Finding the financial support a business is just starting or is in the early phase of development is among the biggest challenges to entrepreneurs. When lacking one’s own financial means and being unable to get a loan from a bank or other sources, angel investors can be an alternative source of financing of businesses. Angel investors are successful entrepreneurs who invest their money and time, and share their knowledge and experience with those who either only have a business idea or are leading a business they want to develop further. Such investors are usually in the same profession as the business they are supporting, and aside of money, they help with contacts in the business community, as well as provide business advice. Even though there are different types of support for women-owned businesses, in Bosnia and Herzegovina they are, in general, significantly leaning on informal support when starting their businesses, such as financial support of family or friends, reveals an unpublished study on resilience to crises of businesses owned by women in BiH. The study was conducted in 2021 within the project „Economic empowerment of women – rebuilding better” which is being implemented by UN Women and Foundation 787 with the financial support of United Kingdom government. Among the ways of financing a business, women entrepreneurs in Bosnia and Herzegovina have access to gender sensitive programmes of international donors through commercial banks and microcredit organisations, reveals the study, adding that additional ways of financing are needed. Amra Humačkić - Omeragić „Women turn to crowdfunding as well, even though  possibilities for that are limited in BiH, due to legal regulations which don’t allow for such financing. The time needed to get a loan in a bank with expensive documentation and bureaucratic demands makes the women entrepreneurs in BiH turn to microcredit organisations as alternative sources of financing”, the study finds, adding that “there is a lack of investment such as angel business investors, venture capital, etc., which constrains specifically younger businesses in their scale-up.“ Network of business angels in BiH A community of business angels in Bosnia and Herzegovina still doesn’t exist formally, but this year a significant move was made towards its creation. Organised by Foundation 787, the Business Angel Summit 2022 was held in Sarajevo in February, and gathered representatives of companies from Bosnia and Herzegovina, the region and potential international investors. One of the goals of the gathering was to set up a network of business angels in BiH which would largely help make investment partnerships happen in the future, but also promote such possibilities to both those who invest and those who seek financial support for their business. The director of Foundation 787, Dajana Džindo, explains that business angels usually invest in early phases of development of a business and finance even those who only have a business idea or someone who just started working, but still don’t have a company which can be financed in a typical way. She adds that such investors usually invest smaller amounts, from 10.000 to 100.000 BAM or USD, and it is possible also for several investors to unite in an investment into a small business. Fondacija 787 „What is characteristic for them is that they are not only giving money but also their time, knowledge and contacts. They are opening the doors to new markets and they are open to sharing their success and contacts. The companies often look for angels from a certain market they want to get in. It is a lot easier when you have a business angel in a country where you want to do business,“ Džindo says. „Angels often primarily invest in businesses from their own countries and most often have a few sectors in which they are most relaxed and where it’s easiest to invest, which does not mean they would not invest in other sectors.“ There were attempts to formalise an association of angel investors in the past, but such an initiative did not live on. In the meantime, there were investments on a similar principle like angel investment, but on an individual level and through personal connections. The idea of forming a network of business angels is useful for setting up connections and communication of companies that need investment and those who would invest their money and advice gained from their own experience. „It will still not function in a way that it will be publicly known who the angel investors are. They mostly do not want to be very exposed. Instead, there will be a channel of possible communication with them, and businesses which seek funds will know who to ask,” Dajana says, adding that the first steps were made through the Business Angel Summit. During this two-day event there were more than 20 business angels and potential angels from Bosnia and Herzegovina and additionally about 30 from the region and abroad. In preparation for the summit, Foundation 787 examined their affiliation to gather information on the framework of their capacities and readiness to invest. „Less than 30 of them said they were ready to invest more than two million BAM in this year,“ she says. „On the Business Angel Summit there were people who already invested, some of them want to do it, but all of them agreed they want to join a network and soon we will have the first meeting to see how it will function. For now, Foundation 787 is the facilitator in terms of communication with start-ups and businesses.“ Finances for starting and developing a business In Bosnia and Herzegovina, there are insufficient opportunities to finance starting or developing a business in the early-stage from public funds, while getting a loan from a bank usually requires positive business reports, which is difficult for many beginners. “Many who want to start a business are leaving BiH because they can get an incentive for start-ups elsewhere,” says Dajana. “Angels fill this space between banks, the state and other incentives.” „But also, if we create stories that will turn out to be successful, we are already creating the interest of others who want to create start-ups and we are thus developing the market. The same happened in Germany – people were leaving for the USA, so there were measures to make Germany attractive as well“, says the director of Foundation 787 which implements different support and education programmes for women and young people in business. Even though the concept of investments of business angels is not created for women entrepreneurs nor is it in any way specifically adjusted to them, it represents an alternative way of financing which can be used. „I think that it creates a possibility which women entrepreneurs currently do not have. It is not easy, but from the beginning of this initiative we made sure that there are also women investors, and we do have them, which means a lot, both for the success of the network and the diversity in the context of involving businesses led by women,“ concludes Dajana Džindo. This article was made possible within the project “Women Economic Empowerment in Bosnia and Herzegovina – Rebuilding Better” which is implemented by UN Women in BiH with financial support of United Kingdom government.

