Since the first underwater internet connection was installed, Kenya’s IT industry has expanded dramatically. Venture capital firms have come a long way in the past year, mostly due to innovations from both established companies and more recent startups. With an incredible 20.1% CAGR and a predicted value of $584.4 billion in 2027, this massive industry is ready for growth.
Kenya, one of Africa’s “big four” startup hotspots, has drawn interest from investors throughout the globe thanks to its 300+ firms working in several industries. Angel investors and venture capitalist firms are actively looking to invest in potential businesses across a range of industries and stages. These funds actively look for ways to support Kenyan entrepreneurs to maintain a strong and expanding tech sector in the nation.
Factor[e] Ventures
Investing in and supporting persons and ideas that convert energy, agricultural, transportation, and waste challenges into decarbonised solutions for emerging and frontier markets is the mission of Factor[e] Ventures, a venture capital firm and venture builder. They give entrepreneurs the knowledge, resources, and instruments they need to grow and have an international influence. They are very hands-on.
Portfolio: Sistema.bio, Ampersand, Odyssey, Clean Crop Technologies
Key Sectors: Energy, Agriculture, Mobility, Waste
Website: https://www.factore.com/
Savannah Fund
The Savannah Fund is a seed venture capital firm that makes investments in Sub-Saharan African early-stage technology (web and mobile) companies. By giving businesses access to capital, mentorship networks, and technical support from both local and Silicon Valley professionals, the fund seeks to bridge the investment gap in Africa.
Portfolio: Copia, Knabu, Orbit Health, Sendy, StorkBrands, Moringa School
Key Sectors: Technology
Website: https://savannah.vc/
Acumen Fund
Acumen was founded to use the potential of entrepreneurship to build a future where all people are treated equally and have the chance to live with dignity. They invest in startups that have products that can assist the poor improve their lot in life. They also give their companies the networks, resources, technical support, and strategic leadership they need to expand.
Portfolio: Akili Network, CropSafe, Easy Solar, Esoko, First Access
Key Sectors: Agriculture, Education, Energy, Financial Inclusion, Health
Website: https://acumen.org/
Shaka Ventures
Shaka Ventures invests in early-stage venture capital firm entrepreneurs and offers African businesses access to finance, a user base, global exposure, and technical support. Portfolio firms may build their startups by utilising their connections with local communities, international corporations, government agencies, and a wide range of mentors, advisers, and investors.
Portfolio: Halan, A Pay, Gona
Key Sectors: Fintech, Health, New Retail, Transport and Logistics
Website: https://shakavc.com/
Zephyr Acorn
Zephyr Acorn is an East African investment, venture capital firm, and assistance business focused on technology in its early stages. Their investment focus is on areas such as the introduction of new goods and services, the use of technology, the digitalization of old business models, and innovative product and service distribution. They actively assist businesses in areas including capital raising, finance and financial planning, strategy, hiring, entering new markets, and governance as part of their portfolio to aid in their expansion.
Portfolio: AsokoInsight, Shortlist, Kutuma, AntaraHealth
Key Sectors: FinTech, Logistics, Agribusiness
Website: https://www.zmlp.com/zephyr-acorn/
Chandaria Capital
To help entrepreneurs create large companies that have the power to transform the continent, Chandaria Capital invests in, counsels, and works with them. They employ a hands-on strategy to provide coaching, advising, education, mentorship, and networking to help entrepreneurs hone their skills and expand their companies. In addition to providing valuation advice and networking to help achieve the next round of investment, they will assist portfolio firms in strengthening their foundation and realising their full potential.
Portfolio: Jumba, Cinch, Utu, Stack, Fingo, African Originals
Key Sectors: Sector Agnostic
Website: https://www.chandariacapital.com/
Goodwell
The founding principle of Goodwell was “doing well by doing good.” As a result, they have emerged as leaders in the impact investing space, emphasising inclusive growth and financial inclusion in sectors that offer necessities as well as opportunities for income generation in underserved regions. To help their portfolio companies expand their operations and make a bigger impact, they give them access to money, unparalleled local knowledge, and markets throughout Africa and beyond.
