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enterprises that were destroyed or weakened by the crisis, or they may intend to start up
new enterprises in the post-crisis context. The selection process may include quotas, as
appropriate to the local context, to ensure the inclusion of women, youth, refugees and
internally displaced people, ex-combatants, and other vulnerable or excluded groups.
This process may also prioritize applicants with clear entrepreneurial knowledge, skills,
experience, and motivation. UNDP supports pro-poor programming, so the project may
target community members with the lowest income, as identified, for example, through a
participatory wealth ranking exercise. When targeted at youth, livelihood start-up projects
can be a cost-effective way to enhance security (especially in areas where some youth
are potential or ex-combatants) and to empower young people.
Once participants are selected, project facilitators should assist them in preparing
proposals for start-up grants and packages. The format for business proposals, as with
other project documentation, needs to be tailored to the specific context. The proposals
should follow a simple format, constituting just one or two pages, to allow for the rapid
delivery of support. The format could include, for example, business product(s), market
opportunities, operating procedures, labour and materials required, a plan for the use
of the start-up grant or package, potential profits on a daily or monthly basis, expected
impact on the environment, and a strategy for sustainability. Even participants who are
illiterate are expected to submit a simple business proposal. Making this possible is the
role of project facilitators.
A committee is usually established, consisting of key stakeholders from the government,
civil society, crisis-affected communities, and the international community, to assess the
proposals. The criteria should ensure that successful proposals have business plans that are
well defined, clear, practical, and environmentally responsible. As an example, the selected
enterprises could be required to meet a designated number of the following criteria:
• The goods they produce or services they provide are likely to have a robust market
in the aftermath of the crisis
• The equipment, inputs, technology, and access to finance needed for their continued
operation after the start-up period are expected to be available
• They are expected to have a positive impact on the lives and livelihoods of a large
number of crisis-affected people, including those they employ
• They are expected to have a role in informing policy development
• Their development is replicable in similar settings
• Their operations are environmentally friendly
• A critical mass of women and youth participate in decision-making on their operation
and the use of their profits
• They are part of a “product-centric cluster” (a concentration of enterprises engaged
in similar or complementary activities). 27
It is often the case that start-up grants and packages can help to support green jobs.
Green jobs contribute to preserving or restoring environmental quality by, for example,
helping to protect and restore ecosystems and biodiversity, promoting a low-carbon
economy, reducing or avoiding the generation of waste and pollution, and/or reducing
the consumption of energy, materials, and water.
Payment methods and transfer mechanisms (e.g., mobile money transfer) need to be
discussed and agreed upon with the government, communities, and the entrepreneurs
27 Experience has shown that a large number
of small enterprises can develop commercial
strengths that are similar to those of large companies.
Livelihoods & Economic Recovery in Crisis Situations