A randomized controlled trial (RCT) investigated the impact of cash grants and mentorship programs on boosting micro entrepreneurship outcomes among economically vulnerable refugees and Ugandan nationals in Kampala, Uganda. The study found that cash grants significantly improved business profits, household well-being, and social cohesion over a 12-month period—particularly benefiting men and larger businesses. However, the combination of mentorship programs and cash grants was associated with mixed results. Refugee men experienced positive results, whilst women mentored by other women fared worse than those who only received cash.

The study recommends that cash grants should be prioritized as a cost-effective strategy for supporting microentrepreneurs, while mentorship requires careful design and consideration of gender dynamics to avoid adverse outcomes for female participants.