Pistachio, cashew, pumpkin seeds, hazelnut, almond and peanut butter of the brand Butteria are products of the 24-year-old Hamida Begović. From a small workshop in Donji Vakuf these domestic products made from natural ingredients are being sent off across Bosnia and Herzegovina, from Čapljina and Trebinje, to Banja Luka and Sarajevo. The company Bonsai was registered in 2020 and now stands as a success story of this young entrepreneur who worked on rebrandingand presenting new products under the name „Butteria“ in the past several months. New name, new design and new products are the result of financial and mentor support through the programme “BizUp” which is being implemented by Foundation 787 and UN Women as a part of the project „Economic empowerment of women – rebuilding better”, which is being financed by the United Kingdom government.   As a graduated professor of Arabic language without a job in her profession, Hamida dedicated her time to producing spreads from highly nutritional nuts, drupe and seeds, which are being ordered by those who want to eat healthy or vegan, but other customers as well. She makes her products with a machine with a stone mill, originally made for making chocolate, which was supposed to be its initial purpose. Together with her husband she wanted to make homemade chocolate but they eventually gave up due to the high prices of ingredients. Instead, she makes products rarely found in Bosnia and Herzegovina today. „I especially love Bosnian coffee and it is my biggest pleasure to have it with a piece of chocolate. I think that was the biggest reason to start with chocolate, but also to offer others a healthy option. We found chocolate molds and the machine came from India through a friend, but we never bought all the ingredients. We bumped into several obstacles and in the end, we gave up“, Hamida recalls. „The machine stood there for about half a year until we tried to make peanut butter.“ „Since 2019 we experimented and then we gave some to our friends to try out, simply to see the reactions – they were delighted. Great – let’s sell that! Let’s buy the jars and all the rest. We had a few friends who tend to eat healthy,“ she recalls, adding that after peanut, she decided to try other nuts and seeds that contain a certain level of natural fats which, due to long processing, turn to a liquid spread. „The longer the processing, the more liquid, better, it gets. Everything needs to be chopped up first, then put in the machine to make this spread. It really turns it into a nice butter. We called it the process of ‘butterisation’, even though there is no word like that. It is not just grinding. That is why: ‘butterisation’,” Hamida explains. Registering the business After a year of experimenting and preparing of new products, two years ago, with the financial help of Foundation Mozaik, Hamida registered as a small company in Donji Vakuf, a small town in central Bosnia where she, a Sarajevan, and her husband, Travnik-born, moved due to his work as a graduate mechanical engineer. They registered the business and renovated a storage room in the rented house they live in, turning it into a workshop and equipping it for production. Afterwards, Hamida got a self-employment subsidy from the Federation BiH employment bureau. Both programmes enabled her to be employed and, by selling what she produces, earn a monthly salary. „It is not a big amount of money, but it is enough for me. Just so that I can work, so I can come to my workshop and work. I am not a type of person to work in a company for eight hours and come home tired,” she says, explaining what is the most important to her: „I still have time to spend with my child, which is my priority. I can dedicate my time to him.“ Aside from a few customers, Donji Vakuf is not a market large enough for her butter-spreads. Her first bigger buyers were people she met in Sarajevo, where she and her husband looked around to see whether there are similar products in the shops and sections with healthy food. „We saw there is nothing similar, but while we were preparing everything in the beginning, there were already a few domestic peanut butters and one hazelnut butter. That shook us a little bit, in the sense of will we make it, but many shops opened their doors to us. The first of them was Kašahana,“ Hamida recalls, adding that her products, which are passing all legally required quality control tests every month, can be ordered  via Facebook and Instagram or be found in a few shops in Sarajevo, Mostar and Tuzla. Mentor work As she was already in contact with Selma Mezetović Međić, the owner of Kašahana, Sarajevan snack bar which offers porridge and other meals made from healthy ingredients that contain no refined sugars, Hamida got a recommendation from her to apply for the programme BizUp at Foundation 787. „Aside of the financial help which was really helpful to me – I bought ingredients for new butters and a new machine right at the time when one stopped working – mentorship that I had was