2021 was an overall big year for African startups, especially fintech.
A Digest Africa database on early-stage investments across Africa projected a staggering $906M (Ksh.102 billion) capital raised in just the third quarter of last year.
This, according to the database, marked an over 60 per cent spike in venture money poured into the continent in the third quarter, and more than all other sectors combined in the first half of the year.
As global economies rebound from effects of the COVID-19 pandemic, things are looking up for African startup founders, with data showing that there are no signs of a slow-down in Africa’s tech funding.
However, according to GetEquity CEO Jude Dike, only a small percentage of African firms have access to this funding. GetEquity is a private marketplace for investors and companies to trade digital securities and assets privately and securely.
“Having worked in the African startup ecosystem, we also recognise that these opportunities are not accessible to many new firms – especially those in the pre-seed funding stage,” he explains.
Jude says GetEquity is keen on addressing the challenge of finding early investment opportunities among local and individual investors.
“We are democratizing access to the startup funding space – both for investors seeking to grow their money in companies with a high growth potential, and for startups seeking to raise capital to accelerate business growth. Our private marketplace is open to individual and institutional investors alike, and we have ensured this accessibility by making sure that one can back startups for even as little as USD10 (Ksh.1000),” he says.
GetEquity Director of Growth/Co-Founder Temitope Ekundayo previously underscored the importance of connecting directly with founders, saying the company is committed to maintaining their hands-on startup support approach as they expand in the region.
He pointed out that while most venture capitalist firms focus on firms at advanced growth stages, his team is committed to also offering budding firms the support they need to develop and scale.
“Early stage support involves a bit of handholding, and fortunately, we have a lot of startup superstars on our team – people who have started companies and scaled them, so they have practical insight into the real challenges founders face. So to support our partners we check in on them monthly, and assist them in problem-solving using the insights they share with us,” said Mr. Ekundayo.
GetEquity will be kicking off a series of Masterclasses and funding round-tables in the second half of 2022, as well as market visits across Kenya, Uganda, Rwanda, Ethiopia, and Tanzania.