(Nairobi) – The Black Founders Fund (BFF) has unveiled its Impact Report at the Alumni Summit, demonstrating significant success and progress among black-led startups across Africa. The report highlights the critical role that strategic support plays in fostering innovation and entrepreneurship on the continent.
BFF-supported startups have collectively raised an impressive $379 million, creating over 6,000 jobs across various sectors. These startups are growing 61% faster than their counterparts, showcasing the importance of targeted investment in driving scalable business growth and sustainable innovation.
One key takeaway from the report is the notable involvement of women in leadership positions within BFF-supported startups. More than half, 50.4%, of leadership roles are held by women, and 68% of the startups are either women-led or have female co-founders. This statistic emphasizes the importance of diversity and inclusion within Africa’s growing tech ecosystem.
Kenya stands out as the leader in follow-on funding, with 26 BFF-supported startups raising nearly $100 million, and employing over 1,000 people. These impressive figures underscore the positive impact of funding and mentorship on the local entrepreneurial landscape, contributing to Kenya’s position as a hub for innovation in Africa.
The Black Founders Fund, through its non-dilutive funding model, mentorship programs, and networking opportunities, has empowered entrepreneurs to overcome barriers and scale their businesses. This approach has been essential in helping these startups attract significant investment and compete on a global scale, contributing to the digital transformation of the African continent.
Agnes Gathaiya, Country Director for East Africa at Google for Startups, praised the Black Founders Fund for creating an ecosystem that goes beyond financial support. According to Gathaiya, the fund is focused on fostering innovation, job creation, and equal opportunity, which will help set the stage for a vibrant African tech landscape in the years to come.
Despite the remarkable progress made, black entrepreneurs in Africa still face substantial challenges, including limited access to capital, mentorship, and networks. African startups receive less than 1% of global venture capital, with women-led and marginalized entrepreneurs particularly underserved. These obstacles hinder the growth of many promising businesses, limiting their ability to scale.
The BFF Impact Report shows that initiatives like the Black Founders Fund are driving systemic change. With over 220 startups supported, the BFF continues to break down barriers and accelerate the growth of African entrepreneurs. Mariama Boumanjal, BFF Manager for Europe at Google for Startups, highlighted that the fund is helping Black founders not only overcome these challenges but also lead the way in innovation and economic development.
The report also emphasizes the diverse industries where BFF-supported startups are making a substantial impact, including sectors like Fintech, Healthtech, Agritech, and Artificial Intelligence (AI). Through its support, the Black Founders Fund is helping nurture the next generation of tech leaders who are shaping the future of Africa’s digital economy.
Folarin Aiyegbusi, Head of the Startup Ecosystem for Africa at Google, noted that the BFF Impact Report is a testament to the transformative work being done by Black entrepreneurs across the continent. Aiyegbusi emphasized that when these entrepreneurs are provided with the right resources and connections, they not only propel their individual businesses forward but also drive broader systemic change within the African tech ecosystem.
The Black Founders Fund Alumni Summit, held at iHub in Nairobi, gathered between 45 and 50 alumni from across Africa, including representatives from Kenya, Nigeria, South Africa, and Uganda. The event allowed alumni to celebrate their accomplishments and engage in discussions about the future of Africa’s digital economy. In addition to networking and collaboration opportunities, the summit featured a gala dinner that highlighted the achievements of BFF alumni, further strengthening connections between investors, startups, and key players in the ecosystem.
The summit also included discussions with industry leaders, investors, and policymakers about the opportunities and challenges facing African tech startups.