Business
Tajdin new Daraz CMO
Online marketplace Daraz has recently appointed Md Tajdin Hassan as its chief marketing officer (CMO).
Tajdin will be responsible for managing and overseeing all the marketing-related issues of Daraz Bangladesh.
Read: Daraz ropes in Hasinul as chief corporate affairs officer
Before joining the e-commerce platform, he worked as chief strategy and digital transformation officer at The Daily Star.
Tajdin brings with him fourteen years of experience and a successful track record in marketing.
Read: Realme partners with Daraz to develop online channel, sales
"With new opportunities, comes better challenges and more scope for growth. I am very excited about embracing the role of CMO at Daraz Bangladesh," he said.
Daraz Managing Director Syed Mostahidal Hoq said, "Md Tajdin Hassan is undoubtedly an excellent match for the position and a very strong asset to the marketing department of Daraz."
Read Upay holds 1st AGM
Angel Investment 101: Is It the Right Track for Your Startup?
The startup scenario in Bangladesh first came into existence in the early 2010s. This was a time when Bangladesh was seeing steady growth and increased accessibility all around. There are over 1000 startups in Bangladesh as of 2021 and the number is expected to grow as the country and the economy becomes more digitized. But are there enough funding opportunities for these startups? This is where angel investors come in. Though Bangladesh is yet to achieve a healthy investment ecosystem, angel investment has been playing a key role at the micro-level. Now, what is an angel investment and how do startups stand to benefit from it? Read along to find out.
What is angel investment?
Angel investment happens through an angel investor, that is someone with a considerable chunk of wealth who’s willing to invest in the early phase of a startup. While it's mostly limited to the scope of a single-person investment, there are instances where an investment company acts as an angel investor in startups. The mechanism of angel investment is similar to other forms of investments. Here an angel investor invests a certain lump sum in the startup in exchange for ownership equity.
Read The Difference between a Startup and a Small Business
Angel investor faces a lot of risk in terms of the investment itself. A startup has several phases in its growth trajectory. It starts with an idea which then moves onto an MVP or market viable product. After that comes the growth, expansion, and maturity phase. While most venture investors, banks, and equity firms invest from the growth phase with IPO being exclusive to the maturity phase, the scope of an angel investor is limited up until MVP. The initial investment in the idea itself without any proof of product-market fit increases the investment risk exponentially. As a result, you might have to dish out larger equity for a lower investment.
The data regarding angel investment in Bangladesh might not be enough to give a glimpse into its implication in the startup sector. However, the lower limit of investment can be as low as 0.5 million BDT to upward of several million dollars.
Read Investment Guide: How Bangladeshi Youths Can Invest money and Create Wealth?
What should you look for in an angel investor?
Now you might be thinking what’s there to look for in an angel investor? They are literally investing money in your startup when it’s nothing more than an idea. Compared with the rate of startup growth in Bangladesh, the chance of scoring an angel investor is slim as it is. However, there are still some aspects to be considered to make sure you make the most out of the deal and your investor. Because there are more to angel investing than giving up equity for cash. Here are our top 4 picks to consider.
Industry knowledge
An angel investor should have sufficient knowledge of the investing industry. Think of angel investors as mentors. Someone who has worked in the industry before knows the ins and outs and things to avoid which you won't generally have access to in your starting phase. This will help any startup avoid potential pitfalls. A study conducted by Nesta showed that angel investor investing in a known industry sees a better return on their equity.
Pran-RFL distributes food among 11,000 low-income families
Pran-RFL Group distributed food items to the low-income people, who have been hit hard by the lockdown put in place to curb the spread of Covid-19.
The group distributed food items, including rice, dal, vermicelli (semai), oil, noodle and UHT milk, among 11,000 families in various parts of Dhaka city and Gazipur, Narsingdi, Rajshahi, Natore and Jhenaidah districts from July 23-30.
READ: Pran Drinking Water gives food to the needy in Ramadan
"We are extending our support to the low-income working people of various professions as part of our corporate social responsibility," Pran-RFL Marketing Director Kamruzzaman Kamal said.
Islami Bank holds board of directors' meeting
A meeting of the board of directors of Islami Bank Bangladesh was held Saturday on a virtual platform.
Professor Md Nazmul Hassan, chairman of the bank, presided over the meeting.
READ: IBBL Rangpur holds business development conference
Md Shahabuddin, vice-chairmen of the board of directors, Dr Areef Suleman, foreign director and representative of Islamic Development Bank, joined the meeting.
Mohammed Monirul Moula, managing director and CEO of Islami Bank, and JQM Habibullah, deputy managing director and company secretary, also attended the meeting.
