TLDR:
- Startup funding in Africa increased steadily until 2022, but deal volume and size have since decreased.
- Angel investing can help fill the gap for early-stage African startups.
This article discusses the importance of angel investing in Africa’s venture ecosystem, especially in the face of decreasing VC funding. While many investors are prioritizing safer investments due to currency volatility and high inflation, angel investors can provide crucial early-stage funding for African startups. The article dispels myths about angel investing in Africa, emphasizing that investors do not need to be high-net-worth individuals and that there are opportunities for financial returns. It also highlights the role of the African diaspora in investing in the continent’s development. Suggestions for becoming an angel investor in Africa include getting educated about potential investments, developing relationships by joining angel networks, and participating in pooled funds for investment. Overall, angel investing offers significant opportunities for founders and investors to contribute to Africa’s economic growth and development.
