Notes

Eight Even Better Ways To Investors Willing To Invest In Africa Without Questioning Yourself
There are numerous reasons to invest, however investors need to be aware that Africa is a place that tests their patience. The African markets aren't always stable and time horizons may not always be effective. Even the most sophisticated businesses might need to reevaluate their business plans, like Nestle did last year in 21 African countries. Many countries also face deficits. These gaps must be filled by bold and resourceful investors who will bring more prosperity to Africa.

The $71 million investment by TLcom Capital TIDE Africa Fund

The latest venture by TLcom Capital closed at a reported $71 million. The fund's predecessor closed in January of last year, and TLcom, Bio, CDC Group and Sango Capital contributed five million dollars. The first fund invested in tech companies in Kenya and Nigeria. TIDE Africa II will be focusing on East African fintech companies. The investment firm has offices in Kenya and Nigeria. The portfolio of TLcom includes Twiga Foods and Andela as along with uLesson and Kobo360. The investment company makes between the amount of $500,000 to $10 million for each company.

TLcom is a Nairobi-based VC firm with more than $200 million under management. Omobola Johnson is one of the managing partner of the company. He has been instrumental in helping start more than a dozen tech-related companies on the continent, including Twiga Foods, and a logistics company for trucking. Omobola Johnson (a former minister of technology and communication in Nigeria) is part of the investment firm's team.

TIDE Africa is an equity investment fund that invests in growth tech companies in SSA. It will invest between $500,000 to $10 million in early-stage companies with a particular focus on Series A and II rounds. The fund will be focused on Anglophone Africa but it plans to invest in Eastern, and Southern African countries. In Kenya, for example, TIDE has invested in five digital companies with high growth.

Omidyar Network's $71M 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 five years. Pierre Omidyar, co-founder of eBay, founded the fund and has invested $113 million in 35 Indian companies. In India the fund invests in entrepreneurship, consumer internet financial inclusion, transparency in government property rights, as well as companies that have a social impact.

The Omidyar Network's TEEP Fund invests in projects which improve access to government information. Its aim is to find nonprofits using technology to create public information portals and tools for citizens. The network believes that open access to government information enhances the public's understanding of government processes, and in turn will result in a more engaged society that holds officials accountable. Imaginable Futures will use the funds to invest in for-profit and non-profit companies that focus on healthcare and education.

Raise

If you're planning to raise money for your African business, you must look for a business with an emphasis on Africa. TLcom Capital, a fund manager located in London is one such company. Its African investments have attracted the attention of angel investors, and the company has raised funds in Nigeria and Kenya. TLcom recently announced the launch of a brand new $71 million fund that intends to invest in 12 startups before they achieve revenue.

The attraction of Africa venture capital is increasingly being acknowledged by the capital market. Private investors are increasingly recognizing the potential for growth in Africa and don't have to be restricted by institutional investors. This means that raising funds is much easier than in the past. Raise allows companies to close deals in half of the time and is completely free from institutional constraints. There is no single method to raise funds for African investors.

The first step is to learn the way investors view African investments. While many investors are drawn to YC hype, it's essential to consider the bigger picture of this Silicon Valley giant and the African Union's agenda 2063. As a result, African entrepreneurs are seeking the YC signal before approaching US investors. Kyane Kassiri is an Tunisian venture capitalist, recently discussed the importance of the YC signal when it comes to raising money for African investors.

GetEquity

It was founded in July 2021. GetEquity is a Nigeria-based investment platform aimed at democratizing startup funding in Africa. It wants to make the process of funding African startups accessible to everyone and provide top capital raising tools for any startup. The platform has already helped startups raise over $150,000 from a variety of investors. It also offers secondary markets for investors to purchase tokens from other investors.

Like equity crowdfunding investing in companies in the early stages is a very exclusive business that is typically only available to elite individual angel investors and capital institutions as well as syndicates. It is rarely available to friends and family. New startups are trying to change this arrangement by making it easier for entrepreneurs to access capital for startups in Africa. The platform is available on iOS and Android devices and is completely free to use.

