This guidance forms part of FSD Africa’s Venture Finance Platform, an initiative addressing the long-term challenges of developing financial markets systems to meet the needs of small and growing businesses central to Africa’s sustainable economic development.

Early-stage alternative local capital providers play a vital role in delivering alternative financing solutions to small and growing businesses across Africa. Yet many face significant operational and fundraising constraints in their early years, thereby limiting the flow of capital to these businesses.

FSD Africa’s Venture Finance Platform seeds and scales alternative local capital providers through direct investment, coupled with wide-ranging investment advisory and capacity strengthening support to improve key aspects of their strategy and operations.

Through the Platform, FSD Africa also plays a convening role, sharing insights and learnings from its investment portfolio and other partnerships to demonstrate this emerging asset class of capital providers and strengthen the market infrastructure necessary for a thriving early-stage financing ecosystem.