Madica, a program by Flourish Ventures, steps up pre-seed investing in Africa | TechCrunch

MedicaAn investment program launched by a US-based investor thriving enterprises The company plans to invest in 10 ventures by the end of the year to support pre-seed startups in Africa, ramping up its funding efforts after closing three initial deals.

Medica revealed its plans to TechCrunch, indicating accelerated investment in the coming year, as it eyes 30 startups by the end of its three-year program, which started mid-last year. Launching in late 2022,

Announced today, the program’s initial investors include Cola MarketA B2B platform founded by Marie-Reine Seshy Helping SMEs to increase their sales and simplify their business operations. there are others GobebaFounded by a Kenyan on-demand retailer of home goods Leslie Mbogo And Peter NdianguiAnd Nuform Foods (formerly Mzansi Meat) is a South African cultured meat startup founded by Brett Thompson And Tasneem Karodia,

More are set to join the programme, as Medica explores potential deals in emerging markets such as Tunisia, Morocco, Uganda, DRC, Rwanda and Ethiopia. This is in line with its plan to reach out to different sectors and markets as well as startups driven by underrepresented and underfunded founders. Medica is also looking beyond fintech, the most funded sector in Africa, and is also keen to support startups by female founders (or where at least one founder is a woman), a demographic that receives modest VC funding. Lives.

“I believe that with the number of challenges that exist across the continent, it is the entrepreneurs who are in those markets who understand the context and lived experiences around the issues who are best placed to solve those challenges. Are in good condition. “The purpose of the Medica program is really to prove and show that it is possible to find founders who are building good businesses but don’t fit into the usual homogeneous group,” said Emmanuel AdegboyeHead of Medica.

Once an enterprise is accepted into the programme, Medica makes an upfront investment of $200,000, which lasts for 18 months, and also includes practical support and guidance. It has set aside $6 million to invest in scalable tech-enabled businesses and a similar amount to run the first phase of the programme, which has rolling entry. The program does not have standard investment terms to make each deal unique.

“Our programming is very individualized, but also structured in some ways because founders come into the program at different points. The personalized part of the program is extremely important because we want to understand what they need and how we can best support them,” Adegboye said.

“But we also recognize that at all times, we will have at least a few companies that we are working with within the program, so we have parts of the program that are very structured and that are included in every company’s portfolio. Within,” he said.

Adegboye hopes that as the program catalyzes pre-seed stage investments in various ecosystems in Africa, Madica can attract more capital to the continent and ultimately serve as a reference for global VCs looking to scale up operations in the market. could work.

“Depending on how the program goes, there is a possibility that we will double it or open it up to other partners so they can join us and accelerate this mission.”