Business

Africans who are beginning startups struggle to secure pre-seed funding

 

Olugbenga Agboola emphasizes the significance of forging partnerships with international enterprises to advance the African startup ecosystem. As the CEO of Flutterwave, the most valuable startup on the continent, he is cognizant of the difficulties and prospects that African startups confront. While all startups require perseverance and diligence to attain success, African startups encounter even greater challenges and necessitate an elevated level of determination to surmount them. They not only offer novel, swifter, or superior services but also shoulder the responsibility of ushering in a new way of thinking about the future for Africans.

As per Agboola, there is an unfulfilled demand for technical professionals such as programmers and developers. Although there are approximations of almost 700,000 skilled developers in Africa, that figure falls short of the future requirements. Thus, alliances with global companies prove invaluable for startup founders as it provides local leaders access to accomplished individuals who are aware of the typical pitfalls and errors that novice CEOs are likely to encounter. Founders and company leaders would also profit from increased mentorship opportunities and access to startup coaching and accelerator programs.

Africans who are beginning startups struggle to secure pre-seed funding. This difficulty arises from the challenge of linking with investors, who are uncertain about where to find worthwhile startup ventures in Africa. Hence, creating a conduit that traverses successful and established startup leaders can help to surmount some of these obstacles. Additionally, government policies and regulations constitute another crucial aspect. As governments begin to observe the beneficial outcomes of more supportive policies, superior infrastructure investment, and legislation that promotes entrepreneurship, the startup ecosystem will become more inviting.

Agboola is optimistic that African startups will experience a surge of propitious growth in the next ten years. There is immense potential in leveraging international relationships to coach government officials, business executives, and education leaders to achieve greater heights.

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