- Flat6Labs was one of the crucial investors that contributed to the $3 billion tech investments in 2022, and it continues to shake Africa’s tech ecosystem.
- Ramez El-Serafy and Dina el-Shenoufy have agreed to invest in more than 160 early-stage startups over the next five years.
- African tech startups received $3 billion in investments in 2022.
Egypt’s startup accelerator company, Flat6Labs, has announced $95 million in VC funding to boost early-stage technology startups in Africa.
This VC funding for tech startups will focus on three promising territories; North, West and East Africa.
Through this initiative, Flat6Labs aims to extend its reach in newer territories such as Nigeria, Ghana, Kenya, Morocco and Senegal. According to Egypt’s startup accelerator, Africa has proven its might within the tech industry producing several revolutionary companies that can change the trajectory of the tech world.
Flat6Labs CEO Ramez El Serafy stated that Africa’s tech ecosystem is one of the most exciting investment opportunities. Despite its already promising tech companies, Africa still holds significant untapped potential and unique business opportunities. To achieve this feat, Egypt’s startup accelerator created the Africa Seed Fund. It will ensure the distribution and management of the funding.
El-Serafy and Chief Investment Officer, Dina el-Shenoufy, announced that the Africa fund will invest in more than 160 early-stage startups over the next five years. Their primary goal is to focus on impactful sectors within Africa to accelerate digital inclusion through information technologies and industries. Aside from being a lucrative investment opportunity in Africa, tech startups can contribute to the various social and environmental challenges that plague the continent. This is possible by establishing e-health, fintech, ed-tech, green-tech, agri-tech and climate tech.
This VC funding for African tech startups is an opportunity for new innovators to have a stage in the global tech market. Aside from funding them, Flat6aLabs has several training and mentorship programs that will provide the necessary skillsets and experience these innovators need to take their companies to the next level.
El-Shenoufy states, “The Africa Seed Fund is well-positioned to be a catalyst for driving long-term positive change that the youth of Africa deserve. In addition, it provides resources to the brightest of them while accelerating the future of the African continent. The programme will provide entrepreneurs with the resources they need to grow and scale up their businesses to new heights.”
Vision and goals of Flat6Labs
in 2011, Sawari Ventures launched Egypt’s accelerator company Flat6Labs. Through the years, it became known as the most dominant force when it comes to VC funding for tech startups in Middle and North Africa. Furthermore, it steadily built its reputation to what it is today. It was one of the crucial investors that contributed to the $3 billion tech investments in 2022, and it continues to shake Africa’s tech ecosystem.
Africa’s tech ecosystem is one of the most lucrative investment opportunities in the continent, and Flat6Labs understood this fact. Aside from providing seed funding, it offers strategic mentorship, a creative workspace, entrepreneurship-focused business reading and direct support for Africa’s tech ecosystem through its extensive network.
The company has invested in more than 100 innovative and technology-driven startups. It also manages several seed funds with over $85 million. Africa is at the forefront of development as the 4th Industrial revolution draws closer. In half a decade, Africa has embraced new technological revolutions such as blockchain technology, the Metaverse, and AI. The continent’s Fintech Industry is a prime example of such ingenuity receiving the support it needs.
In addition, Africa houses the highest number of entrepreneurs in the world while having 60% of the world’s total Youth population. The combination of these two factors indicated that in under a decade, Africa will house the largest number of startups globally.
Africa’s tech ecosystem is steadily gaining traction, and more investors are realizing the true potential of the continent’s innovators. Currently, investors and organizations have realized that tech companies in Africa have the potential to attain the unicorn status many strive for.
To further prove this statement, six out of the seven unicorn startups in Africa, under a decade old, are tech-based companies. Flat6Labs is trying to gain a piece of unicorn status by aiding startups to achieve their true potential.
According to Disrupt Africa, Africa’s tech startup ecosystem has exponentially grown in the last few years. In 2022, tech startups became the most lucrative investment opportunities in Africa, hitting an all-time high of $3 billion. It was only a matter of time before Egypt’s startup accelerator took action.