By Fazeena Saleem
DOHA: Small enterprises in Qatar face many challenges in expanding their business, the biggest ones being lack of funds and bureaucratic and legal hurdles in registering.
For some, investment itself is a problem, while others find it difficult to pay high rents for a suitable space to set up their business. Without a proper place to run the business they are not entitled to register.
Poor knowledge of marketing and managing a business are also drawbacks for small enterprises.
Some institutions, including Qatar Development Bank, the Social Development Centre and the Ministry of Social Affairs, claim to support small enterprises in Qatar. But the support is not sufficient for a small enterprise to expand its business.
“We didn’t go for a loan, because for that we have to go through a lot of bureaucracy. But we face financial difficulties and are unable to overcome them. We have not registered the business because we need to have QR 200,000 as investment,” said Mashal Al Jassim, an exhibitor at the Made in Qatar exhibition, which concluded yesterday.
Al Jassim stitches and sells clothes along with three of her friends.
“The prices are very high. Clothes, tailoring and delivery cost us a lot, so we have to sell at high prices. Because of this, we get few customers,” she said.
“This is our third exhibition. Exhibiting is not enough, we need to get some training in how to manage a business,” she added.
Many owners face difficulties in finding a place to set up their business. As a result they are unable to get their business registered, since a permanent business address is required for registration of a small enterprise.
“The biggest problem I face is in finding a place to put up a shop. Rents are very high. There are shops given at Souq Waqif, but I was not able to get one. Because of this, I’m unable to complete by business registration,” said Faten Al Turki, who runs Natural Beauty, which makes soap and perfumes at a small ‘factory’ in her house. She has been in the business for two years and is supported by the scheme Dar Al Anma.
She complained that exhibitions did not help in getting long-term customers.
“This is the tenth exhibition I am participating in. Exhibitions are good, but they don’t make a long-term impact in our business. There are so many people exhibiting their products here, most of them selling from home. If we all can have one permanent place, then customers will become familiar (with us) and we will have good business,” said Al Turki.
Fatma is another small enterprise owner supported by Dar Al Anma. She sells abayas and perfumes, but is finding it difficult to set up a proper shop due to high rents. “If I have a shop to sell the products, it will help the business develop. Now I am selling things from home, but more customers would come if there is a proper shop,” she said.
Lack of training in managing and developing a business is another hurdle faced by owners of small enterprises. Some have received training or support in starting their business, but not enough to expand it.
Suad Jawahar is a young woman who makes food items at home and sells them to known customers. She was supported by the Department of Family Development at the Ministry of Social Affairs. “We need training and support to develop the business, like learning new ways to make the business grow,” she said.
The Ministry of Social Affairs, which supports small enterprises, agrees with some of these complaints, but claims to help small enterprises through all possible channels.
“We support families who want to do a business but need support, especially the ones with less income. We don’t give them any direct financial help, but help them find a sponsor,” said Eid Al Sheebi, coordinator of exhibitions at the Ministry of Social Affairs.
Al Sheebi agreed that many small businesses struggle because of high rents. “We do our best to find them a place. We have rented six shops at Barwa Village in Al Wakra, and one shop is shared by two to three people,” he said. “We have found places for some at Souq Waqif too,” he added.
There are about 400 families registered with the ministry’s Department of Producing Families Development, and they receive support to promote their business, especially in the form of exhibitions and sponsors to help develop the small enterprise.
THE PENINSULA
