Family businesses in border villages

We are proud to raise donations which benefit the development and improvement of infrastructure in rural areas of Armenia. Each dollar goes a long way in helping transform, improve, and sustain businesses. Projects funded by AEF are carefully selected through a thorough process. This process ensures that risks are controlled, a plan is in place, and resources for the project are prepared and aligned. Each proposal is reviewed by the organization and every dollar is tracked and audited to prevent risks.

Most recently, we partnered with another non-profit organization, Sahman NGO, in order to finance multiple businesses in Baghanis village. Baghanis is situated on the main highway between Yerevan and Tbilisi approximately 175km from Yerevan, 41km from Ijevan and less than 1km from the contact line with Azerbaijan. The current population of the village is 900 people.

In an effort to strengthen the community and resolve of the people, we raised $8,000 to help fund and establish five businesses in this village. In order to qualify for funding, individuals requesting funds were required to submit a formal business plan as well as go through a rigorous interview process conducted by Sahman board members.

“It’s never late to remember and use the skills you learned in the past’ - says Nune Edigaryan, housewife and as of 9 months ago, the founder of “Arar” – a sewing and alterations salon. She studied sewing and design at the Noyemberyan School of Design and although she had always planned to put these skills to good use, the timing was never right until Sahman NGO began supporting small businesses in Baghanis.

The initiative, implemented by Sahman, was made possible thanks to the generous support of the Armenian Eagles Foundation. Nune received a professional sewing machine, materials to start off with and small orders from Sahman to get her talented hands used to sewing again.

Thanks to this support, Nune is now flooded with orders from within the local village as well as surrounding villages. “Nune is so busy, we barely see her, most days she works well into the night” – says Ms Voskehat, Nune’s mother. “I’m glad that she can use what she learned years ago to help support her family and be more confident in her work. It’ll take a while to get going but in time and with more orders, I know she’ll be a great success.”

"First of all, I am happy to be able to help people. When they need something altered or something made from scratch, I’m here ready to help. It’s a great feeling! I’m happy to earn my own money and help support my family to give us a better future. I earned about $100 the first month but that has steadily increased over the last few months and last month I was even able to put aside some of my income to buy another sewing machine for the future. It’s going to be a more professional machine that will help me make more complicated dresses and things that I can’t do now. The word is spreading about my business and I was even contacted recently by people from the UNDP who want to help me develop my business and hire other people. Imagine that! I would not only have my own business but be able to hire other women to help with large orders! My goal now is to be able to help my husband buy a car, when you live in a village far from the nearest regional center, a car becomes a necessity rather than a luxury. I hope I’ll be able to get to a stage where the income I bring to the family budget makes a real difference in my kids’ quality of life.”

The lack of modern, efficient and cost-effective farming machinery is one of the main challenges facing Armenian farmers, especially those in Baghanis. As most arable land on the border with Azerbaijan is under direct sniper fire, the small plots of land adjacent to their homes have become the only farming land for most of the population in Baghanis. The existing machinery is not only outdated but is too large for the small plots of predominantly hilly land.

Gevorg, one of the beneficiaries of the initiative to support the creation of small business in Tavush implemented by Sahman and financed by the Armenian Eagles Foundation, knew first hand the difficulties of plowing small hilly terrain.

“It was very difficult for my family and me to cultivate our land. Every season, lots of time and effort was spent...something that could’ve been done in a fraction of the time with the right equipment. I wanted a smaller manual machine with more maneuverability. Thanks to this initiative, I was able to get one of these machines. Not only am I able to plow my own land but I am also able to help my neighbors and other villagers by charging for this work. By the end of the first season I had made more than $700 and now plan to hire another person to help in the autumn, it's hard work and I’m physically unable to plow all day so having another person would mean that we could work in shifts for at least 12 hours a day.”

Roman's story proves that establishing a business is a challenge. Even when you have professional support and assistance, there are many obstacles on the road to success.

Roman requested support to set up a fish farm and a small shop where he would sell fresh fish in Baghanis. With the help of Sahman NGO and the Armenian Eagles Foundation, he was able to purchase holding aquariums for the store. He set up the shop, applied for all the required state permits related to food distribution and sales and even made arrangements for the transportation of the fish from renowned fish farms in the Ararat Valley 190km away.

“Sticking to the original timeline was the most difficult part,” says Anahit Nazaryan, Sahman’s project coordinator, “Roman had a number of health issues and a very sad loss in the family, his father passed away, and all of these issues led to his inability to stick to the original timeline. I must add however, that I truly admire his tenacity and drive to make this project a success.”

The first attempt had a relatively moderate result. He transported 100kg of live fish from Ararat to Baghanis, and managed to sell it within five days making an $80 profit. “I am learning to haggle,” says Roman – “If I can get a good price, to transport and sell fish once a week, the monthly profits will be quite good. I am learning as I go.  When I have the large pools to farm my own fish, my profits will be at least twice as much.” He plans to have the pools installed as soon as he has all the official paperwork approved. He has had other minor glitches along the way such as mechanical issues with his car (which is his only means of transport), but despite the difficulties he has not lost his enthusiasm and drive to make his business a success.