especially useful,” Hamida says, adding that in the beginning it was unusual that her mentor was Vladimir Grabovac, the owner of Biona, a company with products similar to hers, which she used to see as competition. She soon realised that was a good decision. „He came to Donji Vakuf and talked about his experiences and the first point of our work was for me to read books. I did not get anything served on a plate, but my mentor gave me a task of reading different books and he tried to help me to discover myself, to find my ‘why’ which leads me”, Hamida recalls. „Then we tried to think of new names, which would reflect the ‘why’ and my butters.” Both the mentor and the designer Ana Lukenda helped her to come up with the name Butteria and replace Bonsai – a name quickly thought of when the company was registering. This was also a symbolic name, after a tree that she and her husband have. The tree came a long way and it was damaged during traveling, but still survived, blossomed and lives in their home. Like the skills in shaping this tree, Hamida says she is careful in making the butters. „That is how I make the butters – I handpick every fruit and it is like a special technique of making the butter. Large companies which make butters have special machines, and make 50 kg of butter in a few hours. I do everything manually. First I have to bake everything, and, for example, manually peel the hazelnut, after which I bake it, and when it gets cold, I bake it again to kill bacteria. Afterwards, I chop it and put it in the machine. It is not so simple, to just put into a blender and that is it,“ she explains, adding that for the cashew butter nothing else is added and it takes about o 6-7 hours of work of the stone mill. Even though she is happy to see the work develop, she says that it is not easy to make it being a young entrepreneur and a woman taking care of a one-year-old son during the day. „I would like for the business to grow so I can hire someone to work with me. Now I try to grab some time and work when the baby falls asleep, and I also finish other obligations”, Hamida says, adding that she thinks it is harder for women to achieve everything, both private and work tasks. Even though she had and still has support from her family, she says that her experiences showed her that the society is not aware that women can run businesses on their own and that she senses that the general perception is that a safe job is a job in a company. „When I started this, people used to ask me ‘Why are you doing this?’ First, the product I was making was unusual, and why was I initiating something here on my own, how am I going to do it, also while having a baby. But I thought, ‘I will make it’,” she says, emphasising how she was encouraged by her family to do what she loves, and that her example inspired a colleague to start her own business, by opening a cafeteria in Donji Vakuf. „Whenever I am asked what it’s like, I say: 'Extremely hard, but if you want to, you’re going to make it',“ Hamida says. „I work an unsafe job, where one does not know what will happen, but for me there is some charm in this insecurity. Will I sell it? So, I tell myself ‘Come on, put more effort in it, call that shop, call another one’, and I fight. I think there is a greater feeling of fulfilment when you succeed that way.“ This article was made possible within the project “Women Economic Empowerment in Bosnia and Herzegovina – Rebuilding Better” which is implemented by UN Women in BiH with financial support of United Kingdom government.

Wailing of sirens coming from the firefighters' trucks and ambulances cars echoed through Kakanj, a small town in central Bosnia and Herzegovina. Their final destination was the local high school. On arrival, emergency response personnel met convoys of students and school staff exiting the school building. The peace on the faces of children and teachers unusual for this situation is the outcome of a carefully prepared Emergency Evacuation Exercise. The exercise is part of broader activities to improve safety in this school,  attended by 433 students and employs 58 adults. Bearing in mind that many people, primarily children, stay in school facilities during the day, schools carry high risks from the consequences of natural and other disasters. However, it is not only the number of people who put this Kakanj school at the top of the list for intervention through the "Safe School Environment" project. The school was built in 1968, consists of a ground floor and one floor, and has only one entrance/exit. Since its construction, the building has not been renovated, and the materials used in the construction of the school in the late 1970s are now considered harmful to people. The school also never had a plan for action in crisis or disaster. This Kakanj school is one of many in the Federation of Bosnia and Herzegovina (FBiH) and Brčko District (BD) facing the risks of natural disasters and catastrophes. During 2017 and 2018, World Vision BiH conducted a survey of