<h1 style="text-align:center;">2014: What's Next</h1>Next year will be focused on scaling. We plan to make more great investments and focus on adding value to our portfolio companies. We will also be doing more work with our angel network. We plan to work more closely with our current chapters and expand organically into a few more cities. We’ll be offering our angels more trip options, benefits for their family members, and creative ways for them to help engage and work with their investments.We will also embark on some innovative projects to strengthen our analysis by gathering and mining sources of local market data, and monitoring and evaluating our portfolio so we can accurately capture and report post-investment metrics.Finally, we hope to create some great success stories, and we will do our best to profile these throughout the year.So stay tuned. Thank you all for your continued support of our company, and we hope to hear from you soon.<figure class="image"><img src="/uploads/photo_ethiopia_whats_next_for_2014_fc1a0de3da.jpg"></figure>Contact us at <a href="mailto:renew@renewcapital.com">renew@renewcapital.com</a> or follow us on Twitter @RENEWLLC to find out more.

A look into what's in store for RENEW in 2014.

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2014: What's Next

<h1 style="text-align:center;">RENEW in 2013</h1>In almost all regards, 2013 was a banner year for RENEW. We facilitated several investments into amazing companies in Ethiopia (see <a href="../../marketplace/portfolio.html">Portfolio</a>), secured great partnerships with the development community, and helped mobilize more than $3 million into our portfolio companies.As for impact, we created more than 20 full time jobs, some 30 part time jobs, supported 190* people, and helped mobilize $39 million** in the local economy.We provided more than five trainings on the basics of private equity, and met with more than 100 local companies.RENEW also hired three amazing staff members (see <a href="../../about-renew/team.html">Team</a>) and had three exceptional fellows participate in our RENEW Fellows Program.2013 was not without its challenges. We learned a lot about doing business in Ethiopia: I personally made some classic “western” blunders with regard to managing my team and negotiating terms with our portfolio companies (thank you all, for your grace, patience and wonderful advice). Nonetheless, we learned a lot from these challenges, and we are excited about what 2014 will bring!*Using the 9x job creation multiplier. **Using the 13x SEAF multiplier.<figure class="image"><img src="/uploads/photo_ethiopia_november_2013_angel_trip_6581aeedc7.jpg"></figure>Contact us at <a href="mailto:renew@renewcapital.com">renew@renewcapital.com</a> or follow us on Twitter @RENEWLLC to find out more.

Read about RENEW's achievements and lessons learned in 2013.

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RENEW in 2013

<h1 style="text-align:center;">Angels in Addis</h1>November has been a busy month for RENEW with two angel groups from the U.S. visiting Addis for Econ-Tourism trips. This was the first trip to Ethiopia for most of the angels, who came from Washington, D.C., Delaware and Oregon.The groups met with countless Ethiopian entrepreneurs and visited a number of businesses spanning a variety of sectors - from healthcare to coffee to injera. All of the angels expressed their surprise and excitement about the incredible potential for growth they saw throughout the trips.<figure class="image"><img src="/uploads/2013_november_angels_3ac8cab271.jpg"></figure><figure class="image"><img src="/uploads/collage_2013_november_angels_oregon_0cc2ddd951.jpg"></figure>RENEW is gearing up for a busy 2014, with several trips already scheduled. Contact us to learn more about scheduling your own Econ-Tourism trip! Contact us at <a href="mailto:renew@renewcapital.com">renew@renewcapital.com</a> or follow us on Twitter @RENEWLLC to find out more.

RENEW hosted two angel groups in Addis in November.

