Shega, Make-IT in Africa, Briter Bridges Launch Fundraising Guide for Founders in Ethiopia

Shega, in partnership with the GIZ project Make-IT in Africa and Briter Bridges, has developed a guide for early-stage startups looking to fundraise in Ethiopia.

Anchored in the unique context of Ethiopia, “The Founder’s Guide to Fundraising in Ethiopia“, aims to provide startups in Ethiopia with the information they need to successfully raise funds.

The Guide which took over three months to prepare, answers key questions such as when to raise funding, how and from whom to raise it, as well as what to do after closing.

The Guide also brings together lessons and best practices on fundraising in Africa, information on the preferences and focus of investors in Ethiopian startups, and insights on the funding and technical support available to startups operating in Ethiopia.

According to Briter Bridges, startups in Ethiopia have raised more than $14 million since 2015. The majority of this has gone into a few deals for fintech companies.

“Funding for early-stage startups is limited. Even at this late stage, international investors are still cautious about investing in Ethiopian startups,” said Anteneh Tesfaye, CEO, and Founder of Shega.

But pockets of funding exist if you know where to look. The guide aims to make this information more accessible and available in Ethiopia to support founders on their fundraising journey.

Through the information contained in this guide, Ethiopian founders will be able to navigate the Ethiopian startup ecosystem landscape.

Founders will find information on the startup ecosystem, including trends in funding for startups, relevant ecosystem support organizations, helpful links to resources, funding options for startups in Ethiopia, legal and regulatory considerations, as well as an investor catalog.

In addition, Ethiopian founders who have successfully raised funding in the past offer further guidance and tips for the fundraising journey.

Shega consulted with over 20 stakeholders in the Ethiopian startup ecosystem to ensure that the realities and opportunities for startup founders in Ethiopia are reflected in their true sense.

Nael Hailemariam, CEO and co-founder of Chapa Financial Services; Nohe Fekade, CEO of E-phone, Nathan Damtew, founder of BeBlocky, Markos Lemma, CEO and Co-founder of iceaddis, and Tewodros Tassew, independent consultant, are some of the people who provided their knowledge in preparation of the guide.

The Founder’s Guide to Fundraising in Ethiopia is part of a continental initiative by the GIZ project Make-IT in Africa and Briter Bridge who partnered with support organizations and local experts from nine countries across Africa to develop guides ‘for the ecosystem, by the ecosystem’ that assist founders with navigating technical support and financing options throughout their fundraising journey.

Make-IT in Africa is a project implemented by GIZ that aims to create an environment in which the full potential of African digital innovation can unfold. Meanwhile, Briter Bridges is a fast-growing market intelligence and research firm focused on emerging economies.

Click here to read the Guide.