Remilekun Osasona
The U.S. International Development Finance Corporation (DFC) and U.S. African Development Foundation (USADF) have launched the African Small Business Catalyst (ASBC) to bolster early growth-stage small and medium enterprises (SMEs) in sub-Saharan Africa.
ASBC is a business accelerator that supports SMEs with loans ranging from USD$100,000 to USD$1 million and offers technical assistance (TA) and grants up to USD$100,000. ASBC targets SMEs in sub-Saharan African countries within the agriculture, food security, healthcare, and education sectors, as well as water, sanitation, and hygiene (WASH) with special consideration to SMEs that tackle the climate crisis and address gender equity considerations through their work.
ASBC seeks to partner with for-profit businesses that are registered locally and majority African-owned. Ambitious, full-time management teams with a clear vision and that are driven to grow their business and deepen their social impact are ideal candidates. Businesses must have at least two years of operations and be revenue positive with a scalable product/service.
ASBC assists its partners with capital/grants, mentoring, training, and TA to help them develop their business models, strengthen their management skills, expand their market reach, and deepen their impact.
Unlike most VCs, ASBC provides only debt capital. This means ASBC does not take shares or negotiate for any future equity stake in your business and will not dilute the founder’s ownership. ASBC will not make any claims on your intellectual property and will work in cooperation with other investors to help realize the growth and success of your business.
Who Is Eligible To Participate?
SMEs operating in atleast one of these countries (Côte dIvoire, Senegal, Uganda, Nigeria)
SMEs in sub-Saharan African countries within the agriculture & food security, education, healthcare, and water, sanitation, hygiene (WASH) sectors. Special consideration will be given to SMEs that address climate and gender.
Benefits of ASBC to SMEs
Debt investments up to USD$1 million
Grant capital up to USD$100,000
Intensive mentoring and training programs
Targeted technical assistance (e.g., technology)
Network of impact investors
Impact first, catalytic partner (no dilution or claims on IP)
Deadline
April 15, 2022
