PrizeWorth Investment Bank has entered Ethiopia’s financial market, saying it will bridge ideas with capital and offer entrepreneurs, family firms and long-term projects a new route to financing. Led by manager Gadissa Mamo, who spent 22 years in the banking industry, the firm says it is working to fill a structural gap in the country’s financial system by connecting people with viable business ideas to investors with the capital to back them.

Gadissa said he left commercial banking after recognising that many Ethiopians have promising concepts but cannot access the financing needed to turn them into functioning businesses. In his view, the problem is not a shortage of ideas but a shortage of mechanisms to convert those ideas into investable projects. PrizeWorth’s philosophy, he said, is built around that gap: to identify opportunity, shape it into a bankable proposition and connect it to the right source of capital.

That approach, according to Gadissa, is meant to move beyond the traditional banking model that dominates Ethiopia’s credit market. Commercial banks, he said, tend to rely heavily on collateral when deciding whether to lend. For many prospective entrepreneurs, that creates a barrier before their plans can even be considered. “If you do not have property to pledge, banks will not provide money,” he said, describing a financing environment in which lack of assets often blocks otherwise strong business proposals from getting off the ground.

PrizeWorth is positioning itself as an alternative within the broader financial ecosystem rather than as a replacement for commercial lenders. Gadissa said investment banking serves a different purpose from ordinary deposit-based lending because it is designed to turn ideas into viable investment opportunities and connect them with appropriate financial structures. The firm says it will help businesses move from concept to capital by linking entrepreneurs, institutional investors and long-term funding pools.

The company’s argument is that Ethiopia needs more financing options than short-term bank loans. Gadissa said the country faces limited access to long-term finance, while commercial banks mostly depend on deposits and therefore tend to lend on shorter horizons. That structure, he said, may work for routine business needs, but it does not suit projects that require patient capital over several years. Manufacturing plants, infrastructure schemes, industrial developments and large-scale real estate projects often need financing periods that go well beyond what conventional bank lending can comfortably support.

PrizeWorth says its role is to provide the missing link in that process. Rather than relying only on conventional credit, it plans to mobilise capital from institutional investors and pension funds, channelling those resources toward productive sectors of the economy. The firm says this model gives savers and investors a more direct way to participate in national development while also giving businesses access to the kind of financing that matches their project timelines.

The bank also argues that capital-market mechanisms can create options that do not exist in the traditional lending model. According to Gadissa, businesses can raise funds by issuing bonds or selling shares to the public, giving them access to capital without depending entirely on bank loans. For investors, that could mean access to registered, liquid financial instruments that can be sold when cash is needed, rather than funds that remain idle in low-yield accounts. He said such investments may also offer returns that can exceed bank interest rates.

In his explanation, the new institution’s role goes beyond simply finding money. PrizeWorth says it will also provide strategic advisory services to help businesses make financing decisions that protect long-term value. Gadissa said sustainable growth requires more than capital, especially in a market where many successful firms are family-owned and built through the vision of their founders. Such businesses often face major tests when leadership changes, whether through retirement, succession or generational transition. At those moments, original strategies can weaken, governance can become uncertain and economic value built over years can be put at risk.