Here Are 8 Ways To Investors Willing To Invest In Africa

There are many good reasons to invest in Africa however, investors must be aware that the continent will test their patience. The African markets can be unstable and time horizons may not always be a good idea. Even the most sophisticated firms might need to reevaluate their business plans, like Nestle did last year in 21 African countries. Many countries also have deficits. It will take the courage and determination of investors to fill in these gaps and bring greater prosperity to Africans.

The $71 Million TLcom Capital's TIDE Africa Fund

The latest venture by TLcom Capital was closed at $71 million. The predecessor fund closed in January of this year. Five million dollars were contributed by Sango Capital, Bio, CDC Group and TLcom. The first fund made investments in tech companies in Kenya and Nigeria. TIDE Africa II will be focusing on East African fintech companies. The investment firm also has offices in Nigeria and Kenya. TLcom's portfolio includes Twiga Foods, Andela, uLesson and Kobo360. Each company is worth between $500,000 and $10 million.

TLcom is a Nairobi-based VC firm with more than $200 million under management. The firm's Managing Partner, Omobola Johnson, has helped to launch more than dozen tech companies across the continent including Twiga Foods and a trucking logistics company. The team of the investment firm includes Omobola Johnson, who was a former Nigerian minister of technology and communication.

TIDE Africa is an equity fund that invests in growth stage tech companies in SSA. It will invest between $500,000 and $10 million in early stage companies and will focus on Series A and B rounds. Although the fund will focus on Anglophone Africa, it plans to invest in Eastern and Southern African countries, too. In Kenya for instance, TIDE has invested in five companies with high growth in digital technology.

Omidyar Network's $71 million TEEP Fund

The Omidyar Network, a US-based investment firm that invests in philanthropy, has set out to invest $100-$200 millions in India over the next five years. Pierre Omidyar, co-founder of eBay, founded the fund and has invested $113 million in 35 Indian companies. The firm invests in India's business and consumer internet, as well as financial inclusion. It also invests in property rights, transparency in government, transparency of the government, and companies that have a social impact.

The Omidyar Network's TEEP Fund makes investments that are designed to increase access to government information. Its goal is to identify nonprofits that use technology to create public information portals and tools for citizens. The network believes that open access to government information increases citizens' awareness of the government's processes, which in turn leads to a more engaged society that holds officials accountable. Imaginable Futures will use the funds to invest in non-profit and for-profit organisations that focus on healthcare and education.

Raise





If you're looking to raise funds for your African business, you must look for a company with a strong Africa-centric focus. TLcom Capital, a fund manager located in London, is one of these companies. Its African investments have attracted the attention of angel investors, and the company has raised funds in Nigeria and Kenya. TLcom has announced that it will launch of a new fund of $71 million to invest in 12 startups before they achieve profitability.

The appeal of Africa venture capital is being recognized by the capital markets. Private investors are becoming more aware of the potential of Africa to grow, and don't have the constraints of institutional investors. This means that raising money is much simpler than in the past. Raise helps businesses to close deals in half the time and is free of institutional restrictions. However, there isn't a single right method of raising funds for African investors.

Understanding how investors perceive African investments is the first step. While YC hype is appealing to a large number of investors, it's important that you consider more than the Silicon Valley giant and Agenda 2063 of the African Union. In the end, African entrepreneurs are seeking the YC signal before they approach US investors. A Tunisian venture capitalist Kyane Kassiri has recently spoken out about the importance of the YC sign when raising funds for African investors.

GetEquity

Established in July 2021, GetEquity is an investment platform based in Nigeria that aims at democratizing startup funding in Africa. It is aiming to make funding African startups easier for everyone by providing capital-raising tools and world-class capital to all startups. The platform has already helped startups raise more than $150,000 from a variety of investors. Additionally, it offers a secondary market to investors to purchase other people's tokens.

