Fifth Call for Funding – FUNGUO TANZANIA

Fifth Call for Funding Applications

1. Programme Background

The UNDP’s FUNGUO Innovation Programme is a catalytic intervention designed to strengthen Tanzania’s innovation ecosystem by enabling youth-led, impact-driven startups and innovative MSMEs to grow into scalable, investment-ready enterprises. Implemented in partnership with Tanzanian enterprise support organizations (ESOs) and co-funded by the European Union, the British Government (FCDO), and the Republic of Finland, FUNGUO operates in the “missing middle” of the startup ecosystem—where promising ventures exist but struggle to access suitable and patient capital, high-quality support services, and enabling policies.

FUNGUO applies an integrated, systems-based approach that combines three mutually reinforcing pillars, viz Catalytic innovation financing, Strengthened innovation service delivery and an improved enabling environment for youth- and women-led enterprises

At its core, FUNGUO de-risks early-stage innovation by providing catalytic grants alongside tailored technical assistance to help ventures formalize, strengthen governance, refine business models, and become credible to investors. This is complemented by deliberate pipeline development—particularly through initiatives such as #YouthIgnite Student Founders Fellowship, and by ecosystem strengthening efforts, including support to enterprise support organizations (ESOs) and coordination through platforms such as the Tanzania Hubs Network and Zanzibar Startup Association.

The Programme has demonstrated strong results at both enterprise and ecosystem levels, supporting 88 startup ventures and 60 student-founded businesses across Tanzania, catalyzing job creation (over 10,000 jobs created and/or sustained), increasing business formalization, and crowding in private capital (Over half of the portfolio secured follow-on financing, leveraging more than three shillings for every shilling invested by the programme). Beyond firm-level impact, FUNGUO has contributed to strengthening national innovation infrastructure through convening platforms such as Innovation Week Tanzania and targeted interventions in key sectors, including green and rural value chains through the #GreenCatalyst Initiative.

Building on these achievements, the Fifth Call for Funding Applications seeks to deepen impact by prioritizing high-potential sectors that are critical to Tanzania’s economic transformation, job creation, and sustainable development.

2. Purpose of the 5th Call

This Fifth Call for Funding Applications targets early- and growth-stage businesses that meet the following criteria:

Showcase innovation in products, services, business models, or processes.
Are actively working to scale their solutions but face limitations in accessing funding from conventional sources.
Demonstrate high potential for impact in areas such as youth employment, gender inclusion, climate action, digital transformation, or sustainable livelihoods.

While the Call remains open to all qualifying innovative ventures, special emphasis is placed on businesses operating within the priority focus areas outlined below.

Agricultural Value Chain

Innovative ventures transforming Tanzania’s agricultural sector through food systems innovation, agritech, post-harvest solutions, market linkages, and sustainable agriculture practices. This includes businesses improving food security, reducing post-harvest losses, connecting smallholder farmers to markets, and advancing climate-smart agricultural production.

Digital Innovation

Tech and tech-enabled solutions delivering impact across key sectors including fintech, healthtech, edtech, e-commerce, and productivity. This thematic area is also open to any other business fundamentally powered by digital technology to solve real market problems, improve service delivery, or expand economic inclusion.

Critical Minerals Value Chain

Innovative ventures leveraging Tanzania’s significant mineral resources for value addition and sustainable livelihoods. This includes businesses involved in downstream processing, supply chain development, responsible sourcing, and community-linked enterprise models that maximize the economic and social returns from Tanzania’s critical mineral endowments.

Across all three thematic areas, successful applicants must meet the following criteria:

Showcase innovation in products, services, business models, or processes.
Are actively working to scale their solutions, but face limitations in accessing funding from conventional sources.
Demonstrate high potential for impact in areas such as youth employment, gender inclusion, climate action, digital transformation, or sustainable livelihoods.

What Successful Applicants Receive

Selected enterprises will benefit from:

Catalytic funding (non-equity, performance-based grants).
Technical assistance, including business development, investment readiness, and impact measurement support.
Visibility and networking opportunities with potential investors, partners, and ecosystem actors.
Access to FUNGUO’s learning and collaboration platforms.

3. Eligibility Criteria

4. Evaluation Criteria

Eligible applications will be scored against the following evaluation criteria, and only applications that score at least 70 out of 100 will be considered successful and move to the due diligence stage.

Innovation - 35 points

The eligible applicants must demonstrate how innovative they are in terms of products or services they offer, processes, additionality, unique selling proposition, or unique experience they create for their clientele, etc. as compared to the competition.

NOTE: An innovative business is one that continuously introduces or applies new ideas, products, services, processes, or business models to solve problems, meet market needs, or create new demand—often in ways that are more efficient, effective, or impactful than existing alternatives.

