Application procedure

 

 

LCF CALL 3 COMING SOON!

OPENING FOR SUBMISSION OF EXPRESSION OF INTEREST: 2nd NOVEMBER 2020

DEADLINE FOR SUBMISSION OF EXPRESSION OF INTEREST: 15th NOVEMBER 2020

Please Note: All information here below is subject to changes.

Application Process - LCF Call 3

The application process consists of 15 steps and the entire process from application to being awarded LCF funding takes around 4 months. 

Below each step is fully explained. Click on the title of the box to reveal the information on each step: 

The 1st step is is a public call for proposals.  By a set deadline, applicants will have to submit their expression of interest in order to be taken into consideration for the selection process. 

An expression of interest is the first step in the application process for support from LCF. This is intended to give the LCF secretariat an overview of the project idea, so they can assess whether it conforms to the LCF objectives. The expression of interest template can be completed in English or Kinyarwanda.

Besides the expression of interest template, the applicant shall submit the following documents:

  • Registration certificate for the company (RDB), cooperative (RCA), or NGO (RGB) of the applicant partner, TVET (WDA)
  • Registration certificate for the company (RDB), cooperative (RCA), TVET (WDA) all other partners (not obliged for informal companies under window 1)
  • For each member, evidence documents proving where the company is operating. Note that the applicant company should be operating in one of the 9 Districts (Gisagara, Huye, Nyamagabe, Rulindo, Burera, Gatsibo, Kirehe, Karongi, and Nyamasheke)
  • Signed ‘Partnership Agreement’

Supporting documents must be supplied in the form of originals or certified copies of the said originals.

The expression of interest shall be submitted online on www.lcf.rw. A prompt automated reply will be sent to the applicants confirming receipt of the expression of interest once it is well uploaded and an expression of interest submission number will be provided.

The expression of interest submission number is proof to the applicant that the application was submitted and can be used in any further communication with the LCF Secretariat, both at District and LODA levels. The expression of interest submission number will be automatically provided by the website, or by the LCF Fund Manager.

Application forms sent by any other means (e.g. by fax or by post) or delivered through email addresses will be rejected.

Potential LCF applicants that have questions about LCF and the application process can address their questions through the following channels:

 

The submitted expression of interest application form will be evaluated as per the table below.

What will be evaluated ? Who will evaluate ?
Administrative and partnership compliance
Are the applicant organizations and other partners eligible; is the applicant organization registered, is the partnership form eligible? etc.
LCF Fund Manager

Technical compliance
Evaluation of expression of interest along the selection criteria (see application guidelines)

District Evaluation Committee

The expression of interest to be evaluated has first of all to comply with the administrative and partnership requirements. Only those applicants that have fulfilled administrative and partnership compliance will undergo technical evaluation.

The expression of interest will be given an overall score out of 25. Only those applicants who have been given a total average score of minimum 18 points will qualify to submit full application documents.

Following the evaluation of the expression of interest, applicant will be informed in writing indicating the scores obtained for this part of the evaluation and whether they have been shortlisted and are eligible to submit a full proposal.

If successful in Expression of Interest, applicants will be requested in writing by the LCF Secretariat to submit a full application document.

The template for full application will be available on the LCF website once successful applicants of Expression of Interest stage are announced. 

The supporting documentation to be submitted by the applicant is different for window 1 and window 2:

For window 1, the applicant must submit the following documents at the time of application:

  • Evidence of own funding requirement (for instance bank statement, title deeds, invoices of value assets)
  • Signed ‘Partnership Agreement’, notified by District notary

For window 2, the applicant must submit the following documents at the time of application:

  • Evidence of own funding requirement (for instance bank statement, title deeds, invoices of value assets)
  • Signed ‘Partnership Agreement’, notified by District notary
  • Audited financial statements for the applicant partner for the last financial year if available
     

Supporting documents must be supplied in the form of originals or certified copies of the said originals.

The full proposal shall be submitted online on www.lcf.rw. A prompt automated reply will be sent to the applicants once it is correctly uploaded confirming the receipt of the full application. A full application submission number will be provided.

