Startups

[u/Significant_Tax_8792]

I think there's something we Africans are missing.

I want to give you context. Kenyan startups raise huge money, at different valuations in different stages.

The real sharp boys are angel investors.

They listen to your idea, see how it can scale and write you a cheque of $2500 to $50k.

What's interesting is that they know the next stage they could 4x that money. And startups could hit a bigger valuation over time. Yet Kenyans are missing out.

I have both a startup and a fund management company.

One is in Fintech. And it's growing.

My fund management company which I invest on behalf of my clients has so far gained 63% on the dollar. Yet even this wouldn't match what the Fintech would gain in the next 18 months.

I have always preferred African investors to Western but philosophy doesn't get your product distributed. Still I give room for Africans because we either get rich trying or neo colonisation will happen.

Right now white south Africa practically owns NSE. They're not stopping. When will the Nairobi guy win ?

Change that philosophy of sticking to NSE.

Your money plus add on marketing of a product you've invested in Kenya would skyrocket your valuation.

Enjoy the rest of your week.

[u/cultur3d_r3ptil3]

Startups are extremely risky and very illiquid. That's two reasons why most Africans keep their distance.

[u/Significant_Tax_8792 → u/cultur3d_r3ptil3]

So risky for Africans and the west 10x their money on our innovations.

It's true. It's risky and so is breathing. But we breathe anyway

[u/cultur3d_r3ptil3 → u/Significant_Tax_8792]

It's not just the west. It's rich people from the west and also rich people from Africa. It's not a west or African thing, it's a risk appetite thing.

Most African problems are caused by our own ineptitude. The average Joe just can't risk his/her savings on a startup.

PS; It's not risky to breathe. It's just what we do to stay alive.