Business Viability & Potential to Scale - 30 points

To be eligible under this criterion, applicants must clearly demonstrate that their business can generate sufficient revenue and profit to sustain itself in the short to medium term. They should also show potential for long-term growth by outlining how they intend to scale their operations, offerings, and market reach.

Below are the guiding questions from the application form related to this criterion:

Who are your target clients, and how do you reach them?
What are the main revenue streams of your business?
How do you plan to scale your business?
What assumptions are these projections based on?
How would you describe the market your business is serving – is it growing, stagnant, or declining? How is your business positioned to thrive in this market?
What partnerships do you currently have or plan to establish to enhance your business viability?
What are the three biggest risks facing your business, and how do you plan to mitigate them?

Applicants are encouraged to provide clear, data-informed responses supported by relevant documentation where applicable.

Team & Management - 20 points

Applicants must demonstrate that they have the right expertise, leadership capacity, and human resources to effectively grow and scale their business. The team should also show a strong grasp of how their target market operates, ideally with team members who have direct experience with the problem being addressed or a deep understanding of their customers’ needs and challenges.

The following questions from the application form are designed to assess this:

Generally, how would you describe your team based on their individual and collective expertise and experience in your kind of business?
What’s your management structure like?
Do you have a board of directors and/or advisory board?

Clear and detailed responses to these questions will help evaluators assess whether your team is well-positioned to implement and scale your solution effectively.

Development Impact - 15 points

Eligible businesses must demonstrate a strong and measurable positive impact on people and the environment. The venture must not cause harm and should have a business model that delivers meaningful developmental benefits. This includes contributing to the Sustainable Development Goals (SDGs) through actions such as increasing local incomes, conserving natural resources, improving access to essential services, and creating decent employment opportunities.

The following questions in the application form will help assess your business’s development impact:

Briefly describe your business’s positive development impact: (Explain how your business contributes to the SDGs through income generation, resource conservation, improved access to services, and job creation)
How many direct and indirect jobs is your business expected to create or sustain in the next 2 years?
How do you expect to track other development impact indicators that your business is expected to contribute towards?

Applicants are encouraged to be specific and data-driven in describing their impact, and to outline how they plan to measure and report on it.

5. Key Timeline

6. Application Process

Download Info sheet

Wito wa Nne wa Maombi ya Ufadhili wa FUNGUO

Uwezeshaji Chochezi kwa Biashara Chipukizi (Startups), Ndogo na Kati (MSMEs) Bunifu zenye Matokeo chanya Tanzania

1. Muhtasari wa Programu.

Programu ya Ubunifu ya FUNGUO (Funguo Innovation Programme) ni juhudi za ushirikianowa wadau mbalimbali unaolenga kufungua uwezo wa biashara chipukizi (startups) nabiashara ndogo na za kati (MSMEs) bunifu ambazo zinalenga kuleta athari chanya nchiniTanzania. Programu hii hutoa ruzuku chochezi kwa biashara, msaada wa kitaalamu, nahuimarisha mazingira ya ubunifu kwa wajasiriamali.

FUNGUO inafadhiliwa kwa pamoja na Umoja wa Ulaya, Serikali ya Uingereza (kupitiaFCDO), na Jamhuri ya Finland, na inatekelezwa na UNDP Tanzania. Pia inashirikiana nawadau wengine kama vile mashirika ya kusaidia biashara (mfano: ANZA, StartHub Africa, WSHA), pamoja na taasisi za serikali zikiwemo COSTECH na nyinginezo.

Programu ya FUNGUO inaendana na Ajenda ya Maendeleo ya Taifa na Malengo yaMaendeleo Endelevu (SDGs), kwa lengo la kuongeza idadi ya biashara chipukizi (startups) na biashara ndogo na za kati (MSMEs) zinazoleta manufaa jumuishi ya kijamii nakimazingira, na faida za kibiashara.

2. Lengo la Wito wa Nne wa Maombi.

Mwito huu unawalenga biashara chipukizi na zile zilizoanza kukua ambazo:

● Zinaleta mchango mkubwa katika maeneo kama ajira kwa vijana, usawa wa kijinsia, mabadiliko ya tabianchi, mabadiliko ya kidijitali, na maisha endelevu.

● Zinaonesha ubunifu katika bidhaa, huduma, mchakato au mifumo ya biashara.

● Zina nia ya kupanua biashara lakini zinakosa ufadhili kutoka taasisi za kifedha za kawaida.

● Zinafanya kazi kwa kuzingatia uendelevu na ustahimili kwa jamii.