READ: IBBL Dhaka Central holds business development conference
The meeting approved the second quarter unaudited financial statements of Islami Bank. It also discussed the business performance of the bank and took some key policy decisions.
Student Loans in Bangladesh: Banks Offering Education Loans for Higher Studies
Many aspiring students of Bangladesh dreams of a better higher education opportunity. The reputed public Universities of Bangladesh can accommodate a limited number of new students every year. As the scope of international quality higher education is limited in Bangladesh, many students want to study abroad. Besides, some private universities of Bangladesh are also providing world-class education. However, the cost of studying abroad or in private institutions is out of reach for many. Education loans can be a great option for them. Let's take a deeper look into the student loan schemes of Bangladesh and what you should consider before opting for one.
What is an Education Loan?
Education loan or student loan works similarly like other loans. Depending on banks, you can get about 5 Lac to 20 Lac BDT in loans for your higher studies. Most banks offer a competitive interest rate on the loans which makes it easier to pay back once you settle down.
Education loans are a flexible and easy loan scheme that is offered by almost all the leading private, including some government banks of Bangladesh.
In Bangladesh, a good number of students fail to complete the higher education cycle due to a lack of funds. In that regard, student loans can act as a financial net for the students to complete their education and create a career for themselves.
Read Best Car Loans in Bangladesh to Grab Your Dream Car
Things to Consider Before Getting a Student Loan
Eligibility for Loan
Every bank has a stipulated requirement for loans. The eligibility criteria are listed on the respective websites of each bank. Every bank has a minimum parental income requirement or security deposit. These minimum criteria grossly differ from bank to bank. The eligibility criteria will help you to deduce which scheme will work best for you.
Interest Rate and Repay Period
Another factor to consider is the interest rate and the repayment period of the loan. The interest rate differs from bank to bank and so does the repayment period. It generally hovers between 9% to 12%. The repayment tenure goes as high as 60 months. Based on your needs and ability, you can easily choose the best possible option for yourself.
Understand the Terms and Conditions Well
It's important to read the terms and conditions well before signing up for a loan scheme. There might be charges and rules that aren’t explicitly mentioned in the brief. So, it's important to be well informed about everything beforehand.
Read: The Emerging Logistics Tech Startups, Courier, Delivery Services in Bangladesh
Calculate Your EMI
Regardless of the duration of the repayment, you need to have a clear idea about the monthly EMI of your loan. It is granted that you won't have the means to pay a hefty premium monthly. Choose a repayment duration based on your ability to coincide with the EMI.
Best Banks for Education Loans in Bangladesh
Mercantile Bank Student Loan
Mercantile Bank was established in 1999 as one of the premier private banks of the country. The bank operates with a range of services in different sectors and industries of Bangladesh. The company started providing student loans in 2016 to eligible candidates.
The loan limit to study in Bangladesh is 5 Lac and for abroad, it's 20 Lac. The loan is issued for students who have completed their HSC or equivalent degree. The interest rate is 9% per annum which is added every year. The repayment tenure is 12 to 72 months. You are eligible to use the money for admission fees and accommodation. In addition to that, all expenses related to the completion of the degree are covered within the scope of the loan. You can learn more about the student loan scheme of Mercantile bank from here.
Read Best Home Loans in Bangladesh to Build Your Dream Nest
One Bank Student Loan
One bank was founded in 1999. Since its inception, One bank has been a key player in the private banking sector of Bangladesh. This bank also offers an education loan scheme. However, there are certain differences.
The One bank education loan isn’t allocated to the student. Rather a parent or an eligible guardian has to apply for the loan on behalf of the student. The minimum eligibility for a salaried guardian is 25000 BDT to 50000 BDT monthly income depending on the profession of the guardian.
The loan ranges from 50000 BDT to 20 Lac BDT depending on the need of the student. The interest rate is set at 9% per annum. You will be given up to 60 months tenure to repay the loan. The loan is applicable for usage in education-related purposes both at home and abroad. However, the minimum salary cap for the guardian is an added constraint for many aspiring students with financial needs. To learn more about the loan and its criteria, you can refer here.
Read Mobile Insurance Offers in Bangladesh Can Save Lives
Investment Guide: How Bangladeshi Youths Can Invest money and Create Wealth?
Most young people in first-world countries want to do something new. It is normal to be an entrepreneur there. But most of the young people in Bangladesh want to get a job. Not everyone thinks of themselves as entrepreneurs.
