Ajim Capital has launched a $10-million fund to invest in African tech startups in the pre-seed to seed stage in line with its commitment to facilitate growth in the African tech space.
The Africa-focused VC firm, founded by Cameroonian serial entrepreneur Eunice Ajim, said it will provide funding of $25,000 to $150,000 to at least 60 tech startups across the continent, which will allow entrepreneurs to focus on building their businesses instead of worrying over funds.
The funding will be channeled to support startups with rapid growth potential that can provide impressive returns to institutional investors and address major economic and infrastructural gaps for consumers and enterprises across Sub-Saharan Africa.
The firm explained that the move will not only create shared wealth in terms of profit for investors, but also drive Internet adoption in Africa, as there are more than 500 million Internet users in Africa and the figure is expected to double this decade.
Ajim Capital Founding Partner Eunice Ajim said: “We invest primarily in founders with former entrepreneurial or directly relevant industry experience, the startup must have initial indications of product-market, it must provide highly scalable software solution, and must have a potential 10-times returns for investors.”
Over the years, Ajim has met with more than 100 African tech companies and invested in at least 10 in the past year.
Ajim Capital has invested in high growth startups such as Mono, Payhippo, TalentQL, Bamboo, Payday, Star Kitchen, Mecho Autotech and Lemonade Finance.
So far, companies linked to the VC firm have raised over $20 million from leading private equity investors.