FOR many micro-entrepreneurs across the nation, running a business is less about expansion and more about earning a sustainable income to support daily household needs.
With earnings fluctuating day-to-day, income uncertainty remains a defining challenge.
This is why Universiti Kebangsaan Malaysia (UKM) launched Project UMBI under its Institute of Malaysian and International Studies (Ikmas).
The three-year initiative, developed with support from The Coca-Cola Foundation and the Rural and Regional Development Ministry (KKDW), work with micro-entrepreneurs to strengthen business fundamentals and help reduce income volatility over time.
In its first year, 1,400 micro-entrepreneurs across seven zones nationwide participated in the programme, with over 78% achieving consistent profits and household income stability so far.
To commemorate this milestone, UKM organised a special carnival, Karnival UMBI, to showcase and celebrate the progress of participating entrepreneurs, on Sept 19, at Uptown Bangi Gateway in Selangor.
In practice, the programme supports participants with practical guidance and capacity building focused on everyday operations, basic financial awareness and routine planning, intended to help smooth out fluctuations and support more consistent day-to-day income.
For these business owners, even modest improvements in income continuity can play a meaningful role in managing everyday costs such as food, utilities and other family expenses.
Bridging the digital and financial divide
Ikmas research fellow and project UMBI lead researcher Dr Muhamad Azwan Abd Rahman said the biggest obstacles micro-entrepreneurs face are digital and financial in nature.
“They have the skills – they know how to cook and make their products – but they don’t have the digital side of it.
“Nowadays, vendors and businesses rely on digital connectivity for promotion and marketing, and these are the critical gaps facing micro-entrepreneurs,” he said.
Beyond the 78% income stability figure, he said the programme has driven a broader shift in the participants’ confidence.
“We’ve observed a paradigm shift in their mindset. Before, they were awkward and shy, but after learning how to market their products from experts, they’ve been able to grow their businesses steadily,” he said.
He shared that the impact of that engagement was clear to see at Karnival UMBI, with a majority of participating event vendors coming from the programme.
Long-term capacity building
For The Coca-Cola Foundation, the programme reflects a broader regional commitment to socio-economic mobility.
“In every country and every market we operate in, we always look for long-term opportunities to elevate the quality of life of the local communities,” said Coca-Cola Asean and South Pacific public affairs, communications and sustainability (PACS) vice president Leslie Chong, representing The Coca-Cola Foundation.
“In Malaysia, roughly 40% of the gross domestic product (GDP) comes from micro, small and medium enterprises (MSMEs), and 50% of employment comes from this sector as well, which comprises micro-entrepreneurs. They are very important because if they do well, Malaysia as a whole will do well.”
Looking ahead, Chong said Year 1’s results offer a promising foundation for the next two years of the programme.
“In the coming years, we hope to deepen capacity building for participants and help them apply the marketing, enterprise management and financial literacy skills they have gained.
“What Malaysia has provided is a good blueprint to share with other markets and shorten the learning curve for micro-entrepreneur capacity building.”
Growing a family trade
Among the entrepreneurs whose business has been shaped by the programme is traditional Indian snack stall owner Thirunavukkarasan Krishnan, known simply as “Thiru”.
Thiru, a second-generation entrepreneur who grew up
helping his father run the business, producing traditional treats like murukku and vadai, was exposed to the business from a young age and eventually took it over. He now runs the business alongside his wife.
Project UMBI gave him structured exposure to business management, which he could apply to his day-to-day operations.
“Project UMBI is a really
good cause. It was almost like a ‘university’ for me, as I was able to learn so much about running a business,” said the father of four.
“Previously, I did not have any certifications and did not know how to acquire them. But during the programme, they encouraged me to attend courses to obtain these certifications, which allowed me to go forward and get a halal certification.”
Since joining Project UMBI, Thiru reported an estimated 5% increase in sales, which has motivated him to further develop the business, with hopes of expanding it into his own cafe in the near future.
“Three of my children are in university and the youngest is in Form 5. This is my main source of income; my rice bowl. So, I want to expand my business to continue supporting my family.”