This is due to some conventional social ideas, and some lack of enthusiasm of the youth. Traditionally we think Jobs are better than business, respectable. And if you do business, you have to run after investments. That's why we have to declare to be an entrepreneur. However, this does not mean that it is bad to have a job. Some will work, some will be entrepreneurs. There is no conflict between the two.
Read How to Restart Your Career after a Break?
We do not try to understand that the entrepreneurs will lead Bangladesh. But you have to have the vision to be an entrepreneur. A dream, concentrated pursuit, and passion are needed. Moreover, you must have to be stubborn. And we especially need the knowledge-based thinking of today's age. So, how can you invest to create wealth at a young age? Read on to know the ways.
Why should the youths think about Wealth Creation?
About 22 lakh youths enter the job market in the country every year. Even after being sent abroad, with government-private jobs and being involved in various informal activities, about 1 million boys and girls cannot afford a decent job for themselves every year. Needless to say, if even 10 percent of these 22-lakh youth can be turned into entrepreneurs, then they will be able to provide employment to the rest.
According to a World Economic Forum report, the invention of new technologies has created more new jobs in the market. That will still be the case. But the preparation for that must be revolutionary!
Read What makes a Great Manager: Know the Qualities and Skills
Apart from studying, you should also focus on problem-solving, core skills, public management skills, and communication. All these together will help a student to become an entrepreneur, at the same time make themselves ready for the job market too.
Nevertheless, Bangladeshi jobs are saturated, and getting a job is becoming harder day by day. Moreover, getting qualified candidates is even harder. So, the youth should think of alternative ways to build their career and focus on wealth creation from a young age. This is because the Bangladeshi economy is growing. As per the recent report by HSBC Global, “Bangladesh is likely to be the biggest mover in the global gross domestic product rankings in 2030, becoming the 26th largest economy in the world from 42nd now.”
Furthermore, the per capita income was also raised. Despite these favorable conditions, people are still wary of investing. The young generation should focus more on building their empire using all the favorable economic conditions. Because wealth cannot be built overnight. Therefore, starting from a young age is the prime time. It is because an early start gives the opportunity to have more time, and eventually, time leads to building wealth.
Read Traits of the Smartest and Most Efficient Employees
Furthermore, at a young age, people tend to take more risks and the risk tolerance level is also high. At a young age, you can cope up with a failure and can start over again. On the other hand, it is not possible in the older age or even in middle age.
As you get older, you will have more financial responsibilities on your shoulders. Besides, with the growing responsibilities, your risk-taking character diminishes. But these things don’t matter if you are young. At a young age, you can start with a small investment. Over the period, the small investment will generate substantial wealth if you act right.
Thinking about Investing
You might not have enough money to invest or you might have some savings to invest. In both cases, a proper plan can get you the gem. Furthermore, a mindset is also an important element before investing. It can increase your earnings. However, if you spend your earnings without a plan, you will find difficulties keeping track.
If you want to be rich and successful in life, you don't just have to spend wisely. You will also need to work hard. What else you might need?
Let’s find them out.
It is very important that you have a deep attachment to the work you are doing. You have to have a love for your work, you have to enjoy your work as well as work hard.
Read Saving vs. Investing Money: Know the Pros and Cons
There are always different types of people around you, many of whom are people who have no purpose in life. It is better to stay away from people of this nature. Stay In touch with those who set their own goals, those who are constantly working to reach success. You will also have the desire to achieve success. This is one of the best ways to achieve success quickly.
However, you can also find an investor if you have a profitable business plan. In this case, just as you have to have a clear idea about your business model, the general issues like income expenditure, profit-loss should be at your fingertips. Usually, investors try to find out the real situation by asking questions about various aspects of the business. Business capital can be matched if you can satisfy the investor with the requirements.
When you think about investing in anything, keep in mind that investments come with risk too. In fact, you should be prepared for the loss too.
Read Renowned online payment gateways in Bangladesh for domestic, international transactions
Upay holds 1st AGM
The first annual general meeting (AGM) of mobile financial services (MFS) provider upay was held Thursday.
Upay is the MFS brand of UCB Fintech, a subsidiary of United Commercial Bank.
Read: Upay, Falcon sign agreement on salary disbursement
Anisuzzaman Chowdhury, chairman of the board of directors of UCB Fintech, chaired the AGM.
Members of the board of directors Mohammed Shawkat Jamil, Bashir Ahmed, ATM Tahmiduzzaman; Independent Director Ashraf Bin Taj, and Managing Director of UCB Fintech Sydul H Khandaker and senior officials of upay were also present at the AGM.