Like equity crowdfunding, investing in early-stage companies is a very exclusive business which is generally only accessible to elite individual angel investors and capital institutions, as well as syndicates. It is not accessible to family members and friends. New startups are trying to change this arrangement by making it easier to get funding for startups in Africa. It is available on both Android and iOS devices. It is free to use.

investors looking for projects to fund in namibia -based wallet is now available to investors. This makes it possible to invest in the development of startups in Africa. With the help of crypto-based funds, investors can invest in African startups for as little as $10. Although this is a modest amount, it's still a significant amount of money compared to traditional equity financing. In the wake of the recent demise of Paystack by Spark Capital, GetEquity has become a formidable platform for investors who are willing to invest in Africa.

Bamboo

The first challenge for Bamboo is to convince young Africans to invest on the platform. At present investors in Africa were limited to a handful of options that included foreign direct investment (FDI) as well as crowdfunding and the legacy finance companies. A mere third of the African population has been able to invest on any platform. The company now says it is expanding into other African countries, and plans to launch in Ghana in April 2021. More than 50,000 Ghanaians are on the waiting list as of this writing.

Africans don't have many options for saving money. With inflation at around 16 percent the currency is declining against the dollar. The investment of dollars can help you protect yourself from inflation and a falling dollar. One platform that allows Africans to invest in U.S. stocks is Bamboo, which has experienced rapid growth over the past two years. Bamboo will be launched in Ghana in April 2021. It has already surpassed 50,000 users who are waiting to access.

Investors can fund their wallets as early at $20 after they have been registered. Funding can be done through credit cards, bank transfers and credit cards. In the future, users can trade ETFs and stocks and receive regular market updates. Bamboo's platform, which is bank-level secure and safe, it is able to be used by anyone in Africa that has an acceptable Nigerian Bank Verification Number. Bamboo's services can also be utilized by professional investment advisers.

Chaka

There are a number of reasons why Nigeria is a hotspot for legitimate business and investment. Nigeria's entertainment and film industry is one of the largest in Africa. The country's expanding fintech sector has resulted in a boom in startup formations and VC activity. TechCrunch interviewed Iyinoluwa Abodeji, one Chaka's most prominent backers. She said that the nation's progressive tendencies could eventually open doors to investors of a new class. Chaka also received seed-funds from Microtraction which is run by Michael Seibel, CEO of Y Combinator.

Beijing has been more interested in African investments due to the declining relationship between the US and China. The trade war, and rising anti-China sentiment, has made it more attractive for investors to look beyond the US to invest in African companies. While Africa has many developing economies, the majority of these are not big enough for venture-sized firms. African entrepreneurs should be ready to adopt an expansion perspective and build a coherent expansion story.

The Nigerian Stock Exchange is overseen by the Central Securities Clearing System, which makes it a secure and secure location to invest in African stocks. Chaka is free to join and has the benefit of a 0.5 percent commission for each trade. Cash withdrawals that are available take up to 12 hours. In the case of withdrawals of shares sold, on the other hand, can take up to three days. In both cases the cash received for sold shares is settled locally.

Rise

Africa is experiencing positive news due to the increasing number of investors willing to invest. Its economy is stable and its governance is sound, which attracts foreign investors. This has led to a rise in living standards in Africa. However, Africa is still a very risky investment therefore investors must exercise caution and due diligence. There are plenty of opportunities for investment in Africa however, the continent needs to make improvements to attract foreign capital. African governments must collaborate to create more business-friendly environment and improve the business environment in the coming years.

The United States is more willing to invest in the economies of Africa through foreign direct investment. In 2013, U.S. governments helped in the development of a major healthcare financing facility in Senegal. The U.S. government also helped to secure investments in new technologies in Africa and assisted pharmacies in Kenya and Nigeria provide high-quality medication. This investment can help create jobs and build long-term relationships between the U.S.A and Africa.

There are a lot of opportunities to invest in the African stock exchange. However, it's crucial to be aware of the market and to do your due diligence to avoid losing money. If you're a small investor, it's a smart idea to invest in an exchange traded fund (ETFs), which tracks an array of Sub-Saharan African businesses. American depositary receipts (ADRs) that are issued by the United States, make it easy to trade African stocks on the U.S. stock exchange.