The Baobab Network, a Nairobi-based accelerator, invests $50k in 4 new African startups

A Nairobi-based accelerator called The Baobab Network has revealed its most recent batch of four investees, each of whom received US $50,000 in cash. The Baobab Network invests in early stage software startups around Africa.

Since 2019, The Baobab Network has assisted startups with capacity building and funding; its most recent cohort was accepted at the start of March. In addition to investing in four new projects, it has also increased its normal investment to $50,000. This increases the number of companies in its portfolio to 29 across 11 nations.

Two of the chosen firms are from South Africa: Lemon, a platform that makes it simple for companies to buy industrial supplies, and Local Knowledge, a travel-tech startup that helps digital tourists discover Africa and improve local communities.

Oval Interactive, a Nigerian marketing technology platform, and Shemach, an Ethiopian marketplace that makes it simpler for small sellers to purchase, store, and pay for merchandise, were also chosen.

At the end of June, the newest cohort began a three-month rigorous development program. Each participant received US $50,000 in financing and had access to the program’s intensive growth assistance.

“We spent our first few years in the market trying to test our model and ensure that we are able to deliver real value to African founders and put in the prerequisite processes required to scale it,” said Christine Namara, programme lead at The Baobab Network.

“Starting earlier in 2022, we launched our first cohort fully with the understanding that we are able to repeat the process of delivering value at scale for African founders and we are very proud of the quality of startups that came out of that. We made it part of the process to close with a demo day, and we have been quite pleased with the traction our founders have gotten from the last one we had. Our companies have gone on to raise more than US $50 million in follow-on funding since we first launched our accelerator in 2019, so the model is definitely working.”

The first cohort of The Baobab Network for 2023 is now accepting applications.