At Venture Capital for Africa, the biggest and fastest growing online community connecting African entrepreneurs and investors, we offer a Questions and Answers section where you can ask all your burning questions related to doing business in Africa. You’ll find many questions asked and answered already. We welcome you to take a look and share your own questions and answers. For example about how to find and work with investors…
What is your question related to doing business in Africa? Just post it on VC4Africa Questions, and also share your own feedback with the community. Together we are building a community generated database of knowledge. Each question makes use of tags that make them easier to find across multiple search queries. Over time, the database of knowledge should grow and grow until almost everything that anyone wants to know about doing business in Africa is available in the system.
Let’s look at some questions and answers about investors that have already been posted. Simeon Oriko asked: ‘What do investors consider as “investable” in a startup?’. In the responses to this question a few points were summed up: important things looked at by investors include the team you have, whether a clear market need is defined, whether your team can offer a level of professionalism, and good timing. Shaun Lindbergh mentioned that finding suitable investors can also be considered like a ‘dating game’, and gave some suggestions on how to use the VC4Africa platform.
More information on what makes a business ‘investible’ can be found in the discussion “What are the key qualities that make a Business Plan ready for investment?”. Roland Alden responded to this question that it is important to already start doing things before the entrepreneur seeks funding: “Every company seeking financing should try to ‘do something’ with the resources they have, in order to position their venture as being already out of the pure idea phase and somewhat down the road to success. The more you have really done, the better off you will be trying to raise money”.
How do I respond when investors are steering me wrong? asked Princewill Nforchu: “My business model is innovative and unique and is something that has not really been tested yet. However, the investors that I’m speaking to want to transform it into a more conventional service”. In the answers, Roland Alden suggested to start off with a ‘straightforward’ business model: “Your first group of investors just may not understand what you are doing and the important thing is to get started.” He added that after some success with a ‘normal’ business model, the innovative approach could be launched later from a position of strength, possibly making the cost of capital significantly less.
All of the above conversations can be found on VC4Africa Q&A, just as many more, on a variety of subjects related to doing business in Africa. We welcome you to take a look and share your own feedback. What is your question related to doing business in Africa?