The full application submission number is proof to the applicant that the application was submitted and can be used in any further communication with the LCF Secretariat, both on LODA and District level. Full application submission number will be automatically provided by the website, or by the LCF Fund Manager.

Application forms sent by any other means (e.g. by fax or by mail) or delivered to email addresses will be rejected.

Full application documents will be evaluated as per the below table:

What will be evaluated ? Who will evaluate ?

Administrative compliance
have all required documents been submitted, has all been completed

LCF Fund Manager
Technical evaluation
along the selection criteria (see application guidelines)
External evaluation consultants

During the technical evaluation, it could be that the evaluation consultants will interview the project partners for verification of submitted information.

 

The full application will be given an overall score out of 75. Only those applicants who have been given a total average score of a minimum amount of points to be set by the consultants depending on the amount of applications will qualify and will be taken into account for due diligence phase.
 

The results of the evaluation of the full application documents shall be provisionally communicated to the applicants on after the evaluation has been completed in writing. 

A due diligence will be conducted with the projects that have passed the full proposal evaluation. The main purpose of the due diligence is to assess the capacity of the project partners to implement the project. During due diligence the existence of the company, legal structure, financial management and internal control system, procurement systems, human resources system, project performance management and organizational sustainability will be assessed.

The due diligence includes as well a meeting between LCF Secretariat and project partners to discuss their idea and identify whether the project to be implemented was well thought through and is commercially viable.

The outcome of the due diligence process can overrule the evaluation of the full proposal. If the due diligence is not satisfactory, LCF has the right to not sign a contract with the applicant organization and refrain from distributing funds.

What will be evaluated Due diligence evaluation team
  • Confirmation of the physical existence of the organization;
  • Discussion of project concept with the members of the partnership to determine whether the project was well thought through and if it is feasible;
  • Commercial viability of the proposed project;
  • Determination of whether the organization has sufficient financial and managerial capacity to manage LCF funds in accordance with Government of Rwanda (GoR) and LCF designed operational manual;
  • Identification at early stage any potential risk that may arise and find out mitigation measure; Determination the degree of support and oversight necessary to ensure proper management and accountability of funds disbursed to the organization.
  1. LODA staff member
  2. Staff member from Business Development and Employment Unit District
  3. The legal expert of LODA or District
  4. Financial and procurement staff of PCU RDSP
  5. Marketing expert External consultants

The LCF Investment Committee will be solely responsible for approval of final funding decisions and will sit within one week after the due diligence process is completed. Their decisions will be based on recommendations from LCF Secretariat, External consultants and the due diligence process.

The final decision on the funding decisions of the LCF Investment Committee shall be notified to the applicants according to budget availability: The projects that will be approved by the LCF Investment Committee will be ranked into a database that remains valid for two years. The highest ranked project will receive funding first, followed by the 2nd, 3rd, etc. ranked project. The funding allocation will happen depending on budget availability.

All projects that have been approved by the LCF Investment Committee shall be informed that they are part of the database. Once funding is available, the projects will be re-contacted to start contract negotiations.

Once project partners are informed that contract negotiations can start, a bank and/or insurance guarantee should be provided by the project partners to the District. This guarantee should be for the 1st instalment (or other amount as agreed with District) and should be available before the contract is signed. The fees to obtain the guarantee should be paid by the project partners.

These guarantees need to be issued by a commercial bank or insurance provider, SACCO's are not accepted.

 

The contract shall be signed between District and applicant organization. The contract shall clearly indicate the terms, conditions and obligations of each party.

The disbursement procedure will be described in the Contract between applicant organization and the respective District. Funds are disbursed on a 40-40-20 % basis. Monitoring and Evaluation modalities will be emphasized from the design to the end/closure of projects.

Each applicant will have to report to the LCF Secretariat on a quarterly basis. This will be done through two templates, namely a financial reporting template and an activity reporting template. The templates to be used are part of the contract.

Once the project has been completed a financial audit of the project might be conducted. 

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