Southern African investment impact firm, Secha Capital, which provides long-term capital to established SMEs, has announced the closure of its second fund worth $30-million (R400-million) to support established SMEs in the region.
“Fund one was always proof of concept: Can we complement growth capital with human capital to solve SME pain points and accelerate growth? Our portfolio data is a resounding yes. It is now time to replicate and scale this investment model across Africa. We need to grow the Secha team to help more SMEs,” Rushil Vallabh, a co-founder and managing director of Secha Capital said.
Here Is What You Need To Know
- Titled Secha Capital Impact, it is a Southern Africa early-stage operations-focused impact private equity fund. This is the second round of funding launched from the investment firm and will invest up to R12-million into established Southern African SMEs.
- The fund adopts an impact investment model and aims to accelerate the growth of the selected SMEs, fostering economic growth within the small business sector.
- Secha Capital Fund I resulted in the overall success of the selected participating SMEs.
- Nombuso Nkambule, the co-founder of Secha Capital, points out that the fund made a concerted impact on the SME sector and increased business growth, and facilitated the creation of employment opportunities.
“Our first fund, which established proof of concept, invested in a range of African businesses, from plant-based haircare brand, nativechild, to networking marketing company, WUKINA, which empowers women to start their own businesses selling high-quality wigs. These companies have grown over 10x and created over 100 jobs since we invested.”
How To Apply To The Fund
To know more, including on how to apply to the future, click here.
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer