Lumbini Business Support Center(LBSC)
  

     


Investment / Enterprise Portfolio

Portfolio of Investments

This website is updated regularly to describe LBSC’s investments by sector and size of the enterprise. The details below describe a model enterprise investment enabling a comparison of the benefits of an active partnership with LBSC versus passive financial assistance from GARDP as is the traditional form of donor-funded enterprise development efforts.

Model Investment Under Negotiations: Maitry Dairy
Processing Centre (Analysis of GARDP II vs LBSC Benefits)
  • Dairy plant was established as part of Maitry
         Multipurpose Cooperative in March 2000


  • GARDP II provided Rs 300,000 after inception
         of plant to purchase dairy processing
         equipment




  • Dairy plant capacity (of 500 litres/day) has
         been consistently under-utilized with
         historical annual average is 65 litres/day


  • Supply of milk has been unable to satisfy
         market demand of 1,700 litres/day


  • Public health hazard due to adulterated milk
         from individual farmer suppliers remains
         unchecked


  • Consistent financial losses suffered by dairy
         plant and forced pay cuts of staff
  • LBSC to provide equity investment to Maitry
         Dairy through separate legal entity

  • Maitry Multipurpose Cooperative to contribute
         existing assets and cash to company

  • Establishment of Milk Producers’ Association
         as third investor group



  • Private limited company with maximized
         autonomy, flexibility, and returns to
         shareholders

  • Significantly increased capacity for production
         expansion and diversification (500 litres/day
         the first three months and increasing to 1,500
         litres/day)

  • Significant economic participation and
         benefits for small buffalo milk farmers

  • Positive social impact through quality control,
         education promotion, and market demand
         satisfaction

  • Establishment of solid management and
         enterprise structure with LBSC assistance