Exploring Africa-Focused Venture Capital Firms by Check Size

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Even though most of the funding for African startups comes from foreign venture capital firms, local companies are also actively investing in these startups. Investors based in Africa accounted for 25% of the total number of investors [PDF] active in Africa’s VC landscape in 2021.

Previously, we have curated a list of Nigeria and Silicon Valley based companies and their holding companies, in this list I have highlighted the publicly disclosed check sizes of some Africa focused companies.

Ingressive capital

Founded by Maya Horgan Famodu, Ingressive Capital Target 10% ownership in Pre-Seed to Seed technology companies based in sub-Saharan Africa or Egypt with check sizes up to $400,000.

Ingressive Capital made 4 new investments – Grey, PayDay Africa, Mecho Autotech and Complete Farmer – and 6 follow-on investments in Carry1st, Mono, OnePipe, Bamboo, 54gene and Seamless HR.

In March, 776 founder Alexis Ohanian – who also co-founded Reddit and partner at Y Combinator – announced Ingressive Capital as the first African beneficiary of the Titan Fund, receiving an initial investment of $500,000 from 776, as well as a access to the proprietary operating system of 776. , Cérébro.

The Ingressive Capital team. Source: Ingressive Capital

Micro traction

Microtraction is a Lagos-based startup venture capital firm. The company recently revised its standard agreement to a minimum of $100,000 for 7% equity on a post-money safe. Microtraction also offers an option for quick reloading in the next round of their portfolio up to $350,000 as long as they are no more than 25% of the round and meet specific milestones.

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With a post-money SAFE, an investor gives you money and effectively “locks in” the percentage of your business they will own when you convert their SAFE into stock. As a founder, post-money SAFEs put you at increased risk of having your ownership percentage diluted in the future when you increase your first round of pricing.

In 2017, Microtraction had a standard deal of $15,000 for 7.5% equity in startups. However, it was revised to $25,000 for 7% equity in 2020. The company invested in 13 companies – Orda, InstantRad, Bumpa, HoneyCoin, Pivo & 8 without notice – in 2021, totaling its portfolio to 35 companies .

Data as of December 2021 Source: Microtraction
Data as of December 2021 Source: Microtraction

Business platform

Ventures Platform invests in Pre-Seed to Series A. While they typically invest across industries, the firm focuses on startups in financial services and insurance, life sciences, and health tech , edtech and digital talent accelerators, enterprise SaaS, digital infrastructure games, agritech and food security.

Previously, Ventures Platform invested an average check amount of $50,000 in pre-seed and seed startups. However, the company has raised a pan-African fund of $40 million, following the increase TechCrunch has announced that the company will participate in Series A deals where it can invest more than a million dollars in a single company (including follow-up rounds).

4DX Companies

Launched in 2014, 4DX Ventures is a pan-African venture capital firm. The company writes checks of approximately “some $100,000 to a few millionat all stages (pre-seed to Series B) generally for startups from the four major African markets: Nigeria, South Africa, Egypt and Kenya.

However, the company is now investing in other countries, particularly in the French-speaking region; including a recent investment in Cinetpay in Côte d’Ivoire. 4DX Ventures closed the final closing of its second fund at $60 million last December.

VC side borders

Lateral Frontiers VC is a mission-driven venture capital fund that invests in and advises on seed opportunities in sub-Saharan Africa. The company focuses on Series A seed funds and often writes checks between $250,000 to $5 million.

Ajim Capital

Ajim Capital is a seed fund and angel community that provides startups in Africa with funding from Pre-seed to seed with typical check sizes of $100,000 to $250,000. Ajim has invested in several African startups including Mono, Bamboo, Talent QL and Lemonade Finance. In January, Ajim Capital launched a $10 million fund to invest in African tech startups.

FirstCheck Africa

FirstCheck Africa, is a women-focused African venture capital firm that “fixing access to capital for women tech entrepreneurs in Africa needs an intentional women-led approach”.

Founded by Eloho Omame and Odunayo Eweniyi, FirstCheck provides female-led startups with check sizes between $15,000 to $25,000

Voltron Capital

Voltron Capital is a pan-African pre-seed and seed-stage venture capital firm. Its check sizes range from $20,000 to $100,000, focusing on startups in Nigeria, Kenya, South Africa and North Africa. So far, the company has invested in Spleet, Trove, Brass, Piggyvest, Mono and other notable African startups.

DFS Laboratories

DFS is a venture capital firm that invests in digital commerce companies serving African markets. The company typically invests in pre-seed rounds with a $25,000 check in post money YC SAFE with a standard valuation cap.

After the pre-seed round, DFS Labs works with its portfolio companies for four to six months on a growth plan that leads to the company’s next round of funding.

Kepple Africa Ventures

Kepple Africa Ventures bridges the gap between Seed and Series Avin Africa as investors are typically fragmented. Typically, Kepple provides a check size between $50,000 and $150,000.

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