Business Grants // 10 Insider Grants for Afripreneurs
Business Grants // 10 Insider Grants for Afripreneurs
Business Grants are the perfect way to access funds for entrepreneurs and business owners to boost their startups.
Africa is quickly becoming an economic global powerhouse thanks to a great and large industry-ready pool of young african entrepreneurs and tech innovators.
However, to reach the Fortune 500 Companies, these young entrepreneurs need initial financial assistance, mentorship, and technical assistance to kickstart their projects.
What Is Business Grant?
According to Startup.com, A business grant is a sum of money given to a business to help them further its business.
They’re usually distributed by governments, corporations, foundations, or trusts. Unlike many other types of business funding, grants don’t have to be paid back and business owners aren’t required to give up equity in exchange for a grant.
However, most small businesses probably won’t qualify for a small business grant, as they’re tied directly to government agencies that have specific goals.
There are some categories of business that are an exception, though, including research and development companies, as well as some high-tech companies. Some grants are also sector or gender-specific.
Types Of Business Grants?
So how do you know the type of business grant offered to Entrepreneurs in Africa? If you are searching for some good grants for entrepreneurs in Africa or planning to apply for some opportunities for Africans, understanding these types of grants will assist you on which business grant you should channel your energy to applying.
Competitive Funding – Most of these grants are offered to entrepreneurs and startups on a selective basis. There is always a team of judges/board who carry out an evaluation or review process. Funds are then given as a result of the merit of the application i.e the best application is a winner and receives a grant.
Continuation Funding – This opportunity or grant offers current grants awardees the opportunity of renewing their grants for a certain duration. If you are interested in such business grants and funding options, you should get ready to enter a partnership with the current awardee who is receiving a business grant.
Non-Competitive Funding – Non-competitive funding grants for entrepreneurs are offered to eligible business owners, all applicants who meet the minimum eligibility requirement of the application process are shortlisted to receive the money as an award.
Pass-Through Funding – This type of grant for business owners and startups is provided by Government to the States/Provinces for further distribution. It also can be given by donors, sponsors, and foundations to organizers for distribution to entrepreneurs. They give business grants to entrepreneurs through formula allocations or open competitions.
Successful applicants can use the business grant (money) to facilitate and implement set strategies, activities, and plans to either start or grow their business located in Africa.
What Business Grant Providers Expect from Entrepreneurs.
As an entrepreneur, you do need to understand what business grant providers do seek in Entrepreneurs especially those business owners and startups from the African region. So here are a few things they look at:
An existing business or convincing business idea
Business plan or ideas
Cost of starting the business if have an idea
Businesses that will yield turnover in a short duration or ideas that are realistic
Financial records of business
With that in mind, here is a list of ten grants that focus on African Businesses
SeedStars World is one of the business grants offered to entrepreneurs from Africa. Seedstars Africa is an organization active in offering SME grants in over 53 countries in the world, especially regions like Africa, Asia, Middle East, and South America. To access business grants from Seedstars, you will need to apply for the annually offered Business grant competition, a competitive grant for young business owners and emerging markets. These business grants for entrepreneurs from Africa help to identify promising business owners, organizations, and companies in the very need of capital. Target/Audience; Basically support Entrepreneurs who have a business in any African country
Tony Elumelu Entrepreneurship Grant is mostly held at the beginning of every year under the Tony Elumelu Foundation. The foundation provides grants to 10,000 aspiring African Entrepreneurs who benefit from $100 million grant to create 1,000,000 jobs and contribute $10 billion in annual revenues to Africa’s economy over the next 10 years. The Tony Elumelu Foundation Entrepreneurship Grants Programme (TEEP), is also a multi-year program of training, funding, and mentoring, designed to empower the next generation of African entrepreneurs.
The Anzisha Prize provides young innovative African entrepreneurs with business grants if you are a founder of an established business venture. Not only will you get business grants but leadership and entrepreneurial training for young Africans between the ages of 15 to 22 years. This is a perfect business grant for young innovative entrepreneurs in Africa be it any venture, business, and project. Target/Audience: Anzisha provides business grants to young innovative African entrepreneurs
MEST Africa Challenge offers an annual Africa wide-pitch competition with a business fund of $50,000 in equity investment for startups. MEST Africa Challenge is a great business grant for entrepreneurs who are in tech business based in any of the country-Côte d’Ivoire, Ethiopia, Ghana, Kenya, Nigeria, Rwanda, Sénégal, South Africa, and Tanzania. The challenge is a unique search for African tech entrepreneurs and focuses on giving them coaching, business capital, wide networking with other entrepreneurs, startups. Target/Audience: The grant supports African entrepreneurs with business investment capital.
She Leads Africa Accelerator Grants are offered annually to female entrepreneurs between the age of 18-35 and have already a business that needs funding in Nigeria. The She Leads Africa Accelerator prize will raise your profile, have access to Nigeria funding, the best business minds in the country, and an opportunity for investment in your business. The program duration is 6 months and gives investment capital to entrepreneurs who are females.
Savannah Fund is also another fantastic option, as it provides startups, business grants to African entrepreneurs. Savanah fund has over time generated revenue of more than $8million as it focuses on nursery stage high growth technology entrepreneurs and startups in Africa. Since its inception, the Savannah Fund has been assisting entrepreneurs with business grants across Kenya, Nigeria, Ghana, South Africa, and other neighbouring countries.
YALI Regional Leadership was launched to support African entrepreneurs and invest in the future generation businesses in Africa. Basically, civil leaders, entrepreneurs, and business owners receive grants including other benefits such as leadership training, creativity, and innovation, effective communication as entrepreneurs. Target/Audience: The grant supports African entrepreneurs between ages 18 to 35 years
Unilever Young Entrepreneurs Award can be the perfect grant for you if you are a social entrepreneur with impact and need supports as funds to scale your business, enterprises to the next level. This business grant supports innovative entrepreneurs tackling some world challenges, specifically the global sustainability goals.
Innovation Prize for Africa is a platform to help you amplify your voice and innovative solution to the challenges faced. This grant encourages innovators to create solutions to that address challenges in Africa. So you need funding, then apply for the innovative prize for Africa, if you have a business idea or solution that is impactful to Africa.
African Women Innovation and Entrepreneurship (AWIE) program seeks to provide business grants to accelerate entrepreneurship that is female-led organizations. AWIE is among the entrepreneurship grant platforms that support and provide funding to innovative, creative female entrepreneurs across the African region. Each year AWIE recognizes and supports females in private non-profit businesses in Africa doing tremendous change and impacting the economic growth of Africa. Target/Audience: Women-led organizations registered in any African country.
In conclusion, as entrepreneurs and startups, you can get business grants and fundings to support and scale up your enterprises if your business is registered and located in any African country. Take advantage of this wide range of business grants and apply for the latest ongoing and opened business grants.