FUNGUO inalenga kusaidia biashara ambazo zipo katikati – zimepita hatua ya mawazolakini bado hazijafikia uwezo wa kupata uwekezaji mkubwa. Kupitia msaada wa kifedha nakitaalamu, programu inasaidia:

● Kujenga mfumo thabiti wa biashara zenye uwezo mkubwa wa kufanikiwa na kuvutiaufadhili zaidi kutoka kwa wawekezaji wakubwa

● Kuimarisha mazingira ya ubunifu nchini kwa kushirikiana na wahusika wengine kamamashirika au progrmau zinazochochea uanzishaji na ukuaji wa biashara, taasisi za fedha, na serikali

Manufaa kwa Waombaji Watakaofaulu

Biashara zitakazochaguliwa zitapata:

● Ruzuku chochezi kwa biashara (haitahusisha kugawa hisa, itatolewa kuendana nautendaji na mafanikio ya biashara )

● Msaada wa kitaalamu utakaochochea maendeleo chanya ya biashara, maandalizi nautayari wa uwekezaji, na tathmini ya mchango wa biashara kwa jamii.

● Nafasi za kujitangaza, kujifunza, na kuunganishwa na wawekezaji na wadaumbalimbali wa biashara na ubunifu.

● Uwezo wa kushiriki katika majukwaa ya mafunzo na ushirikiano ya FUNGUO

Wito huu wa maombi ya ufadhili uko wazi kwa taasisi ambazo:

● Zinazolenga kuapata faida au mashirika ya kijamii yanayoendeshwa kibiashara nayanaweza kufafanuliwa kama biashara chipukizi ("startups").

● Zimesajiliwa rasmi Tanzania – ikiwa ni kampuni iliyosajiliwa au jina la biasharalililosajiliwa kisheria.

● Zinamilikiwa kwa zaidi ya asilimia 51% na raia wa Tanzania.

● Zimepita hatua ya wazo na majaribio – zina bidhaa au huduma inayouzwa nakuthibitisha mahitaji kutoka kwa wateja.

● Hazijapokea zaidi ya dola 100,000 za Kimarekani (kwa njia ya uwekezaji wa hisa au mkopo) hadi sasa.

3. Vigezo vya Kushiriki

4. Vigezo vya Tathmini

Waombaji wanapaswa kuonyesha kuwa wana ujuzi unaofaa, uwezo wa uongozi, na rasilimali watu zinazohitajika ili kukuza na kupanua biashara yao kwa ufanisi. Timu inapaswa pia kuonyesha uelewa mzuri wa soko inalolenga, ikiwezekana ikiwa na wanachama walio na uzoefu wa moja kwa moja na changamoto inayotatuliwa, au wanaoelewa kwa undani mahitaji na changamoto za wateja wao.

Maswali yafuatayo kutoka kwenye fomu ya maombi yanalenga kupima kipengele hiki:

● Kwa ujumla, utaielezaje timu yako kwa kuzingatia ujuzi na uzoefu wa kila mmoja na wa pamoja katika aina ya biashara unayoifanya?
● Muundo wa usimamizi wa biashara yako ukoje?
● Je, una bodi ya wakurugenzi na/au bodi ya ushauri?
Majibu yaliyo wazi, ya kina na yenye ushahidi yatawasaidia wakaguzi kutathmini kama timu yako iko katika nafasi nzuri ya kutekeleza suluhisho lenu na kulikuza kwa mafanikio.

IV. Mchango wa Maendeleo - Alama 15
Biashara zinazostahiki lazima zionyeshe mchango kwenye maendeleo, thabiti na unayopimika kwa jamii na mazingira. Biashara haipaswi kusababisha madhara yoyote, na inapaswa kuwa na mtindo wa uendeshaji unaotoa mchango wa maana kwa maendeleo ya kijamii na kiuchumi. Hii inajumuisha kuchangia utekelezaji wa Malengo ya Maendeleo Endelevu (SDGs) kupitia vitendo kama kuongeza kipato cha jamii, kuhifadhi rasilimali za asili, kuboresha upatikanaji wa huduma muhimu, na kuunda fursa za ajira zenye staha.

Maswali yafuatayo kutoka kwenye fomu ya maombi yanalenga kupima athari za biashara yako katika maendeleo:

● Eleza kwa kifupi athari chanya ya biashara yako katika maendeleo: (Toa maelezo kuhusu jinsi biashara yako inavyosaidia kufikia SDGs kwa kuongeza kipato, kuhifadhi rasilimali, kuboresha upatikanaji wa huduma, na kutoa ajira)
● Ni ajira ngapi za moja kwa moja na zisizo za moja kwa moja biashara yako inatarajiwa kuunda au kudumisha katika kipindi cha miaka miwili ijayo?
● Unatarajia kufuatiliaje viashiria vingine vya athari za maendeleo ambavyo biashara yako inachangia?
Waombaji wanahimizwa kuwa makini, kutoa maelezo mahususi yanayotegemea takwimu, na kuonyesha wazi mpango wao wa kupima na kuripoti athari hizo.

5. Tarehe Muhimu

6. Mchakato wa Kutuma Maombi

Pakua Fomu ya Taarifa

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Fifth Call for Funding Applications

Wito wa Nne wa Maombi ya Ufadhili wa FUNGUO