The Dakar Network Angels group (DNA) has launched to invest in Startups in Francophone Africa.
The group which registered its impact immediately made an investment in Ivorian startup Coliba-a cleantech startup which employs mobile app control waste recycling. The startup will go ahead to receive mentorship and a minimum of $25,000 in seed funds.
The launch is part of the mission of the DNA to assemble professionals and capital to bridge the resource gap for startups in French-speaking Africa.
As part of its plans to boost the startup ecosystem in French-speaking countries in Africa, the DNA will give seed fund investments of between $25,000 to $100,000 to early-stage startups with high growth potential. This, however, will be done under the entrepreneurial guidance of DNA’s angel network.
Launched in Senegal, the organization’s founder is Marieme Diop, a VC investor at Orange Digital Ventures.
While speaking during on the motivation behind the launch of DNA, Diop lamented the VC disparities between francophone and specifically nonfrancophone Africa. Citing a report from Partech, Diop stated that 76 percent of investment to African startups goes to three English-speaking countries — Nigeria, Kenya, and South Africa.
Of the $1.1 billion in equity funding to African tech ventures in 2019, only $54 million — or .05 percent — went to startups in French-speaking countries, per Partech’s latest report.
In her words, “With DNA we want to develop first an ecosystem of resources…for the francophone Africa region…that entrepreneurs can tap into for scaling. We also want to position DNA as the first investment academy that will educate…on…methods for investing, mentoring, conducting due diligence, and creating more value across that ecosystem.”
As part of the requirements for consideration for DNA investments, startups must gain referral by a member. DNA will take a minority stake (less than 10 percent) in ventures that receive seed funds and provide program mentorship until exits, according to Diop.
Aspiring members of the angel network group must commit to investing a minimum of $10,000 a year (for those coming on as individuals), $20,000 (for corporates) and be on hand to support the portfolio startups, according to DNA’s Corporate Membership Charter.