The GetEquity's cryptocurrency-based wallet is available to investors. This makes it possible to invest in startups from Africa. With the aid of crypto funds investors can invest in African startups for as little as $10. Although it's a small amount, it's still a significant amount of in comparison to traditional equity financing. With the recent departure 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 convincing young Africans to invest in the platform. Investors in Africa had only a few options prior to the present the crowdfunding platform as well as foreign direct investment (FDI) and traditional finance companies. In fact, less than a third of the population has invested in any platform. But now the company is expanding into other regions of Africa and plans to launch in Ghana in April 2021. More than 50, 000 Ghanaians are on the waitlist at the time of writing.


Africans have limited options to save money. The currency is losing value against the dollar due to an increase that is close to 16 percent. A dollar investment can help to protect yourself against inflation and the possibility of a declining dollar. Bamboo has experienced rapid growth over the past two years, is a platform that lets Africans to invest in U.S. stock options. Bamboo plans to begin operations in Ghana in April 2021, and already has more than 500 users who are waiting to get access.

Investors can fund their wallets starting at $20 after they have been registered. Funding can be made through credit cards, bank transfers and payment cards. In the future, users can exchange ETFs and stocks and receive regular market updates. Bamboo's platform is secured at the bank level and therefore anyone in Africa can use it provided they have a valid Nigerian Bank Verification number. how to get funding for a business may also utilize Bamboo's services.

Chaka

There are a few reasons for why Nigeria is a thriving hub for legitimate business and investment. The film and entertainment industry in Nigeria is among the biggest in Africa. The growing fintech ecosystem has led to an increase in startup formations and VC activity. TechCrunch spoke to Iyinoluwa Abodeji who is one of Chaka's top backers. She said that the progress of the country will eventually open the doors to a new class investors. In addition to the Aboyeji investment, Chaka has also secured seed-funds from the Microtraction fund which is managed by Y Combinator CEO Michael Seibel.

The deteriorating US-China relationship has accelerated Beijing's interest in African investments. An increase in anti-China sentiment as well as the trade war has made it more appealing to investors to invest in African companies outside of the US. Although Africa is home to many emerging economies, the majority of these are not big enough for venture-sized businesses. The founders of companies in Africa must be ready to take on an expansionist mindset and lock in a consistent expansion story.

The Central Securities Clearing System oversees the Nigerian Stock Exchange, making it a secure and safe platform to invest in African stocks. Chaka is free to join and you'll be paid an 0.5% commission for every trade. Cash withdrawals of cash available can take up to 12 hours. On the other hand, withdrawals for sold shares can take up to three working days. In both cases the cash paid for the sold shares is settled locally.

Rise

Africa is receiving positive news from the increase in investors who are willing to invest. The country's economy is stable and its governance is sound, which is a major draw for foreign investors. This has led to a rise in the standard of living in Africa. However, Africa is still a very risky investment, so investors must take care and be careful. There are numerous opportunities to invest in Africa. However Africa must make improvements to attract foreign capital. African governments must collaborate to create more business-friendly environment and enhance the business climate in the near future.

The United States is more willing to invest in the economies of Africa via foreign direct investments. U.S. governments assisted Senegal in advancing a significant healthcare financing facility. The U.S. government also supported investments in new technologies in Africa and helped pharmacies in Nigeria and Kenya have access to high-quality medicines. This kind of investment can create jobs and foster an ongoing relationship between the U.S. and Africa.

While there are plenty of opportunities in the African market for stocks it is crucial to know the market and carry out due diligence to make sure that you do not lose money. If you're a small investor, it's a good option to invest in an exchange-traded fund (ETFs) which track the performance of a variety of Sub-Saharan African businesses. For U.S. investors, American depositary receipts (ADRs) are a convenient method to trade African stocks on the U.S. stock market.

Read More: https://www.5mfunding.com/