Portfolio: Copia, Sendy, Origen Fresh, Asante Financial Services Group
Key Sectors: Financial Services, Food & Agriculture, Mobility & Logistics, High Impact
Website: https://goodwell.nl/
Cornerstone Enterprises
Kenya’s Cornerstone Enterprises, which started as a registered venture capital firm and investment club, has developed into a reputable venture capital business. They help investee businesses achieve substantial and sustainable growth by investing with a hands-on approach. They offer a variety of services, such as corporate advising, sales and marketing, company strategy, investor and valuation help, and more.
Portfolio: Fuzu, Sanergy, Koko, Poa! Internet, Effco
Key Sectors: IoT, Sustainable Solutions, Financial Services, Mining
Website: https://www.linkedin.com/company/cornerstone-enterprise-ltd
Yunus Social Business
Yunus Social Business is an organisation that converts contributions into investments in social companies, operating under the concept that businesses have the power to end poverty. The charitable venture capital firm was founded by Peace Nobel Laureate Prof. Yunus and Saskia Bruysten.
It invests in and supports social companies that provide healthcare, employment opportunities, education, and clean water and energy to approximately 13 million people in East Africa, Latin America, and India. Donations are transformed into stakes in social businesses, which we keep investing forever to compound the impact.
Portfolio: BURN Manufacturing, Alive & Kicking, ED Partners
Key Sectors: Social Impact
Website: https://www.yunussb.com/
Global Innovation Fund
The Global Innovation Fund is a non-profit innovation fund and registered charity that provides grants, loans (including convertible debt), and equity investments to assist technologies that have the potential to have a significant social effect. This venture capital firm is concentrated on enhancing the lives of the world’s poorest individuals and tackling important development concerns in low- and lower-middle-income countries.
As a result, they make investments in the development, thorough testing, and expansion of novel goods and services, corporate procedures, or legislative modifications that outperform current methods in terms of cost.
Portfolio: Drink Well, Give Directly, Builher, Babban Gona, Lively Minds
Key Sectors: Social Impact
Website: https://www.globalinnovation.fund/
TLcom Capital
TLcom Capital, a venture capital firm, supports and partners with entrepreneurs who are leveraging technology to provide commercial solutions for big problems, reshaping established markets and launching entirely new ones. In addition to funding, they use their network, resources, and experience to help investee companies develop and execute more successful business models in a variety of areas by offering financial, operational, and strategic support.
Portfolio: Twiga Foods, Ajua, Andela, Kobo 360, Terragon, Ilara Health, Shara
Key Sectors: Technology
Website: https://tlcomcapital.com/
Rising Tide Africa
A group of female angel investors known as Rising Tide Africa use their riches, connections, and power to actively shape and improve Africa. They oversee an investment pool that is concentrated on early-stage, technological, digital, and female-owned businesses with diverse leadership and management teams. In addition to funding, they give investee companies networking opportunities, mentoring, training, and more financial assistance.
Portfolio: Betty, Bankly, Kwik, Migo, Omnibiz, Oze
Key Sectors: Sector Agnostic
Website: https://risingtideafrica.com/
VBAN
Viktoria Business Angels Network (VBAN) was established in 2017, as a venture capital firm, to facilitate investment flow and bridge the gap between entrepreneurs and angel investors. They pool the funds of local and foreign investors to invest in East African startups at the seed stage, especially in the case of entrepreneurs whose businesses are significantly contributing to the resolution of industry-wide problems in their primary industry.
Portfolio: Rology, Chapter
Key Sectors: Sector Agnostic
Website: https://www.vban.africa/
Conclusion
Over the last year, venture capital firms have advanced significantly thanks to advances from both long-standing businesses and recently emerged startups. This enormous market is primed for expansion, with an amazing 20.1% CAGR and a projected value of $584.4 billion in 2027.
Numerous well-established and recently founded venture capital firms call Nairobi home. Nairobi has a plethora of options for venture capital organisations, owing to its robust foundation and developing regulatory landscape. This list attempts to highlight some of Nairobi’s leading startups and venture capital firms, with an emphasis on businesses with outstanding histories, cutting-edge products or services, or enormous growth potential.
