6min Pitch…
Finding the winning niche strategy for the next decade
Keet van Zyl @KeetvZ @KnifeCap #PESA2014
SA Venture Metrics
Why VC in Southern Africa?
Experience +
Skills +
Networks +
Funding
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Too risky
Only 1 out of 10 deals succeed
Not enough deal flow in SSA
It only works in Silicon Valley
Only suitable to tech startups
African tech = Oxymoron
VC = Out of mandate
VC does not ‘move the needle’
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VC = “Mentorship Capital”
Catalyst for growth
Plugs startup funding gap
Path to SME sustainability
Impacts on innovation
Advances skills development
Creates new jobs
Facilitates business networks
Source of FDI
Increases ESG focus
Key entrep’ ecosystem
building block
Southern African VC Industry Force Field Analysis
RESTRAINING FORCES
DRIVING FORCES
• Collaborative innovation
hubs across Southern Africa
• VC ecosystems developing
• Training & mentorship
• Incubators & accelerators
• Rise in angel investment
• Corporate VC activity
• Co-investment initiatives
• Diaspora networks
• Organised work groups
• More & more success stories
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Risk avoidance
Culture of entrepreneurship
Fragmented ecosystems
Limited institutional support
Red tape/ compliance
Lack of incentives
Complex IP regulations
Entrep’ support structures
Experience of fund managers
Unpackaged opportunities
‘Under the radar’ success
Keet van Zyl
@KeetvZ / @KnifeCap
[email protected]
www.knifecap.com
VC Course: Find-Make-Grow-Realise