In a bid to tackle Uganda’s high business failure rate, the Directorate of Insolvency and Receivership, under the Uganda Registration Services Bureau (URSB), has launched the Corporate Rescue and Aftercare Support Program 2024/2025.
This initiative aims to equip entrepreneurs and corporate entities with essential skills in financial literacy, corporate governance, and business management to enhance business sustainability.
According to the 2016 Global Entrepreneurship Monitor (GEM) Report, Uganda was ranked among the world’s most entrepreneurial countries.
However, it also recorded one of the highest business failure rates, with one business closing for every new one started.
This alarming trend is attributed to inadequate business management skills, financial illiteracy, weak corporate governance, and external shocks such as the COVID-19 pandemic.
The newly launched program aligns with Uganda’s National Development Plan (NDPIII) goal of fostering private sector development by preventing insolvency and supporting business recovery.
Speaking at the launch, Mr. James Bulenzibuto, the Chief Eecutive Officer, Elimu Trust Eastern Africa, through the Directorate of Insolvency and Receivership emphasized the importance of taking action before businesses fail.
“We are not here just to build CVs. We are here because the Directorate believes in proactive solutions, not postmortems for failed businesses. Let’s change the narrative. Ask your questions, we are here to equip you for success.”
The program encourages participants to fully engage in discussions and training sessions to develop strategies that will help their businesses thrive.
Ms. Barbara Kasekende, Head Advisory Department, Uganda Development Bank (UDB) said, ” Debt should be an enabler, not a burden! If the answer to any of these is yes, reconsider. Smart borrowing fuels growth whereas reckless debt sinks businesses, she added.
Since 2016, the Official Receiver has organized multiple insolvency conferences targeting key stakeholders such as judicial officers, insolvency practitioners, bankers, regulators, and policymakers. Building on this foundation, the Corporate Rescue and Aftercare Support Program is a proactive effort to empower business owners with practical skills necessary for financial stability and sustainable growth.
The program is designed for a wide range of participants, including; Entrepreneurs, business owners, Boards of corporate entities, Regulators and policymakers as well as Academia and business educators.
Through this initiative, the Directorate of Insolvency and Receivership aims to promote a culture of resilience and strategic business management, ensuring that more Ugandan businesses survive and thrive in the ever-evolving economy.