Debt Finance
VC equity funding has grown across Africa but too many startups are unable to secure substantial loans for their operations
With each equity round, founders’ ownership is further diluted
Many startups struggle to provide adequate collateral to receive loans
Many startups don’t have a strong enough track record to secure loans
No Dilution
No personal guarantees
Flexible periodic payments
Possible early loan repayment if business grows quickly
Minimal advisory requirements or board involvement
Objective financing requirements
Faster turnaround time. At least 2x capital recycling
Lower risk. Historically less than 5% default rate
Early stage, high growth companies with a high real asset base
24+ months in operation
$20+K (or N10M) MRR
Collateral: assets, vehicles, equipment, property, real estate, account receivables, cash
At least one institutional investor
Ability to service debt
Current restricted industries: betting, cryptocurrency