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Angels in Addis

<h1 style="text-align:center;">RENEW's Fellows Program: A View from Inside</h1>This is a guest post by Ryan Musser, who participated in RENEW's Fellows Program from May - August 2013. Ryan lives and works in Washington, D.C.I first learned about RENEW a year ago and was instantly drawn to its mission. As a student and practitioner of international development, I’m always interested in new and better ways to facilitate and encourage development. What attracted me to RENEW is its public-private partnership approach of impact investment that puts the investor and entrepreneur on the same level, rather than the typical donor-recipient relationship in traditional development models. If I were to make a prediction about the future of economic development, I would predict that the way of donor-based economic development projects are on their way out. Impact investment is on its way in.In the upcoming years, <a href="http://www.huffingtonpost.com/randall-kempner/entrepreneurs-are-transfo_b_825105.html">business creation, entrepreneurship, and investment</a> are bound to play an integral role in poverty alleviation around the world. China and India have proven that millions of people can be lifted out of poverty through the market-led economic growth of investment and business creation. Impact investment is an <a href="http://www.forbes.com/sites/skollworldforum/2013/07/30/why-impact-investing-is-an-emerging-paradigm-shift-in-philanthropy/">exciting opportunity </a>for philanthropists and development practitioners seeking to alleviate poverty.But impact investment isn’t just an opportunity for the charity-minded. We now see in Africa in general – and Ethiopia specifically – a situation that is ripe for investment with huge returns. Out of the 10 fastest growing economies in the world in the past decade, six are from Africa. From 2011-2015, seven African countries are set to be among the 10 fastest growing countries in the world, with only China and India being ahead of Ethiopia at 8.1% annual average GDP growth. Already from 2005 - 2009, Ethiopia recorded higher growth than China, averaging 11% growth. From 2003 to 2011, <a href="http://www.consultancyafrica.com/index.php?option=com_content&amp;view=article&amp;id=1325:a-subtle-engagement-ethiopia-and-india&amp;catid=58:asia-dimension-discussion-papers&amp;Itemid=264">Ethiopians have seen their income double</a> from $527 per capita to over $1,100. In the next five years, <a href="http://www.ey.com/Publication/vwLUAssets/The_East_Africa_Boom:_Dont_be_left_behind/$FILE/130219_SGF_TL_East_email_version.pdf">East Africa is expected to attract $6.8 billion of annual foreign direct investment</a>. And investing in this growth in the developing world is profitable. According to WhyDev, forty percent of impact investment funds that focus on emerging markets target a return between 16-20% after fees, carry, and currency conversion.Impact investment is a <a href="http://blogs.hbr.org/2013/01/social-impact-investing-will-b/f">win-win</a> for everyone: investors, entrepreneurs, and the poor. Investors are making money, entrepreneurs are growing their businesses, and the poor are seeing their incomes rise and their quality of life improve. This past summer I participated in a fellowship with RENEW because I want in on this action. I believe that <a href="http://www.economist.com/news/finance-and-economics/21575769-strategies-putting-money-work-fast-growing-continent-hottest">Africa is the future frontier for investment</a> and impact investment is a key tool in the fight to alleviate poverty. If the US wants to stay competitive globally, we need to be investing in Africa, and if international development practitioners want to stay competitive, we need to get involved in impact investing. During my fellowship with RENEW, I had the opportunity to familiarize myself with the impact investing field, gaining insight into the players, the opportunities, and the obstacles faced in impact investing. During this time and through my research with RENEW, my hunch has been confirmed: impact investing is a disruptive innovation here to stay. Whether you’re seeking a financial return or a social return with your money, you can’t ignore impact investing. It’s a crucial tool for the investment world, as well as the philanthropic and aid world, and it’s only just beginning to show its impact in these circles.&nbsp;

Read a guest post by RENEW's fellow, Ryan Musser.

