Burkina Faso is a country in West Africa, rich in human and natural resources, is facing many socio-economic challenges. The limited access to financing for local projects often hinders sustainable development.

C’est dans ce contexte que l’économie sociale et solidaire se structure avec de  nombreuses solutions innovantes pour développer  des initiatives locales à fort impact social. Cet article explore comment le financement communautaire peut devenir un véritable levier de développement durable au Burkina Faso.

What is the community funding ?

The community funding, also known under the term crowdfunding is a mechanism of crowdfunding where a community of individuals to financially contribute to projects close to their heart. Unlike traditional sources of financing such as banks or institutional investors, the funding community based on solidarity and local commitment.

The 3 major principles of the community funding

1. Collective Participation : members of the community to invest small amounts of money to achieve a common goal.
2. Transparency : The projects are presented in a transparent manner, with detailed information on their use and impact.
3. Local commitment : The projects funded directly respond to the needs and aspirations of local communities.

Leverage social to succeed in projects with low profitability

Many local initiatives, whether it be the construction of latrines, schools, or processing plants, struggle to get funding traditional due to the lack of guarantees offered locally, or of the complexity of the process to ensure a successful project.

The funding community stands out for the circuits of traditional funding, the primary objective of the financiers as the project goes forward.

Investors are looking for before you all that the project goes to his term rather than a high return on investment, which changes the perspective on the proposed projects.

By involving members of the community in the financing of projects, this model promotes the solidarity and mutual assistance. The participants feel invested in the success of the initiatives, thereby strengthening the social ties and mutual trust.

Le eu funding also encourage project promoters to innovate and propose solutions adapted to local realities. This approach promotes the development of projects that actually respond to the specific needs of populations, thereby increasing their efficiency and sustainability.

Finally, by allowing projects in underprivileged areas of access to finance, community funding helps to reduce socio-economic inequalities. This promotes a more equitable distribution of resources and development opportunities.

An independent evaluation to guarantee the transparency and effectiveness of the financing

An independent evaluation ensures the transparency and efficiency of the funding of the projects. Thus, firms independent evaluation play the role of a trusted third party between the investors and the project managers.

“Offer an unbiased look at the projects that are submitted to us is crucial for the credibility of the institutions involved, but also for the success of these new economic models” Batiana Nacro, Director Terra Invest 

Each initiative is thoroughly analyzed before being submitted to the community for funding. 

Cette approche assure une transparence totale sur l’utilisation des fonds et l’impact attendu, renforçant ainsi la confiance des contributeurs et des parties prenantes. De plus, la validation par un tiers indépendant accroît la crédibilité des projets, ce qui est crucial pour maintenir l’engagement des participants. Enfin, une évaluation rigoureuse permet de mieux identifier et gérer les risques potentiels, augmentant ainsi les chances de succès des projets et leur durabilité sur le long terme.

The + of Terra Biga 

Terra Biga is distinguished by its commitment to support projects with strong social and economic impact. By providing a secure platform and a transparent, Terra Biga facilitates the mobilization of the necessary resources to turn ideas into concrete actions.

How does Terra Biga ?

1. Selection of projects : initiatives that are submitted and evaluated by an independent firm.
2. Presentation on the platform : The approved projects are presented on the platform Terra Biga, with detailed information and clear objectives.
3. Crowdfunding : The members of the community can contribute financially according to their capacities and interests.
4. Monitoring and evaluation : once the funds collected, Terra Biga ensures the monitoring of the progress of the projects and regularly publishes reports of impact.

Conclusion

The funding community presents itself as a powerful lever for sustainable development in Burkina Faso. Facilitating access to finance, strengthening social cohesion and promoting local innovation, this model contributes significantly to the socio-economic transformation of the country. Terra Biga, as a large number of private actors, public or NGO plays a critical role in orchestrating this positive momentum, thus allowing the communities of burkina faso to build a prosperous and sustainable future.