Uncap aims to close the funding gap for African entrepreneurs
Unclog (www.Unconventional.Capital), an award-winning platform aimed at providing access to seed funding for entrepreneurs in Africa is calling for start-ups to apply for the chance to receive seed capital of between EUR 10,000 and EUR 50,000 EUR.
To be eligible for funding, applicants must be registered as limited liability companies based in Kenya, Uganda, Rwanda or Nigeria, have at least 12 months of revenue, have well-kept records of business operations and a scalable business model.
Applications are open to founders from all industries, not just tech. Uncap has a “do no harm” policy: it does not invest in companies or individuals that harm people or the environment.
Uncap’s application process is entirely remote and focuses on quantifiable assessment of the founder’s ability to grow and scale a great business. Applications are made online via the Uncap portal (https://bit.ly/3Oi8Zsw) where the founders answer a series of questions and assessments. There is no need for pitch decks and no collateral is required. Uncap then chooses which companies to invest in using a data-driven screening process.
Uncap invests through revenue-based redeemable equity financing “RBF” which is designed to meet the needs of start-up companies. RBF is a form of capital raising where investors agree to provide capital to a company in exchange for a certain percentage of the company’s total gross revenue. Uncap buys shares which can be redeemed by the company at a pre-agreed multiple using a percentage of their monthly earnings.
Empowering African Entrepreneurs
Founded in 2019, Uncap’s goal is to make seed funding accessible to all good founders in Sub-Saharan Africa. One of the barriers to equal opportunity in growing a business is access to start-up funding, which is unfairly distributed and heavily skewed with respect to gender, education, and location.
Uncap was founded to create a new, unique and innovative approach to funding start-up entrepreneurs using a remote, data-driven, and primarily automated process. Its vision is to provide talented entrepreneurs with access to the capital essential to their success, regardless of their gender, education, social background or place of residence. One of Uncap’s main goals is to empower women entrepreneurs who are underrepresented in many sectors.
“Our goal is to empower female founders to achieve an equitable experience by redefining their fundraising journey through Uncap’s automated, inclusive and data-driven process,” says Esther Ndeti, Investment Principal at Uncap.
In 2020, Uncap invested in 27 companies and in 2021 70 offers were made from more than 800 complete applications. This year, he expects to more than double last year’s figure. Uncap has already made its first release in 2022 from Ava Juliet Productions.
“Uncap supported the expansion of my media production company during the pandemic. I needed funds for operations, salaries, equipment and insurance, says Nathan Magoola Ava Juliet Productions, Founder and Content Producer. “Uncap’s flexible repayment method stood out to me because it was dependent on my earnings performance.”
How to Join Uncap’s Revolution
Businesses can apply for funding from Uncap through the online portal. Candidates simply create an account and provide their professional details. Once the application process (a mix of cognitive and personality assessments on applicants, their business skills and financial knowledge) is complete, they will be notified if they are shortlisted. Once the investment contract is signed, they have access to automated KPI analysis and access to resources. Selected founders will also become part of and have access to Uncap’s growing network of entrepreneurs.
“We are currently working to complement our entrepreneur support with tools to diagnose your current gaps, access to the right resources and support providers, and hopefully soon automated connections with follow-on funding,” says Franziska Reh Uncap, CEO and Founder.
Applications open on July 18 and will continue until September 16. Join Uncap’s financing revolution by registering now to gain access to start-up financing.
Distributed by APO Group on behalf of Unconventional Capital.
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