ZIMBABWE – Zimbabwean businessman Adam Molai, has launched a US$1 million venture capital fund called JUA Kickstarter.
The businessman who has set up a number of enterprises across Africa through TRT investments, says that the driving force behind JUA was to inspire and support Africa entrepreneurs.
“Without entrepreneurs, economies cannot grow, and countries cannot advance. But African entrepreneurs unfortunately do not get the support they need to thrive for a myriad of reasons. Yet Africa is full of enterprising people,” said Molai.
The larger goal that JUA is trying to meet is getting Africans to invest in their own startups and small businesses.
Presently, the largest proportion of venture capital (VC) investment in Africa is dominated by North America (53%), Asia (39%) and Europe (15%).
“When people see Africans investing in our environment, they feel more confident to invest alongside us. Confidence breeds confidence. And I am nothing if not confident in the future of Africa and in what we can collectively achieve”
Adam Molai
According to Molai, the traditional venture capital players usually present some challenges for African entrepreneurs as they have laborious requirements which include collateral and tenure, conventional biases that traditional sources of funding have and have a certain way of doing things that might not suit the African ecosystem not forgetting the red tape – there is often a long duration and processes that have to be adhered to before disbursement.
In light of all of these challenges Africans must invest in their own entrepreneurial ecosystems as this will allow for the creation of funding requirements that are bespoke to the different stresses and strains that each African country presents.
“When people see Africans investing in our environment, they feel more confident to invest alongside us. Confidence breeds confidence. And I am nothing if not confident in the future of Africa and in what we can collectively achieve,” added Molai.
Over the next two months, JUA Kickstarter will be taking applications from African entrepreneurs who want to set up a small business and require a capital boost and applicants will be shortlisted based on a number of criteria which include, impact on the continent, employment creation and impact of the investment on their enterprise.
After the assessment process, finalists will be selected and will compete in a five-day elimination style contest.
Each day will have a selected theme and participants will pitch their ideas to a panel of judges and at the end of the week the businesses that make it will immediately be given a commitment to funding.
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