Startup Circles, a school for entrepreneurs which helps them scale their businesses and become investor-ready, has received R2.1 million ($150k) in funding from Enygma Ventures, a US venture capital firm.
Sandras Phiri, Founder and CEO of Startup Circles
“We’ve been incredibly impressed by the talent of African entrepreneurs but sometimes the difference between being investable and having a scalable business is just knowledge and know-how. Startup Circles is closing the gap for emerging market entrepreneurs to help them shine and build impactful, profitable businesses. We are delighted to be not just investing in entrepreneurs but also in developing the ecosystem,” said Sarah Dusek, Managing Partner of Enygma Ventures.
A Look At What Startup Circles Does
Startup Circles, founded by Sandras Phiri, offers realistic, straight-to-the-point education for busy entrepreneurs, with only founders and investors serving as educators. The business democratizes access to investors by giving all of its students the opportunity to pitch to potential investors.
The firm claims to have aided over 5,000 African entrepreneurs by 2020, with hopes to extend its scope in the coming years. The creative platform is assisting the ecosystem and entrepreneurs by providing affordable courses starting at $67 to the growing entrepreneurship community.
“We are so delighted to be partnering with Enygma Ventures to grow businesses in Africa. I truly believe Africa is primed for significant development in the decade ahead and that will largely come from the growth of SMEs,” said Sandras Phiri, Founder and CEO of Startup Circles.
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
Four African startups have secured funding amounting to $75,000 from Startup Circles.ai, courtesy of Enygma Ventures.
“Events like these take the mystery out of how investors think and what they are looking for. Essentially, it is like giving you the exam questions and the answers. At Startup Circles, we, as Africa’s number one startup school and online accelerator, want to give everybody regardless of geography access to world-class mentorship and capital,” Sandras Phiri, Startup Circles CEO said.
Sandras Phiri, Startup Circles CEO
Here Is What You Need To Know
The Startup Circles.ai selected finalists pitched their business concept and solution to a panel of judges comprising of experienced entrepreneurs, investors, and mentors.
The top 13 selected startups were all graduates of the Startup Circles’ Startup Launch and Investor Readiness programmes.
Over and above the investment offers made, the Demo Day provided not only the pitching startups but all attendees with insights into what investors look for together with invaluable advice from the rest of the judges who included Eric Osiakwan, Managing Partner of Chanzo Capital; Iyinoluwa Aboyeji, Founder and General Partner at Future Africa and Jacob Dusek, General Partner at Enygma Ventures.
The four winning startups include:
Mangwee
An amount of $25,000 (R420,000) was offered by Lelemba Phiri, Principal at the Africa Trust Group and Operating Partner for Enygma Ventures for a 10% stake in Mangwee, a payment platform that helps learning institutions automate payment and data management processes.
Mangwee Chief Executive Officer, Inonge Kampamba, explained that her team plans to roll out the solution to 50 higher learning institutions in Zambia and Tanzania and 15 in Namibia.
The funding will be put towards platform improvement, logistics, and finance, marketing, and sales, as well as strategic operational partnerships.
Candor Life
Sarah Dusek, Managing Partner at Enygma Ventures offered an out-of-season shoe reselling trading platform, Candor Life $25,000 for a 10% stake in the business.
The South African startup is providing earning opportunities for rural and township populations across nine provinces and two countries via its reseller model (with 90% of repeat resellers being female). According to Candor Life Founder and Director, Lelethu Shayi, with the investment, the company hopes to increase its resellers tenfold, expand its reach across five Southern African Development Community markets, and up its revenue.
AIA
Dusek also offered $25,000 for a 10% piece of AIA. Dubbed the Etsy of Africa, AIA is an online store for handmade African artisanal goods offering creatives who lack the budget and digital skills the opportunity to sell their products online.
Founder, Caley Africa, shared that the funding will be used to improve the platform’s technology, grow the team behind the scenes, and to ramp up content and digital advertising. This will all be done to increase customers and, in turn, revenue.
The judges were impressed by the company’s community-based crowdfunding initiative designed to help raise the start-up capital.
Through the stokvel, Mtwanamba aims to raise $30,000 (R500,000) which will enable them to purchase six VIP toilets and pay its team of janitors.
Mtwanamba CEO and Founder, Thapelo Matseba revealed that members can expect an investment return of 15% per annum. With the stokvel limited to 100 members, HYBR Group’s Operating Partner for Africa, Vuyisa Qabaka made the commitment to seed the initial $300 (R5,000) minimum investment required by each member.
Lelemba Phiri committed to seed the second minimum investment with a promise to seed more if the entrepreneurs committed to drive better gender diversity in their team.
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
