to $1.5 million per transaction is invested in supporting entrepreneurs and business owners to start or grow a business. With an increase in funds under management, the GroFin Group is poised to open several new offices in 2012 and 2013.

GroFin Africa will soon have an additional office in Zambia in addition to its existing nine offices , whilst GroFin MENA (Middle East and North Africa)  opened their regional office in the UAE in May, Jordan will open in September with a further three country offices opening in the next two years in addition to the existing Oman office.

GroFin has established a reputation of being a leading provider of start-up and growth investment and business support to entrepreneurs and business owners in Africa and the MENA region.

GroFin’s choice to invest in entrepreneurs and businesses that are locally owned and managed in the markets in which it operates, is rooted in the vision that these businesses hold the potential to create sustainable economic and social impact.

However while this sector of the market is theoretically best able to empower and mobilise societies, the majority of these businesses fail to survive past their early years of operation if they cannot access finance and business support. Its unique viability based model is recognised as a pioneering model globally in the provision of an integrated solution of risk finance and business development assistance.

The success of the GroFin business model has been recognised by the UN Development Programme, who recognised GroFin for its contribution to developing local businesses, and in so doing promoting the Millennium Development Goals. The business also won the Africa Investor Awards consecutively for two years. The GroFin model is furthermore widely used as a benchmark and role model for growth finance to SMEs.

Guido concludes “We have a strong foundation in place, a proven and scalable model and a firm commitment to make a lasting impact in the growth of the SME sector.