Kenyan entrepreneurs are among those set to benefit from a venture capital fund targeting African entities, with support coming from the US.
The Jua Kickstarter Fund, which targets to provide African entrepreneurs with capital to kickstart or expand their enterprises, has doubled to $2 million (Sh220 million )to become the biggest African capital venture fund launched by private individuals.
It was launched by African industrialist Adam Molai in November last year with $1million (Sh110 million)available for African entrepreneurs.
A further $1million has since been pledged by US-based angel investing and mentorship firm Simba Global Start-ups – bringing the total investment amount available to $2 million.
In the two months since its launch, JUA has received over 500 applicants from across Africa.
Most of the applications are from Nigeria, Kenya, South Africa and Zimbabwe. Entrepreneurs from Ghana, Tanzania, Benin, Namibia and eSwatini have also applied.
Announcing the additional funding, Molai said the added capital will allow the fund to make bigger investments in enterprises as well as fund more businesses.
“This is an example of how Africans can work together to solve the challenges facing the continent. As an African entrepreneur who has experienced the grueling journey of establishing businesses, I firmly believe that Africa’s destiny lies in the hands of Africans,” Molai said.
He notes that it is not foreign investment that will provide Africa with a seat at the global table, but domestic investment.
“This is a view that is shared by Simba, which we will now use to benefit the African entrepreneurs and start-ups who are growing economies across Africa and creating jobs,” he said.
JUA (sunrise in Swahili) will provide successful applicants with funds–to launch or grow their businesses–as well as mentoring and guidance.
Entrepreneurs from across Africa or those who operate in Africa are eligible to apply.
The entire application process is electronic and funds are expected to be disbursed to successful applicants within 12 weeks of their shortlisting, in a first for Africa.
Applications close on January 31.
Born in the DR Congo where he grew up experiencing the atrocities of its civil wars, Simba’s founder and CEO Philippe Kisunzu says the intense challenges nurtured within him a vision for prosperity and hope for the people in his village and community.
“My deepest belief is that this vision is best attained when entrepreneurs create jobs which are scalable, sustainable, inclusive and profitable.With a JUA-SIMBA investing partnership, I have a once-in-a-lifetime opportunity to play an active role in making this dream a reality,” Kisunzu said.
He notes that Simba’s vision in investing in Africa’s future was not only to create jobs and strengthen African economies, but also to enable Africa to become the “financial benchmark for the world in the 21st century”.
“As a result of our JUA-SIMBA partnership, we hope to expand our vision exponentially on behalf of Sub Saharan African indigenous entrepreneurs who will not only create jobs for the citizens in the region, but also provide financial security for themselves and their families,” said Kisunzu.
Adam Molai, a Zimbabwean by birth, is an industrialist and founder of TRT Investments. He has built a multi-million dollar empire spanning Africa, the US and Europe.
He first entered the entrepreneurial world when he sold boxes of in-demand matches for a profit, aged 10. While at boarding school, he sold food to fellow pupils for spending money.
Upon his return to Zimbabwe from Canada, Molai decided to extend the trading hours of his father’s shop and operate 24/7 – a first for Zimbabwe.
The move, which drew criticism from his family and other businesspeople, led Molai to double the shop’s takings, transforming the retail landscape in Zimbabwe.
He was also active in the petroleum sector in his homeland before turning his attention to the tobacco sector.
Today, Molai’s widespread business interests cut across several industries and include the energy, manufacturing, property development, transport and logistics, financial services and beverage bottling sectors.
SIMBA Global Startups on the other hand is an angel investing firm whose mission is to invest in and mentor young indigenous visionary entrepreneurs in sub-Saharan Africa.
It focuses on SMEs with a target to transform and empower lives through the creation of scalable, sustainable, and inclusive employment opportunities in the sub-Saharan Africa SME ecosystems.