Little Known Ways To Investors Willing To Invest In Africa Safely

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There are many good reasons to invest in Africa, investors should know that the continent will test their patience. The African markets are volatile, and time horizons don't always work. Even the most sophisticated businesses may need to reconsider their business plans as Nestle did last year in 21 African countries. Many countries also have deficits. These gaps must be filled by bold and resourceful investors who can 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 was shut in January of this year, and TLcom, Bio, CDC Group, and Sango Capital contributed five million dollars. The fund's first investment was in twelve tech companies in Kenya, Nigeria, and South Africa. TIDE Africa II will concentrate on East African fintech companies. The investment firm has offices in Kenya and Nigeria. The portfolio of TLcom includes Twiga Foods and Andela as in addition to uLesson and Kobo360. The investment firm earns between the amount of $500,000 to $10 million for each company.

TLcom is a Nairobi-based VC firm with more than $200 million in under management. Omobola Johnson is the managing partner of the firm. He has assisted in the launch more than a dozen tech companies in Africa, including Twiga Foods, and a trucking logistics business. Omobola Johnson (a former minister of communication technology in Nigeria) is part of the team of the investment firm.

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

Omidyar Network's $71 Million TEEP Fund

The Omidyar Network is a US-based foundation that invests in philanthropy and aims to invest $100-$200 million into India over the next five years. The fund was created by eBay co-founder Pierre Omidyar and has invested $113 million in 35 Indian companies since 2010. In India, the firm invests in entrepreneurship, consumer Internet, financial inclusion, government transparency property rights, as well as companies that have a social impact.

The Omidyar Network's TEEP Fund makes investments that are specifically designed to improve access to government information. It aims to identify non-profits that make use of technology to create public information portals as well as tools for citizens. The network believes that having open access to government information increases the public's understanding of government procedures, which will result in a more engaged society that holds government officials accountable. Imaginable Futures will use the funds to invest in non-profit and for-profit companies that focus on education and healthcare.

Raise

You should choose a company with a focus on Africa if are looking to raise money for your African startup. One such company is TLcom Capital, a fund management firm based in London. Its African investments have caught the attention of angel investors, and the team has raised funds in Nigeria and Kenya. TLcom recently announced the launch of a new $71 million fund, which aims to invest in 12 startups prior to them reaching revenue.

The capital market is increasingly aware of the benefits of Africa venture capital. Private investors are increasingly seeing the potential for growth in Africa and aren't restricted by institutional investors. This means that raising money has never been simpler. Raise helps businesses close deals in a fraction of the time, and is free of institutional restrictions. There is no single method to raise money for African investors.

The first step is to comprehend what investors think about African investments. While YC hype appeals to a lot of investors but it's crucial to take a look beyond the Silicon Valley giant and Agenda 2063 of the African Union. African companies are now searching for the YC signal to reach out to US investors. A Tunisian venture capitalist Kyane Kassiri recently spoke out about the importance of the YC sign when raising funds for African investors.

GetEquity

Founded in July 2021, GetEquity is an investment platform in Nigeria aimed to make it easier for startups to access funding in Africa. It is aiming to make funding African startups accessible to everyone by providing the best capital raising tools available to any startup. The platform has already helped startups raise more than $150,000 from a range of investors. It also offers secondary markets for investors to purchase tokens from other investors.

Unlike equity crowdfunding investing in early-stage companies can be an extremely exclusive business. It's typically only accessible to the most renowned individual angel investors, capital institutions and syndicates. It is not generally accessible to family members and friends. New companies are trying to change this unwelcome arrangement by making it easier to get financing for startups in Africa. The platform is accessible on iOS and Android devices and is free to use.

The GetEquity's cryptocurrency-based wallet is available for investors. This makes it possible to invest in startups in Africa. With the aid of crypto funds investors can invest in African startups for as little as $10. Although it's a small amount, how to get investors in south africa it's still substantial money compared to traditional equity financing. With the recent exit from Paystack by Spark Capital GetEquity has become an excellent platform for investors from Africa who want to invest in Africa.

Bamboo

The first obstacle for Bamboo is convincing young Africans to invest on the platform. Until now, investors in Africa were limited to a few limited options: foreign direct investment (FDI) or crowdfunding and traditional finance companies. In fact, only about three-quarters of the population has invested on any platform. The company now says it is expanding into other African countries, with plans to launch in Ghana in April 2021. As of this writing, more than 50,000 Ghanaians have signed up on the waitlist.

Africans have limited options to save money. With inflation at around 16%, the currency is depreciating against the dollar. A dollar investment can help protect yourself from inflation and falling dollar. One platform that allows Africans to invest in U.S. stocks is Bamboo which has seen rapid growth in the past two years. Bamboo is set to launch in Ghana in April 2021, and already has over 50k users waiting to gain access.

Once they have registered, investors can fund their accounts with as little as $20. You can fund your wallet with credit cards, bank transfers, or credit cards. After that, they can trade stocks and ETFs and receive regular market updates. Bamboo's platform is secured at the bank level which means that anyone in Africa can use it if they have an authentic Nigerian Bank Verification number. Bamboo's services can also be utilized by professional investment advisers.

Chaka

Nigeria is a hub for legitimate business and investment. Nigeria's film and entertainment industry is among the biggest in Africa. The country's growing fintech industry has led to a boom in startup formations and VC activity. One of the most prominent supporters of Chaka, Iyinoluwa Aboyeji, said to TechCrunch that the country's modern developments will eventually open doors to a new category of investors. Chaka also received seed-funds from Microtraction, which is managed by Michael Seibel, CEO of Y Combinator.

Beijing has been more interested in African investments because of the deteriorating relationship between the US and China. The trade war, along with the rising anti-China sentiment have made it more attractive for investors to look outside of the US to invest in African companies. Although Africa is home to many emerging economies, the majority of markets are too small for venture-sized firms. The founders of companies in Africa must be ready to adopt an expansionist mindset and be locked in a cohesive expansion narrative.

The Nigerian Stock Exchange is overseen by the Central Securities Clearing System, which makes it a safe and secure platform to invest in African stocks. Chaka is free to join and offers the possibility of earning a 0.5 percent commission on each trade. Cash withdrawals are able to take up to 12 hours. On the other hand, withdrawals of sold shares can take up to three days. In both instances, the cash for sold shares is settled locally.

Rise

The rising number of investors eager to invest in Africa is good news for Africa. The economy of the country is stable, and its governance is sound, which attracts foreign investors. This has led to an increase in living standards in Africa. However, Africa is still a risky investment area therefore investors must be cautious and exercise due diligence. There are many opportunities for investment in Africa, but the continent must make improvements to draw foreign capital. In the next few years, African governments should work to create more conducive environments for business and improve its business climate.

The United States is more willing to invest in Africa's economies through foreign direct investment. U.S. governments assisted Senegal in the development of a major healthcare financing facility. The U.S. government also supported investment in new technologies in Africa and helped pharmacies in Nigeria and Kenya have access to high-quality medicines. This investment could lead to jobs and build long-term relationships between the U.S.A and Africa.

There are numerous opportunities available on the African stock exchange. However, it is important to understand the market and to do your due diligence to avoid losing money. If you're a small investor, you should invest in exchange-traded funds (ETFs), which are funds that track a broad range of Sub-Saharan African companies. American depositary receipts (ADRs) which are issued by the United States, allow investors to trade African stocks on the U.S. stock exchange.

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