With the aim of addressing the issue of funding for African startups and increasing the scene of African tech entrepreneurs, Carbon, Nigeria’s foremost fintech startup has set up a $100,000 Disrupt fund.
This is coming as the first of its kind by an African fintech startup, and it’s expected to help the tech scene here in Africa. The fund aims to invest around $10,000 in each startup, in exchange for 5 percent equity, which in itself is an amazing deal.
The fund targets startups in a wide range of industries, from insurance and health to education. These industries have not really seen a lot of great investments in the fintech space, so with this fund, the consumers can see more competitors to Udemy and Udacity here in Africa.
Carbon also revealed that the startups who benefit from the Disrupt fund will be having access to their API. So they can leverage the company’s growing customer base of around 2.1 million users and its tech platform for a faster route to the market.
In the words of Ngozi Dozie, “a lot of money is spent on acquiring customers, mainly via social media when a more collaborative approach among tech companies could be more efficient. Our fund will enable this collaboration, allowing others to market to our customer base and vice versa – a win-win for everyone.”
Investees also enjoy mentorship and free office space in all Carbon’s Lagos offices. Carbon expects that the disrupt fund to spur more investment and the office spaces increasing collaboration. According to Chijioke Dozie, Carbon co-founder and CEO, “We believe that by collaborating and partnering deliberately, Carbon and other tech companies can scale faster and build more enduring platforms.”