The two-phase program is aimed at both accelerators and start-ups in Africa

Accelerators and other startup programs in Africa play a key role in helping entrepreneurs in the region succeed. However, they often lack the resources necessary to perform their work effectively.

That’s why startup accelerator pioneer Village Capital recently launched a program to strengthen the capacity of accelerators, incubators and other enterprise support organizations (ESOs for short) so they can work more effectively with the startups they target, especially climate-focused companies.

The three-year program, titled Empowering Sustainable Entrepreneurship Africa, is funded by Norad, the Norwegian development agency.

The program is aimed at accelerators and entrepreneurs in five African countries – Ghana, Kenya, Malawi, Mozambique and Tanzania – who focus on, or at least in, climate-related issues. (There is also one investment fund). The workshops cover four main topics, including the blue economy, climate change adaptation, food security and renewable energy.

First phase

With the focus on both ESO and start-ups, the program takes a two-pronged approach. The first part, which is currently underway, aims to help participants from the 14 accelerators gain the technical knowledge necessary to expand their work. Experts lead workshops on the four main topic areas in more detail, including case studies of entrepreneurs and discussion of investors in the area. “As ecosystem nodes, ESOs are strategically positioned to catalyze both the necessary capital growth and the education necessary to de-risk green businesses and advance the green technology ecosystem,” says Susan Nakami, regional manager at Village Capital.

There is also a strong emphasis on cooperation. Take, for example, Malvika Bhansali, a program associate at Pangea Accelerator, a Nairobi-based accelerator participating in the program. “We are focused on breaking down the silos that currently exist in our ecosystem,” he says. She also learned about approaches used by accelerators in other regions that might work in Kenya.

In addition, they discussed issues related to the valuation of newer sectors, such as the blue economy. “Investors don’t have much experience investing in this,” says Jonas Tesfu, founder of Pangea.

Second phase

Following the conclusion of part one, a summit will be held in Cape Town later this year, where five of the 14 participants will discuss strategies for the second stage, which will start next year, building on the issues raised during the first stage. No matter what, his focus will be on helping these accelerators increase support for 500 climate-focused companies, as well as creating a pipeline of promising startups, using the lessons learned to drive their programs. “ESOs will take the thematic curriculum and incorporate it into their regular programs,” says Nakami.

Emphasis will also be placed on preparing start-ups for presentation to investors. To this end, Village Capital plans to leverage existing tools and systems to ensure investment readiness.

For Village Capital, which started working on this initiative over a year ago, the ultimate goal is to address the lack of access to finance for both European standardization organizations and start-ups. “Supporting SEOs is the solution because they are strategically placed to catalyze both the necessary capital growth and access to information,” Nakami says. “We will build a long-term foundation for success.”