Royal Caribbean Group provided $250,000 in overall funding. That amount will be matched by the Access Accelerator, for a total of $500,000.
Existing businesses can apply for up to $15,000, disbursed as a combination of a 50 percent loan and 50 percent grant. The funding structure is divided into three groups. Group A is for businesses with annual sales of less than $250,000, allowing companies to request funding up to $5,000. Group B is for entities with annual sales between $250,001 to $500,000. This group can apply for funding up to $10,000. Group C caters to businesses with annual sales between $500,001 to $1,000,000, allowing for funding up to $15,000.
The programme is unique to the Access Accelerator because it will continue to fund itself over time. As businesses pay back their loans, the funds will finance other businesses that apply through the programme.
According to Josh Carroll, vice president, Destination Development, Royal Caribbean Group, the decision to create this initiative stems from the organization's desire to see The Bahamas recover from the impact of the COVID-19 pandemic.
“Getting back on your feet is easier when someone has extended a hand to help pull you up,” said Carroll. “We wanted to provide the resources to empower small businesses to be self-sufficient and sustainable over the long term and rebuild a tourism-dependent economy. This programme and the leadership of the Access Accelerator Small Business Development Centre provides the jump-start so many will need to recover.”
Samantha L. Rolle, director of external relations at the Access Accelerator, stated that the initiative with Royal Caribbean Group is another example of how the private sector is a significant key to boosting and sustaining the small business sector.
Rolle said, "The partnership with Royal Caribbean is extremely exciting as it caters to a sector that needs assistance due to all that has transpired because of the COVID-19 pandemic. As an organization, we have been pushing small business owners and entrepreneurs to enter and build up industries such as agriculture, fishing, farming, technology and sustainability. However, it is important to get small businesses that cater to the tourism industry back in operation as many businesses fall in that area. The more industries that small businesses can operate in, the better it is for the economy."
She continued, "The only way that we can continue to support the small business sector in a significant way is through partnerships with members of the private sector. Royal Caribbean evaluated the needs of small businesses and has done a great job at offering unique ways to assist but also opportunities for training and expansion."
Among its list of eligibility standards and criteria, the programme requires the completion of mandatory training. The training covers sessions such as Hospitality and Entrepreneurship; Eco-friendly Products and Services; Production/Tour Scheduling; Quality Controls; Liability Insurance; Pricing Strategies; Forecasting; Brand Identity; Digital Marketing and Export Readiness.
The Royal Caribbean Programme is now open and will approve businesses bi-monthly until funding has been exhausted and will resume when funding has replenished. To ensure a transparent and fair approval process, an Adjudication Committee will review applications. The committee comprises representatives from the Access Accelerator; Royal Caribbean Group; Bahamas Agriculture and Industrial Corporation; Bahamas Chamber of Commerce and Employers' Confederation; Bahamas Development Bank; Bahamas Hotel & Tourism Association; Bahamas Entrepreneurial Venture Fund Ltd.; The Grand Bahama Chamber of Commerce; and The University of The Bahamas.
For more information on the programme or to apply, interested persons can visit the Royal Caribbean Programme webpage.
About Access Accelerator Small Business Development Centre The Access Accelerator is the product of a tripartite arrangement between the Government, through the Ministry of Finance, University of The Bahamas (UB) and the Bahamas Chamber of Commerce and Employers Confederation (BCCEC). The Access Accelerator works to guide the development, funding, growth, and evolution of Micro, Small and Medium-sized Enterprises (“MSMEs”) in The Bahamas. Visit us at www.accessaccelerator.org.
About Royal Caribbean Group Royal Caribbean Group is the operating business name for Royal Caribbean Cruises Ltd. Royal Caribbean Group is the owner and operator of three global cruise vacation brands: Royal Caribbean International, Celebrity Cruises, and Silversea Cruises. Royal Caribbean Group is also a 50% owner of a joint venture that operates TUI Cruises and Hapag-Lloyd Cruises. Together, our brands operate 58 ships with an additional 15 on order as of March 15, 2021. Learn more at www.royalcaribbeangroup.com or www.rclinvestor.com.