RENEW's Fellows Program: A View from Inside

<h1 style="text-align:center;">Power Africa: Any case studies yet? Maybe...</h1>What is Power Africa? First, let me direct you to the <a href="http://www.whitehouse.gov/the-press-office/2013/06/30/fact-sheet-power-africa">White House Fact Sheet on Power Africa</a>. Great, quick read. Next, I’ll explain it in my own words.Simply put, I think Power Africa is a major shift in how our country views Africa…. and I like it! For a number of years the U.S. government’s focus has been on an initiative called Feed the Future, which, given the amount of arable land that has not been touched on this continent, is a good thing. In Fiscal Year 2012 (FY2012), the initiative focused on 19 countries and helped more than 7 million food producers make improvements, improved the cultivation of 4 million hectares of land, and helped increase the value of exports of targeted commodities by $84 million.With the world population rising, we need more food – it made sense to direct USAID in that direction. What I have observed is that much of the effort of FtF has been focused on helping smallholder farmers. Good? Yes. But, is that really keeping up with where Africa is today, and more importantly, where Africa is going?Well... here comes Power Africa. From what I observe looking out my office window here in Addis Ababa, Ethiopia, Africa is booming! I saw it in Uganda in 2008, Mozambique in 2010, Senegal, Zambia, Zimbabwe in 2011 and now in Ethiopia. The cities are alive. Addis is a great example. This growing metropolis has cranes scattered across the skyline, carrying bags of cement, wires, sheetrock, bricks and blocks to the tops of large buildings. Up they rise. I have weekly meetings with construction companies, block factories, sheetrock companies, cable companies...the list goes on. They are growing and yet starving for capital. According to research conducted by the IFC and McKinsey Global Institute, the total financing gap for SMEs in Africa is between $140 billion and $170 billion.This country - this continent - is industrializing. Of course Africa has its share of problems and aid is still playing a role in helping the least served. But the hungry engine of capitalism is in fifth gear. And what does industry need a lot of? Power! That’s right. So, what is Power Africa? In my very non-jargony, sophomoric words it means “Wow. I think I am getting that Africa is changing, growing, industrializing, and maybe the U.S. needs an initiative to get in, get involved and start participating with her private sector! Because everyone else is.”What does it mean for Africa? What I hope it means is that, instead of seeing just Chinese, Indian, Turkish and (fill in the country’s name other than the U.S.) doing all of the nation-building in the cities, we’ll start seeing some U.S. flags waving, painted on trucks, rigs and machines. I also hope it means that investors will see this great continent as an investment destination they can do business with. Come on over. There are amazing companies in these cities, some even working in the power sectors that could be great partners, clients and collaborators with U.S. companies. So, what does this mean for Africa? I hope it means more U.S. private-sector partners and investors knocking on their door.What does it mean for the United States? See above. America – it’s time.Any case studies? Actually, yes, there are a few. Here’s the 30-second rundown of one. In 2012, RENEW met a great entrepreneur who had lived in the United States, but, after starting a successful engineering company in Michigan, decided to come back to Ethiopia – his homeland – and start a clean energy company here. We introduced him to a group of impact angels from Charlotte, North Carolina in March of 2013 and, after a lot of work, due diligence, structuring, etc., the Charlotte angels closed an investment in dVentus. The investment is allowing the company to develop technology for a smart grid power transmission system in the country. The savings these little circuit boards will have are astonishing. The story goes on. Because of this angel investment the company is now attracting the interest of much larger financiers, and U.S. companies that want to be their partner. Success? Well, that remains to be seen. After all, this is business on the frontier.I know there are more of these stories out there waiting to happen. Investors are ready. Businesses are ready. Africa is ready. Thank you Power Africa for providing the phrase that will help transform this industrializing continent into an economic success story – one smart grid meter at a time.Contact us at <a href="mailto:renew@renewcapital.com">renew@renewcapital.com</a> or follow us on Twitter @RENEWLLC to find out more.

A closer look at the new Power Africa initiative.

Power Africa: Any case studies yet? Maybe...