Read: upay, Guardian Life Insurance sign agreement
UCB Fintech was established on July 30, 2020, as a subsidiary of United Commercial Bank to provide mobile financial services to everyone.
The company launched its commercial operation on March 17, 2021.
Toyota retains crown as world's best-selling automaker in Jan-June
Toyota Motor Corp. remained the world's best-selling automaker with a record 5.47 million vehicles sold in the first six months of 2021, outpacing German archrival Volkswagen AG, the Japanese company's data showed Thursday.
It is the second year in a row that Toyota has been the world's top automaker in the first half, underscoring its sharp recovery from the initial fallout from the coronavirus pandemic and relative resilience despite a global chip crunch.
Toyota's previous record sales for the first half of a year was set in 2019 with about 5.31 million vehicles sold globally.
Toyota has enjoyed robust sales in its key markets such as the United States and China. A Toyota official said the automaker has been able to "limit" the impact of the global semiconductor shortage.
Read: Air bag woes force Honda, Toyota to recall 6M vehicles
In the January-June period, Toyota sold 5,467,218 vehicles globally, up 31.3 percent from a year earlier. The figure includes those sold by its minivehicle-manufacturing subsidiary Daihatsu Motor Co. and truck maker Hino Motors Ltd.
Volkswagen sold 4,978,200 vehicles in the same period, up 27.9 percent from a year earlier.
In the six months through June, strong demand for new models in North America and China lifted Toyota's overseas sales to a record 4.3 million vehicles, a 36.5 percent year-on-year jump.
In Japan, the manufacturer of the Harrier SUV and Yaris compact car reported a 15.0 percent increase in sales to 1.17 million vehicles, including minicars with engines of up to 660 cc, Toyota said.
Read: Toyota to recall 1,380 defective cars in China
In the whole of 2020, Toyota reclaimed its crown as the top-selling automaker from Volkswagen for the first time in five years.
Among other Japanese automakers, Honda Motor Co. sold 2.37 million vehicles in the six-month period, up 25.8 percent from a year earlier, while Nissan Motor Co. reported its first year-on-year global sales growth in four years with 2.20 million vehicles, up 21.5 percent.
The global shortage of chips has forced automakers including Toyota and Volkswagen to curb production, casting a shadow over the auto industry. The pandemic has been boosting demand for semiconductors, used in a variety of products from laptops and game consoles to cars.
New mobile financial, payment service 'tap' launched
New mobile financial and payment service Trust Axiata Pay, "tap," was launched Wednesday.
Chief of Army Staff General SM Shafiuddin Ahmed, who is also the chairman of Trust Axiata Digital – the company that owns tap, announced the commercial operation of the country's newest mobile financial and payment service at the Trust Bank head office in Dhaka.
"In this technological era, mobile financial services or MFS is a very fitting and useful technological tool. So, Trust Bank – a company of the Army Welfare Trust – has partnered with Axiata Digital Services to launch the Trust Axiata Pay or tap," General Shafiuddin said.
Read: Mobile financial service providers must inform customers about service charges: BB
Humaira Azam, managing director and chief executive officer of Trust Bank, said: "Trust Bank aims to provide the best banking services to the people. That is why we have teamed up with Axiata Group. I believe digital transaction services can reach new heights through this partnership."
Trust Axiata Digital was founded in May last year as a mobile financial services company.
The company is a joint venture between Bangladesh's Trust Bank and Malaysia's Axiata Digital Services.
Read: Fintech MFS: Best Mobile Financial Services in Bangladesh
Formed under the Bangladesh Mobile Financial Services Regulations, 2018, Trust Axiata Digital will operate as an MFS and payment service provider (PSP).
Tap will cater to all customers; corporate and government payments like merchant shopping, bill payment, fund transfer, cash-out from agent, add money from bank, insurance bill, passport fees, utility bill, NID fee, tuition fees, mobile recharge and e-commerce.
IBBL Rajshahi holds business development conference
Islami Bank Bangladesh Limited (IBBL) Rajshahi Zone recently organised a business development conference on a virtual platform.
Mohammed Monirul Moula, managing director and CEO of the bank, addressed the programme as chief guest.
READ: IBBL Rangpur holds business development conference
IBBL deputy managing directors Abu Reza Md Yeahia, Md Mostafizur Rahman Siddiquee; senior executive vice-presidents Mohammad Jamal Uddin Mazumder, Salim Anwar, Mohammad Sayeed Ullah and GM Mohd Gias Uddin Quader also joined the programme.
READ: IBBL Dhaka Central holds business development conference
Md Mizanur Rahman Mizi, head of Rajshahi Zone, presided over the programme, according to a press release.