SoleRebels Finalist for $400,000 Award

Robert Zoellick (far left), Chief of the World Bank, who visited soleRebels’ shoe factory in 2010 while he was still in office, being shown around by founder and manager Bethlehem Tilahun (left).

An Ethiopian shoe manufacturing company, soleRebels has been selected as one of the 10 semi-finalist of the 2011 African Awards for Entrepreneurship for a 400,000-dollar award.

The award, organized every year by Legatum; a Dubai based investment company with funds set aside to recognize aspiring entrepreneurial businesses, awards 50,000 dollars each for five of the finalists along with the top prize.

SoleRebels, which was established in 2004 by Bethlehem Tilahun, produces shoes by using recycled car tyres as soles, bringing a modern twist to old style Berebaso and Selate shoes, which are inspirations for the company.

Bethlehem’s company was elected as a finalist out of the 3,330 entrants from 48 different countries that had submitted their names for the award. In 2010, the top prize was 100,000 dollars, this year, the prize amount has significantly increased.

Bethlehem says she entered the award this year because she believes that her business is a sustainable operation that has proved successful with few employees and a lot of innovation.  There are 75 employees in Bethlehem’s company directly involved in the shoe making process.

“We are small but we have hard work and innovation going for us.” Bethlehem told Fortune.

There are eligibility restrictions on businesses that can register for the award. In order to be eligible a business must above 1,000,000 dollars in revenues, be profitable for at least two years and be independent. Subsidiaries for other companies are not eligible.

Bethlehem, who started the business with a 580,000 Br capital, is reluctant to say how much her revenue is annually.

”It is enough to say that I made the eligibility cut,” she told Fortune.

Along with, soleRebels, another Ethiopian company Soreti International Trading, a company that exports agricultural products, made the top 30 list this year.

Last year, a company from Ethiopia, Sigma Engineering PLC, an electromechanical engineering firm founded in 1999, reached the top five and received 50,000 dollars.

Out of 30 businesses, mutually chosen, 15 were selected to go to the field evaluation process where judges from the award come down to the businesses, and evaluate operations.

Two judges, Hamish Banks, head of corporate communications, and Kate Leaman senior management at Legatum, came to Ethiopia to see soleRebels’ record books and check its profitability as well as the success of the business.

“They must have liked what they saw since we made the top 10,” Bethlehem told Fortune.

Bethlehem, like all the finalists, has to go to Nairobi, Kenya and make a presentation about her company on December 6, 2011, before the judging panel decides who gets to walk away with the 400,000-dollar prize two days later.

Although the award website emphasizes soleRebels’ business as the only shoe manufacturer certified by the World Fair Trade Organization as having fair practices, that is not the aspect of the company Bethlehem wants to focus on during her presentation.

“I am going to focus on the operational side of the business because I believe the business model is sustainable, truly entrepreneurial, and sure to be profitable no matter what the economic climate,” she told Fortune.

“I am passionate about winning awards,” Bethlehem had previously told Fortune.

Perhaps it is this passion that has helped her win several business awards, and had prestigious personalities like Bill Clinton invite her to address his 2010 Global Initiatives Panel.

So far, no plans have been made for the money if she wins.

However, expansion seems to be among the short term goals. So far the company currently rents places in order to make shoes and has a show room at Adam’s Pavilion where local customers can buy products. Nevertheless, most of the shoes are for export and are available for customers to purchase online.

The cost of the shoes on the company’s website ranges from 55 dollars to 95 dollars.

“Our operation is global, so we need land for a factory to expand our production,” Bethlehem says.

She has requested a 3,000sqm to 5000sqm plot from the municipality and is awaiting a response.
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