The VC4Africa community is a global peer-to-peer network where entrepreneurs and investors come together to build great African success stories. A growing number of ventures are active on our platform but do they make a difference? Do the companies we engage as a community add to the tax base of African economies and are they indeed a source of employment for the continent’s burgeoning population of youth?
The data in this summary report indicates these companies are employing more people over time, and that their economic and social impact starts to increase in parallel. And despite the limited sample size, these companies are increasingly representative of what is happening across the larger African startup ecosystem.
The companies registered on the platform are securing increasing amounts of investment, and both revenue and team size increase significantly from when this same study was conducted in 2013. More importantly, the entrepreneurs represented in this report do create meaningful employment opportunities for their fellow citizens. This is a critical economic contribution when taking into account that 43.3% of the Sub-Saharan African population is under the age of 14. In many ways, the future of the continent will be shaped by the continued success of its entrepreneurs.
In the full report we share more specific insights on the 5 indicators, regarding demographics, sectors success factors and other external influencers. Furthermore, it includes more case studies and a comparison with last year’s results. If you would like to gain access to the full version of the 2016 Venture Finance in Africa report, please register as a VC4Africa Pro Account user.
We would like to thank the entrepreneurs and investors that participated in this study. They continue to inspire all of us at VC4A. Our hope is that entrepreneurs and investors use this data to benchmark their own progress. We also hope the report captures the progress these entrepreneurs are making and o ers hard data that shows these companies are i) successfully growing their operations over time and ii) adding much needed jobs to the African marketplace.
– VC4Africa research team