Aaron Fu - Afrikan Heroes

African Startups Braces for Sherpa Ventures $1m Pre-seed fund

December 10, 2020

The sky is getting brighter for African startups as more venture capital firms are looking in their directions. The latest being the founder-backed fund from VC firm Sherpa Ventures , a debut fund dedicated to investing in pre-seed tech startups in Africa, which is backed by several notable founders and angels and has already made its first investments. Founded by startup investment veteran Aaron Fu, ex-Uber Africa launcher Alastair Curtis and ex-IROKO executive Nikhil Patel, Sherpa Ventures invests in early-stage tech and tech-enabled startups in Africa.

The US$1 million Basecamp Fund will invest US$25,000-US$50,000 in startups who are usually raising less than US$500,000, and work with them over six-to-nine months before deciding to follow-on with more substantial capital. The VC firm, together with a community of investors that includes the likes of Twiga Foods co-founder Grant Brooke and investors Emilian Popa and Lexi Novitske, will work with founders to strengthen and scale their startups by injecting capital and extensive local experience and expertise.

Speaking on this development, Aaron Fu said that Sherpa is a supportive and collaborative community – “a community of capital, expertise and experience who have built and operated some of the strongest startups on the continent and across the world. We can’t wait to partner with extraordinary teams in the region, to realise the power of one generation of startup operators in Africa investing in and sprinting alongside the next generation,” he said.

Sherpa Ventures has already made two investments – in Nigeria’s OnePipe, a unified platform that aggregates APIs for financial services and large institutions, and Ghana’s Boost, an asset light retail distribution and working capital platform focused on MSMEs. Mike Quinn, co-founder and chief executive officer (CEO) of Boost, which is launching in Ghana and South Africa, said Sherpa had been one of the first entities to believe in the startup and back it when it was nothing. “They brought other investors to the table, and have been helping us design country entry strategies and develop a stronger hiring framework,” he said.

Curtis said companies like Boost and OnePipe were building scalable but grounded businesses, and also catalysing sustainable growth of businesses in their ecosystems. “These audacious entrepreneurs are driving the next wave of economic inclusion and growth in Africa,” he said.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Asian VC, Sherpa Ventures, Comes For African Startups With A New $1m Debut Fund

December 2, 2020

Following Paystack’s successful exit, more investors are announcing their entry into the African startup market. The latest to join the list is venture firm Sherpa Ventures which has announced the launch of its US$1 million debut fund for pre-seed tech startups in Africa.

“More than a venture fund — we are a supportive and collaborative global community […] of capital, expertise, and experience who has built and operated some of the strongest startups on the continent, Asia, and across the world,” said Sherpa Ventures co-founder Aaron Fu.

Home - Aaron Fu — *Sherpa Ventures co-founder Aaron Fu / Photo credit: Aaron Fu*

Here Is All You Need To Know

Based between Singapore, Kenya, and the US, Sherpa Ventures works with a community of investors to help founders strengthen and scale their startups. It does this by injecting capital, sharing local experiences, helping form partnerships, and aiding in market entry, among others.
Its new US$1 million investment vehicle called “Basecamp Fund” aims to invest US$25,000 to US$50,000 in startups that usually raise less than US$500,000.
Through the fund, Sherpa Ventures also looks to work with startups over six to nine months before deciding to follow on with more funding.

Sherpa Ventures African startups Sherpa Ventures African startups

A Look At The New VC In Africa

Prior to Sherpa Ventures, Fu served as the head of growth of BFA Global’s fintech-centered Catalyst Fund. He leads Sherpa Ventures alongside ex-Uber Africa launcher Alastair Curtis and Nikhil Patel, the former chief operating officer of African on-demand streaming platform Iroko.

The VC firm’s advisory board consists of veterans with experience in business, late-stage investing, and corporate partnerships, including execs from the Singapore Fintech Association, Acuity Ventures, Safaricom, and Twiga.

Sherpa Ventures has made two investments so far, joining the funding rounds of fintech startups OnePipe and Boost.

In addition to expertise and capital, Sherpa Ventures said it aims to accelerate partnerships between startups in Africa and the Asia Pacific. Some examples of such tie-ups include Singapore-based Fomo Pay’s collaboration with Kenya’s Wapi Pay and Red Dot Payment’s partnership with Finserv Africa.

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