Africa is plagued with a lot of problems some of which are unique to the continent. This has given room for ideas and even startups to grow in an attempt to solve some of these problems.
African startups do face a number of challenges one of which is limited access to funds. The figures raised by startups in the entire continent seems low however the exact amount raised still is a question that one cannot fully answer with certainty. Conflicting reports claim the continent raised about $129 million in 2016 and another claimed that over $366 million was raised.
The fact that these huge disparities even exist shows that there is a poor documentation process of what happens in the African startup scene and almost all other areas in the continent actually.
Well, DiasporaVC wants to serve as a starting point for people looking to invest in startups led by Africans not just in Africa but also in Diaspora. DiasporaVC will research dozens of startups every month and publish reports on the three which according to them have the highest potential.
They will provide a commentary and rate every startup of interest against seven factors which are solution value, market opportunity, competitive landscape, intellectual property positions, partnerships, regulatory factors and management team.
The reports will be largely based on the information gathered directly from the reviewed companies. DiasporaVC states that the reports should not be taken as a recommendation of any startup as “investment-worthy” but just a provision of information on the company.
I think this is a pretty interesting idea however I’m not quite sure how I feel about publishing only three out of possible hundreds of startup. It is also not clear if other startups which have been looked at would be mentioned in the reports even if detailed information will not be provided. To have access to this holy grail, you’ll have to pay a subscription fee of $19.99 per month.
If one subscribes in December, I do wonder if you have access to only 3 reports or access to all reports published before then. However, it does seem that the information provided is specifically targeted to investors outside Africa.
You can check out the site here.