school safety and preparedness for disasters caused by natural and other disasters in FBiH and BD. 724 schools participated in the research. The research concludes that only 10% of schools can be considered safe. "There is no absolute safety, but we can reduce the risks faced by all those who stay in schools. Safe schools are constructed to code,  their protection and rescue plans are updated, employees and students are educated on how to act in case of an accident, and they relate to local rescue services. In addition, school evacuation exercises are regularly conducted in these schools", said Sveto Đurđević, manager of the" Safe School Environment“ project. Having in mind all the components of safe schools, Kakanj's Mixed Secondary School demanded urgent intervention, which was initiated within the project "Safe school environment". The project is implemented within the educational component of the joint program of the Government of Switzerland and the United Nations "Disaster Risk Reduction for Sustainable Development in Bosnia and Herzegovina".  Improving the safety of this Kakanj school contributes to disaster risk reduction for nearly 500 people who stay in the school building every day. The basis for establishing safety in schools is Disaster Risk Reduction Plan (DRR). This plan list and analyzes risks, proposes risk reduction actions, guidelines for dealing with accidents, and mitigation of the consequences of the accident. Each school in BiH is legally obligated to create such a plan. The school plan was prepared jointly by the school principal and teachers, representatives of the parents of the children attending the school, municipal services, the local red cross, and one NGO. Representatives of local services, including rescue teams, are one of the most important links in the preparation of the school plan for disaster risk reduction - firefighters,  police officers, civil protection, health, and welfare centers representatives are the first to react in case of accidents and must be aware of the risks in their local environment. "Everything that is being done through this project is an improvement for the school and the entire local community. This teamwork strengthens the school's connection with emergency rescue services, which is crucial in a crisis. All members of the school DRR team advocate in the local community and beyond, for stronger involvement of the relevant ministries and other institutions in strengthening the resilience of schools to natural and other disasters," says Zerina Sehagic, member of the Parents' Council school "Kemal Kapetanović Kakanj". The risks and actions taken to reduce the risks are presented to teachers and school staff, as well as school students. In addition, staff and students learned how to behave in the event of an accident or disaster. The evacuation exercise served as a practical test of the students' and schools staff's behavior in case of an accident and the responsiveness of the local rescue services. In addition to the educational and demonstration segment, the project "Safe School Environment" finances interventions defined by the School Plan. According to the plan, the school building will get another exit, and the asbestos plates that are in direct contact with the external environment will be covered with a thermal facade. The school will also receive a smoke and fire alert system. At the same time, the system will sound the alarm to the school staff and pupils, and the local fire brigade. Working on the cost estimate for the interventions defined by the plan, it quickly became evident that the funds provided by the project plan were not sufficient for the planned reconstruction. World Vision BiH has involved a broader team in fundraising and advocacy to support interventions at the local level. In this context, World Vision managed to provide additional funds donated by local socially responsible companies, and the necessary interventions will be carried out in full. Sanja Kabil, The Education Specialist from UNICEF BiH underlines how UNICEF supports governments and schools worldwide, to improve policies and practices of disaster risk reduction. The schools must be safe places for all children, while the preparedness saves lives. Activities in the school Kemal Kapetanović Kakanj, as well as in other schools involved in the project "Safe School Environment", are executed according to the World Vision's "Safe Schools" project model., as well as global model of “Comprehensive framework for school safety, and principles and guidelines for COVID’19 prevention in schools. So far, 39 primary and secondary schools in BiH implemented interventions according to this model. The project is part of a joint program of the Government of Switzerland and the United Nations (UN) "Disaster Risk Reduction for Sustainable Development in Bosnia and Herzegovina", while jointly implemented by UNESCO, UNFPA, Food and Agriculture Organization of the United Nations (FAO), UNICEF Bosnia and Herzegovina, and World Vision BiH.

