Business Plan for Agronavti Mobile Application Spin-Off Company
Client: Chemonics International
Origin of Funding: Chemonics International
The main objective of the project is to develop a comprehensive business plan for the Agronavti mobile application spin-off company, which provides a platform on which farmers can market their products to potential buyers.
In order to attain its goals, PMC Research, under the USAID Zrda Activity in Georgia, will undertake the following activities:
Provide a comprehensive analysis of the current service provision capacity of Agronavti under the GFA;
Conceptualize and build a revenue model based on current service provision capacity as well as expected future functionality of new services/modules that are under development or planned for development in the near-term;
Provide an accurate, up-to-date market assessment of the competitive landscape for similar product/service companies in Georgia and surrounding markets (South Caucasus, Ukraine, Moldova);
Propose options for the organizational/staffing structure of the new company as well as a board composition based on the legal analysis provided by Zrda;
Prepare a full financial forecast covering a period of five years, including the capability of the financial model to run sensitivity analyses to test different assumptions. The financial forecast will include both income and expenses, with an emphasis on the minimization of fixed costs in the early years of operations. Break-even analysis will also be provided;
Prepare a baseline marketing strategy for the new company that targets near-term domestic scaling-up and international expansion scenarios within the five-year time horizon of the business plan (international expansion scenarios will include the licensing of Agronavti’s intellectual property to third parties in other countries to operate, and the entry of this new company into new markets);
Analyze and prepare recommendations for potential new grant, equity and/or debt facilities that may be accessible to the new company to be used in the initial scaling-up of operations during the first three years; and
Prepare risk analysis and corresponding recommendations.
On February 26, under the USAID-funded Good Governance Initiative (GGI) in Georgia, we, as a subcontractor to Tetra Tech ARD, introduced our initiated monitoring and evaluation tool to members of the Healthcare and Social Issues Committee of the Parliament of Georgia, enabling them to carry out comprehensive quality monitoring and evaluation of the State Program on Universal Healthcare on an unprecedented scale.
PMCG is implementing an EU-funded project in consortium with ICE – International Consulting Expertise entitled “Improving quality of Prosecution and Criminal Investigation." The project aims to assist in advancing the reforms of the Prosecutor’s Office and the Ministry of Internal Affairs (MIA) of Georgia in line with international standards and commitments. In the course of the project, we have helped to deepen the knowledge and skills of employees of the Analytical Unit of the Prosecutor’s Office of Georgia in their daily integral work on analytical data processing and improving published information to prepare materials and reports in a dynamic and interactive manner, using modern tools and methodologies.
With the purpose of enhancing good governance and sustainable development in the municipalities of Georgia, on February 1-5, together with the National Association of Local Authorities of Georgia (NALAG), we conducted an online training course for 168 representatives from all municipalities of Georgia, in order to introduce the concept of the Performance Monitoring and Evaluation System (PMES) as well as the application of the corresponding informational platform software, ensuring better measurement of the municipalities’ effectiveness, under the EU-funded project entitled “Networking for Efficiency and Development (N4ED).”
We recently started a new project, the goal of which is to advance e-work market development in Georgia by assessing the e-work market demand among enterprises from the five biggest cities of Georgia, and helping to match this demand with the rural labor force of the selected municipalities under the EU-funded program “Improving Rural Development in Georgia (IRDG),” which is being implemented by UNDP.
The International Consortium on Governmental Financial Management (ICGFM), a leading global public financial management (PFM) organization uniting government entities, institutions, professional associations, university departments and high-level financial management professionals devoted to improving financial management, has organized a virtual training symposium entitled “Managing Through Crisis: COVID-19 and Governance,” which will take place on February 9-10. As part of the symposium, Mr. Aleksi Aleksishvili, CEO and Chairman at PMCG, will moderate the panel entitled “Budgeting in Uncertain Times,” which will bring together panelists from North America, Africa, the Caucasus, and the Balkans.
In 2020, the COVID-19 pandemic heavily disrupted the world, causing both a global health emergency and a global economic crisis. While almost every country and every sector have been affected, economies reliant on the service sector, and especially the tourism industry, such as Georgia, have suffered notably. Indeed, measures taken to contain the spread of the virus have had an especially negative impact on the economy. Preliminary estimates suggest a decline in Georgia’s real GDP in 2020 of 6.1%, the sharpest drop since 1994.In this issue, we provide forecasts for the performance of the Georgian economy for 2021, namely regarding its real GDP growth rate, sector-specific growth rates, and employment.
According to a survey of Georgian economists, the economic climate in the country for the first quarter of 2021 has been and will continue to be worse than the last quarter of 2020. Their assessment of the current situation was also significantly worse than the corresponding quarter of the previous year. The economists’ predictions for Georgia’s economic situation for the next six months were also negative. Specifically, their expectations for this period remain similarly bleak to those stated in the final quarter of 2020, and were considerably more pessimistic than the forecasts they made at the same time last year.
The number of international travelers declined by 94.5% in January compared to the same period of 2020, while the number of international visitors fell by 93.6% and the number of international tourists fell by 91.9%;
In January 2021, the year over year Hotel Price Index decreased by 33.8% in Adjara and by 28.5% in Samtskhe-Javakheti;
The number of ski-lift users in Georgia grew significantly, by an annual average rate of 21%, from the 2014-2015 season up to and including the 2018-2019 season. However, compared to the 2018-19 season, the number of ski-lift users dropped by 20% during the 2019-2020 season, due to the looming COVID-19 pandemic which effectively brought the season to an early finish. Thereafter, the 2020-2021 season has been cancelled outright due to the ongoing epidemiological crisis;
Sales per skiing day demonstrated significant growth from the 2014-2015 winter season up to and including the 2018-2019 winter season, growing by 33% annually on average in this period. It even registered modest growth (4%) in the 2019-2020 season.
In Georgia, the average cost of a room in a 3-star hotel was 118 GEL per night in January 2021, while the average cost of a room in a 4-star hotel in Georgia was 188 GEL per night and the average cost of a room in a guesthouse was 72 GEL per night.
In this issue, we overview trends in Ukraine’s labor market indicators through the past decade and compare the dynamics of unemployment rates of Eastern Partnership countries over the same period. In addition, we analyze the effects of COVID-19 on the key labor market indicators, as well as on average wages and number of vacancies posted in 2020.