<h1>Investment Training</h1>SMES…MEET WALL STREET<figure class="image image_resized" style="width:100%;"><img src="/uploads/investment_training_0_189d4e9f1c.png"></figure>RENEW has provided our trademark investment training to SMEs in Kenya, Rwanda, Uganda and Afghanistan. Because of our training and pre-investment technical assistance, SMEs have secured millions in growth capital from private investors.RENEW helps entrepreneurs understand the unwritten rules of attracting private investors (with an emphasis on Western investors), through our investment workshop, one-on-one coaching sessions, and customized investment tools and templates. Through our training, SMEs avoid the common pitfalls many face during the capital raising stages of business growth. Key tools include:Unwritten Rules to Western Investing - <a href="https://renewcapital.com/about-renew/connect">Contact us </a>to sign up for an upcoming session <a href="https://renewcapital.com/sites/default/files/RENEW_Business_Guide_to_Investor_Relationships_2.pdf">Roadmap to Investor Relations</a>Contact us at <a href="mailto:renew@renewcapital.com">renew@renewcapital.com</a> or follow us on Twitter @RENEWLLC to find out more.

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 Investment Training

<h1 style="text-align:center;">RENEW Welcomes Tom Scriven as Partner</h1><figure class="image image-style-align-left image_resized" style="width:19%;"><img src="/uploads/tom_scriven_4_f07dc2333f.jpg"></figure>We are pleased to announce that <a href="https://renewcapital.com/team/tom-scriven">Tom Scriven</a>, who has served as RENEW's consultant and legal advisor since May 2012, will join RENEW's management team as partner and chief counsel.Tom has more than a decade of experience in project and organizational management and has held numerous leadership positions in private sector and community service organizations. As a lawyer, he has advised prominent private equity clients, Global 500 companies and non-profit organizations. He is admitted to the bar in the District of Columbia, Colorado and New York.Please join RENEW in welcoming Tom Scriven to the executive team.<a href="https://renewcapital.com/sites/default/files/renew_press_release_-_scriven__0.pdf">Read the full the press release</a>, contact us at <a href="mailto:renew@renewcapital.com">renew@renewcapital.com</a> or follow us on Twitter @RENEWLLC to find out more.

Join RENEW in welcoming Tom Scriven to the executive team

RENEW Welcomes Tom Scriven as Partner

<h1 style="text-align:center;">The Angels Return</h1>&nbsp;We recently hosted another group of impact angel investors here in Addis Ababa, and I thought it would be good to continue with our tradition of sharing some about their time here.First, a quick recap of what RENEW is doing: RENEW is implementing a new model for how the West can engage Africa. Rather than the traditional model of aid and charity, RENEW’s model uses the West’s capital to invest in high-quality local companies. It is important to clarify that these are profit-oriented investments…not grants, aid or free money of any kind. By applying a market-based strategy that is more appropriate to the realities on the ground here in Africa, local companies will not only create jobs and pay taxes, but provide good returns to investors. This strategy is shaped by three trends RENEW sees happening in Africa and the West. These are:<ol><li>The rise of angel investors versus venture capital funds as a way for wealthy investors to use their capital to support higher risk investments</li><li>The potential of SMEs in Africa, and the rise of the African middle class and private sector</li><li>The formalization of impact investing as a more favorable mechanism to create sustainable impact</li></ol>After a year of rolling this strategy out in Ethiopia, we feel we accurately predicted the market. We recently helped close our first angel group investment in a local energy company, and we have a number of deals scheduled to close this year.This year RENEW has hosted over 25 investors from the West in Ethiopia. We have formalized partnerships with two funds and have closed our first investment. We have a number of investments we are in the process of closing for other angel groups that are forming across the U.S. and Europe.This trip was a little unique because one of the members was a return investor, and the trip was focused on the coffee value chain. We looked at companies along almost the entire supply chain of coffee and it was an eye-opening experience. Here’s the rundown:We had…<ul><li>Site visits with five local companies</li><li>One trip to Yirgechaffe – one of the most well-know coffee farming areas in the country</li><li>A tour of the largest coffee processing factory in Ethiopia</li><li>A reception where entrepreneurs from over 20 businesses had a chance to socialize with investors, and we counted at least two business-to-business deals take place</li><li>A trip to Lalibela and Gondor</li></ul><figure class="image"><img src="/uploads/photo_collage_out_and_about_coffeeland_001_e1a11aebd3.jpg"></figure>There were five investors in the group (excluding the RENEW team), all with various backgrounds including medicine, fund management, entrepreneurship and financial management. Most had skills that spanned multiple industries. Some had extensive experience traveling in Africa. Some had not visited for years; others make regular trips. Needless to say, all of this offered us hours of discussions in the car between meetings, and stories in the evenings over dinners.The results... In the end, we got strong commitments to move forward on some opportunities. There’s a lot of work to be done, but overall the trip was a huge success.Contact us at <a href="mailto:renew@renewcapital.com">renew@renewcapital.com</a> or follow us on Twitter @RENEWLLC to find out more.