The Access Accelerator Small Business Development Centre (Access Accelerator) and Fidelity Bank Ltd (Fidelity) have partnered to facilitate $5 million in loans as a part of the Access Accelerator's MSME Loan Guarantee Programme.
In total, the programme has $16 million allocated between three partner financial institutions – $1 million by the Bahamas Entrepreneurial Venture Fund, $5 million by Fidelity and a third partner soon to be announced. More financial institutions are expected to join to assist in facilitating the $22 million in loans for micro, small and medium-sized enterprises funded by the Inter-American Development Bank (IDB).
Nicholas Higgs, Access Accelerator Deputy Director and Chief of Operations, explained how the loan guarantee would work.
Higgs said, "The guarantee is for our partnering financial institutions. It lessens their risk of facilitating loans to small businesses because the institutions know that regardless, through the funding provided by the IDB, they will be covered for 75% to 90% of the loans given."
He continued, "Where small businesses win in this situation is that the environment for funding is more appealing to financial institutions. This means more opportunities for funding and a higher chance for approvals as more funding agencies take the step to help support the small business sector by being a part of this programme."
The initiative is expected to strengthen the development of the private sector and its competitiveness countrywide said IDB Country Representative Daniela Carrera-Marquis.
“The Inter-American Development Bank remains committed to supporting the country’s development goals and the financial sustainability of MSMEs in The Bahamas is a top priority, as we have outlined in our IDB Vision 2025 strategy,” Carrera-Marquis said. “This initiative assists MSMEs in securing short and long-term financial opportunities that will, in turn, help the country’s economic recovery coming out of this pandemic.
“Therefore, it is critical that we continue to support smaller businesses as an engine of recovery that acts as a primary source of employment for the nation and major suppliers of goods and services to the general population.”
Fidelity Chief Executive Officer Gowon Bowe described the partnership between Fidelity and the Access Accelerator as an avenue to further support national development and further educate business owners, highlighting the significance of private sector partnerships to aid the small business sector.
“The MSME Guaranteed Loan Programme provided an opportunity for us to partner with the Access Accelerator, which shares the common vision for national development, specifically through MSMEs. Businesses in the programme are not simply provided access to funds but are rather mentored through the business life cycle, with financing being but one aspect, albeit an integral aspect. By educating businesses on the best practices in expanding their access to their customers’ wallets; utilising digital payment solutions; and building equity and liquidity, the Bank and the Access Accelerator can nurture the highest possible probability of success for the impacted MSMEs.”
Bowe continued, "Through appropriate planning and execution, with the support of the Access Accelerator, Fidelity and other financial institutions that follow suit, those MSMEs accessing financing made available through the programme have an opportunity to build their own track record and financial credibility, thereby facilitating further access to capital markets and more advanced funding opportunities. With the financial support that the programme enables MSMEs in accessing financing, along with the mentorship that accompanies such financial support, there is a greater probability of successes by MSMEs and in turn national development; it is hoped that the successes of MSMEs in the programme will beget further successes through new MSMEs entering the marketplace and enhancing the competitiveness of The Bahamas.
"This is why partnerships such as the one created between the Access Accelerator and Fidelity are integral in establishing the merits of public-private-partnerships (PPPs), and demystifying the view that in The Bahamas such only exist in abstract communications. Fidelity confirms its commitment to the programme, and to similar partnerships and initiatives with the Access Accelerator, where the experience and expertise of this bank can support national development. Additionally, we look forward to mentoring and better serving our existing participants in the programme, which we expect in turn to support the development of future MSMEs."
The Access Accelerator sees Fidelity's participation in the programme as a tremendous vote of confidence in small businesses with the financial institution being the first Bahamian commercial bank to sign on to the organization’s guarantee programme.
The Access Accelerator is the product of a tripartite arrangement between the Government, through the Ministry of Finance, University of The Bahamas (UB) and the Bahamas Chamber of Commerce and Employers Confederation (BCCEC). The Centre works to guide the development, funding, growth, and evolution of Micro, Small and Medium-sized Enterprises (“MSMEs”) in The Bahamas. Visit us at www.accessaccelerator.org.
