Danida Business Partnerships supports partnerships that create value for companies while at the same time add overall value to society. Support will be given to activities that are linked to companies’ core business to ensure long-term viability. All partnerships thus need to have a commercial orientation and the overall performance of the partnership has to contribute with a positive impact on the local community.
All partnerships are to contribute to the achievement of the overall objective of Danida Business Partnerships by creating growth and employment in Danida partner countries. Therefore, an application for support from Danida Business Partnerships must illustrate how the implementation of the proposed business model will contribute to the following development impact criteria:
Depending on the focus of the business model, additional 1-3 of the six criteria below are to be addressed. The business model is, however, not expected to address all of the criteria, but rather to focus resources to maximize impact:
An application for DB Partnerships support will be evaluated against the eight development impact criteria for its perceived development effect.
Innovative approaches with new solutions to social and environmental challenges in developing countries are regarded favorably in the evaluationof applications.
Partnerships in the implementation phase shall monitortheir performance by indicators derived from the impact criteria.
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A Business Development Profile is developed by the Embassy and made available for each partner country with Danida Business Partnerships budgets of more than DKK 1 mill. The profile is updated once a year and aligned with the partner country’s own development policy and private sector development strategy where available, and with Danida’s in-country priorities for supporting development. It points out the sectors and the areas of business with the most opportunities both in terms of development impact and in terms of the possibility of forming sustainable commercial business partnerships and with a view to creating synergy to other Danida programmes. Please see the homepage of the relevant embassy for an updated Business Development Profile for the country.
Relevant business partnerships that seek synergy to other development efforts carried out by Danida or other donors are given preference. Experience shows that coordinated efforts can lead to a much larger development impact and correspondingly more sustainable business collaboration.
A partnership must include as a minimum one Danish private company and one local partner. If it is considered an advantage for the implementation of the business model, partnerships may also include more Danish and local companies, civil society organizations, research institutions and/or other types of partners (i.e. public institutions, local authorities, parastals, etc.).
One local partner and one Danish partner share the overall responsibility towards Danida and act as main partners. The Danish main partner shall be a Danish private company, whose core business or main competences are relevant to the business model of the partnership. The Danish company must take on a key role in the partnership. The local main partner may be a private company, a civil society organization or another legal entity whose competences are relevant for the business model of the partnership and can act as an equal partner.
The main partners are the formal applicants and the application must be co-signed by the main partners. The main partners are the legal recipients of the reimbursements. The main partners must comply with and sign the conditions stipulated in the “General Conditions for support under the Danida Business Partnerships” and shall be jointly and severally liable to Danida. The main partners are responsible for the complementary partners’ compliance withthe “General Conditions for support under Danida Business Partnerships”.
Complementary partners have to sign a legally binding partnership agreement with the two main partners of which a copy must be submitted to the Embassy.
All partners need to have the financial and human resources necessary to perform adequately to pursue a business model. Moreover, full compliance with Danida zero-tolerance on corruption is required.
All partners supported by Danida Business Partnerships are expected to promote responsible business behavior. They have to respect and support the UN Global Compact principles on human rights, labour rights, environment and anti-corruption as well as to ILO’s Decent Work Agenda. All partners are encouraged to sign up for Global Compact.
Detailed obligations are included in the General Conditions for support under the Danida Business Partnerships.
The minimum requirements for a partnership:One Danish company and one local partnerExamples of other partnership constallations:
A Danish main partner company has to demonstrate the following:
A local main-partner has to demonstrate the following:
Subsidiaries of Danish companies as well as any other ownership constellations involving Danish ownership are not eligible as local partners.
If a joint venture between a Danish and a local company is established during the implementation of the business iniative, a minimum of 25% of the joint venture must be under local ownership, whereas the Danish share must not exceed 75%. Significant local involvement and responsibility in the management of the joint venture is required.
All complementary partners have to demonstrate that they have:
The business model is a concretization and operationalisation of the business idea of the partnership which can be supported within Danida Business Partnerships. A business model description includes as a minimum:
Ministry of Foreign Affairs of DenmarkDanidaAsiatisk Plads 2 DK-1448 Copenhagen K Tel. +45 33 92 00 00Fax +45 32 54 05 33um@um.dk