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The Angels Return

<h1 style="text-align:center;">Impact Angels Uniting</h1>It's 6:30am on a humid morning in Dallas, Texas. We’re crisscrossing though the streets of this beautiful city in search of a hip breakfast spot where we’re scheduled to meet a group of potential investors, friends and curious guests for breakfast. They are coming to hear a very different story about Africa. The table fills up with business executives, college students, young professionals and savvy connectors. After some formalities and a few rounds of coffee, we start: “We are not here to talk about giving money, poverty, problems in Africa or microfinance. I’m a capitalist. I believe in profit-making business, and that’s what I am here to talk about. RENEW is creating a new path for the West to engage with Africa. The services we provide are not for everyone. The investments we do are risky. And we are selective about who we work with.”After 20 minutes we finish, and the questions start flowing in with far more excitement than doubt: “What types of sectors are you looking at?” “How do you structure your investments?” “How do you form an angel group?” “When’s your next trip?” “Do you offer internship opportunities?” America is tired of the old Africa story. They are hungry for someone to tactically explain how they can invest in the fastest growing economies in the world.<figure class="image"><img src="/uploads/photo_dinner_fort_worth_0_9d3ba544fb.jpg"></figure>This was just one story. In May and June the RENEW team had many of these meetings, with similar outcomes in each city: “We want to start an impact angel group.” We had meetings in Delaware, North Carolina, South Carolina, Washington, DC and Georgia - in total 25 meetings with 38 impact angels, eight investment partners, and one fund. In cities like Charlotte, North Carolina, impact angel groups meet on a regular basis to pore over financial statements, negotiate terms with entrepreneurs and plan their next investment trip to Ethiopia. Across the United States impact angel groups are forming to take up ethical capitalism - impact investing - in Africa. The groups are being started by successful executives and entrepreneurs that know how to start, grow and run companies. They will be making direct investments into small and medium enterprises (SMEs) in East Africa with the goal of building market-leading firms, creating jobs, and getting good returns. I liken it to Warren Buffet meets Indian Jones.There is something refreshing and satisfying in the voices of the people as they leave our breakfast meeting, as if we have realigned something in their minds: they can finally talk about ‘investing’ and ‘Africa’ in the same sentence and feel good about it. Some of these guests have traveled to Africa on mission trips and safaris, quietly wondering how they could use their real talents to do more than build schools or give two-day training seminars. And now, they have an answer.At RENEW, we are not doing anything special or innovative. We are simply doing what China, India and many other countries are doing in Africa: getting in on the ground and doing business. And doing it with a steel ethical backbone. Ethical capitalism - it will always triumph. Our impact angels have a front-row seat to Africa’s industrialization, and they are architecting a new way for the U.S. to participate in Africa’s changing story.This week we are hosting an impact angel group from the U.S. here in Ethiopia, with another group coming in July. In August and September, members of the RENEW team will be back in the U.S. holding events in Texas and along the East Coast. If you are interested in joining or forming an impact angel group, or attending one of our events, please contact Kathleen DeLaHoussaye at <a href="mailto:kdelahoussaye@renewcapital.com">kdelahoussaye@renewcapital.com</a>.

It's 6:30am in Dallas, Texas. We’re crisscrossing though the streets of this beautiful city in search of a hip breakfast spot where we’re scheduled to meet a group of potential investors, friends and curious guests for breakfast.