Blackstone Synergy - Small Businesses concept note

101, VALLEY FIELD COURT, KOROSHO ROAD, off-Gitanga Road Kobil petrol pump, NAIROBI – 00604, P.O. BOX: 23365

PIN: P 051523207T Contact cellular: 0704825527 / 0722258509 / 0786403634

Kenyan terrain

A. Challenges:

1. Small businesses have high outstanding loans causing the diversion of earnings into repaying the interests and the principal borrowed amount.

2. Very small percentage of the earnings is available for retention and growing the business.

3. Almost all the segments of the small businesses co-exist in a stiff competitive environ and do not have the means to work on improving on the brand reach and visibility within the areas of their clientele.

Creating the turnaround algorithm



4. The expertise and knowledge at the disposal of the small business owners is negligible for fuelling growth through improved business management practices.

5. The macro fundamentals of the economy like purchasing power, business and political sentiment change the perspectives of the potential customers and influence greatly the fortunes of the small businesses and consequently the gap in implementing suitable strategies to overcome these challenges is ever widening with no end in sight.

B. Solutions:




1. Professional expertise is required at every stage of the value chain to bring in rejuvenation in the small business cycle.

2. Clusters of small businesses shall be covered by well qualified Certified public Accountants and MBAs to delve deep into the issues of debt management and apportioning the higher equity earnings through a shift in the operations of the small businesses.

3. The professionals shall be working on strategizing the brand enhancement in the perception of the clientele and working on the operations chain as well to reduce the costs substantially at a higher quality order.




4. The finances of the business shall be evaluated real time in the backdrop of the operational improvements and the branding initiatives to benchmark the products of the small businesses and bring in value for money to the clientele.

5. Debt liquidation shall be planned and executed by the professional team on behalf of the small businesses and the owners shall derive real time value on a definite timeline. In short, transformation of small businesses in the Kenyan landscape shall be the primary objective of the Blackstone strategic initiative.

C. Sustainability value

1. The delivery points shall be on the contract and shall be quantifiable improvements on a quarterly timeline.




2. The key parameters for intervention in the small businesses shall be a) Operations – quality of the process and the product as also the costs of operating, b) Sales strategy – cash sales and revenues thereof and the improvements therein, c) Brand strategy – wherein the product branding is done, brand reach and visibility are improved on and the perception of “value for money” is set in.

3. There shall be timeline improvements mentioned in the contract for each month of the intervention followed by the composite values for the first quarter and from thereon for each subsequent quarter.

4. The performance appraisal of Blackstone intervention shall be done each quarter during a detailed review wherein the changes are recorded officially and worked on for the future growth of the small businesses being intervened upon.




5. The graces to bring in lasting impact on the small businesses are sought to be won through the Blackstone intervention.

D. Concluding remarks

1. Blackstone Synergy intervenes to make a difference in the fortunes of the small businesses and therefore in the lives of individuals and people affected directly and indirectly through these businesses.

2. Reaching out to the humanity at large through the leveraging of the available expertise is the primary objective of the team at Blackstone Synergy.




3. The company has been founded on Biblical principles and the “Gospel in action” is sought to be enacted through these strategic initiatives in making the small businesses flourish.

Peoples and processes partaking in these initiatives in whatever form be blessed abundantly.




PARAMETER DELIVERY-Q1 DELIVERY-Q2 DELIVERY-Q3 DELIVERY-Q4Cost of operations 10% reduction 15 % reduction 20% reduction 25% reduction

Brand reach and visibility 25% + 40% + 50% + 150%+Sales revenue 30%+ 50%+ 75%+ 100%+

Margins 27%+ 40%+ 60%+ 75%+Liquidation of debt 10%- 15%- 20%- 25%-

Retained earnings for expansion / makeover / bonus

10%+ 15%+ 20%+ 25%+

Retained earnings as percentage of capital outlay

5%+ 7% 10% 10%


Blackstone Synergy - Small Businesses concept note

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