An innovative business idea or a creative project can get financing from crowdfunding - when usually a large number of people invests small amounts of money, which leads to the target amount needed for the realisation of a business plan. Crowdfunding campaigns for entrepreneurs and businesses are mostly about the implementation of a concrete activity, buying processing machines or tools for work, or something else that represents a core change and speeds up the development of a business, contributes to lowering prices or making the products available on larger markets, explains Vladica Jovanović, expert for social organising, crowdfunding and socially responsible and sustainable initiatives and businesses. As a part of the project “Economic empowerment of women – Building better”, implemented by UN Women and Foundation 787, with the financial support of the United Kingdom government, Vladica spoke about crowdfunding as an alternative way of financing on a workshop organised for 15 BiH women entrepreneurs within the programme BizUp. Vladica Jovanović She explains there are four types of crowdfunding: donations, as a non-profit and often humanitarian; rewards or a model where those who give money are rewarded with a “perk”/a present; and investment and loan crowdfunding which did not take place in the region so far due to specific legal demands that are required, and that do not exist here. „The easiest practice is to organise non-profit campaigns because people understand this very well and it is the easiest way for them to give money. People feel good if they give money to something like that. Another thing is the rewards crowdfunding, because people love to support good things, but they find it hard to do it unless, aside of supporting something, don’t get something in return, which will help rationalise their financial contribution,” Jovanović says. A successful campaign Some of the successful crowdfunding campaigns in Bosnia and Herzegovina were rewards campaigns, organised despite the fact that the renowned platforms, like Indiegogo and Kickstarter, are not available in our country. Those who decide to use these platforms for crowdfunding have to look for a mediator, someone who has a bank account in a country where it is possible to use the platform, who will then transfer them the money. This is exactly what the 27-year-old Ružica Ivanović did with her team gathered around Gea Heal, the Herzegovina-based business producing herbal cosmetics. „It is a bit more complicated that it seems at first. The very essence of a crowdfunding campaign is to make a pitch of your idea or some kind of a short description, a video, photographs, and to present it on one of the crowdfunding platforms. I think this is honestly the best way to gather funds because people invest in your idea directly. You set your own parameters, you make your own budget exactly as it suits your idea and I think that crowdfunding is really a great way of collecting money, especially for an emerging business.” Gea Heal herbal cosmetics  With a bank account from Bosnia and Herzegovina it is not possible to use Indiegogo and Kickstarter platforms, but Ružica and her colleagues found an alternative. With the help of  i-platform, an initiative which supports and encourages development of Bosnia and Herzegovina through BiH connections with the diaspora in Switzerland, implemented  the campaign through Wemakeit. The Gea Heal campaign in 2020 raised around 7.000 franks which allowed them to register the business, open their space and buy a distiller for essential oils. „Now we make products which are similar to old traditional balms and we use ingredients from the region of Herzegovina,” says Ružica, who is a fine arts graduate and nature lover. „The main idea of Gea Heal is to produce essential oils.” Ružica notes that it takes a team of people to create and implement a crowdfunding campaign and that theirs included persons in charge of marketing, video, photographs and written materials, persons tasked with administration, as well as those who prepare the “perks” and lead the production. She emphasises the importance of good preparation.   „One of the things that crowdfunding requires is a big team of people who work on preparation. The preparation itself is as hard as the campaign itself, so I would recommend crowdfunding to everyone who have a strong will and a clear idea in their head, and to people who are persistent,” Ružica says. „We were preparing for 2,5 months and the campaign lasted for a month.” Planning the funds There are more than 300 different crowdfunding platforms in Europe for different types of campaigns, Vladica says, adding that that it is possible to use one’s own website for such a campaign, especially if it has an integrated payment system. She explains that, for the planning funds which will be gathered during a campaign, it is important to calculate in all the costs. For example, buying a machine for work, but also the costs of import if the product is from outside of country, taxes, the costs of making the perks and a percentage for the mediator if the campaign is hosted on a foreign platform.   „If the money from crowdfunding campaign counts as revenue – do you pay a tax? If you are a private person, then you have to communicate that during the campaign so people will trust you. There can also be some taxes in that case. One has to think about all that and calculate everything in,” she says. “There is a lot of administrative work behind a crowdfunding campaign as well as expenses, besides the net amount needed.” She adds that the most common mistakes are a wrong estimate of time and effort needed for a crowdfunding campaign and an assumption that everything can be done by one person. She thinks that it takes at least three persons for a campaign – one to lead the campaign and be its face, another to prepare and implement communications for social networks and someone to do logistics and administration. Crowdfunding is not only for those who are just starting off, but for those who already have a business, and need support for meaningful development. This is how the 24-year-old Emina Kapetanović, co-founder and CEO of Motus Health, plans to start a crowdfunding campaign and seek financial support for her start-up to certify a mobile phone application for the rehabilitation and socialisation of stroke patients as a medical device. After her father suffered a stroke at the end of 2019 and her family was left without directions and knowledge about how to take care of him, this IT student from Mostar was thinking about possible solutions. With an idea for an app that would help her father rehabilitate and socialise with such a health condition, together with a team she won a regional innovation competition and later got support through other competitions and programmes as well. Her idea got the attention of an investor from Germany where she plans to move soon to work on the development of her business idea. Emina Kapetanović „At first it seemed to us that it is simple to make crowdfunding campaign, that you make an account on some crowdfunding platform and that’s it. However, it is completely different. There should be videography, which is very expensive, marketing and all the logistical parts of the application,” Emina says, adding that the months-long preparations are almost complete and that they plan to start the campaign in April. This article was made possible within the project “Women Economic Empowerment in Bosnia and Herzegovina – Rebuilding Better” which is implemented by UN Women in BiH with financial support of United Kingdom government.