Uncap has launched Unconventional Capital, a €30 million fund designed to bridge the capital gap faced by early-stage African SMEs. This innovative fund offers non-dilutive, revenue-based financing, providing businesses with flexible funding options to overcome early-stage challenges while preserving ownership. The Fund will collaborate with key partners such as SAIS, and O-Farms, and receive backing from institutions like the Bill and Melinda Gates Foundation and the Bayer Foundation, solidifying its reputation and innovative approach.
Unconventional Capital’s focus is on unlocking growth opportunities for African SMEs in high-impact sectors. By working closely with its partners, the fund seeks to harness their expertise and networks to support SMEs in accessing capital and scaling their operations. With its emphasis on revenue-based financing, Uncap is committed to transforming how SMEs raise capital, creating more opportunities for businesses to thrive across underserved regions.
Uncap’s decision to separate its financial operations from its tech platform, Level, demonstrates its commitment to delivering personalised financing solutions while enhancing tech-driven investment support. This strategic move allows Uncap to further its mission of supporting African enterprises while expanding the capabilities of Level, its SaaS platform, to simplify investment management for funders and accelerators across the continent.
Led by Esther Ndeti and Franziska Reh, Unconventional Capital is poised to revolutionise SME financing. As Ndeti pointed out, SMEs represent 90% of African businesses yet still face significant barriers in raising capital. This Fund aims to address these challenges, deepen Uncap’s impact, and set new industry standards for innovation and inclusion in Africa's SME sector.
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