TO SOCIAL BUSINESSES
SCOUTING AND SUPPORTING THE EMERGENCE OF LOCAL TALENTS
Provide direct coaching and investment readiness
Attract local players to provide support
Organize networking and peer learning opportunities among social business
Provide info on other opportunities
Promote companies through website and social media
PROVIDING TRUSTWORTHY, LOCALLY GROUNDED AND DEDICATED IMPACT ADVISORY SERVICES
Customized investing and philanthropic strategy tailored to funder priorities
Source, select and carry out pre-due diligence on the most promising social enterprises
Leverage investments by brokering co-investment by other funders
Design and manage visibility and communication opportunities for the investors
Collect and disseminate knowledge and learning
Africa based Social Enterprises
Revenue making with track record (beyond ideas)
Producing strong and tangible Social and Environmental impact
Potentail to scale
FINTECH AND FINANCIAL INCLUSION
New generation of emerging Philanthropists, small – mid size foundations, impact funds seeking suitable pipeline.
Strategic partnerships with networks (e.g. EVPA), family offices, similar philanthropic advisory services.
Leveraging in-country collaborations (e.g. incubators, donors program) and partnerships to maximize impact.
10 Investments in 10 countries by 2018 to 30 p/y in 20 by 2020. 1m € in 2018 to 3m € direct investment and 10M indirect in 2020.
Philanthropic advisory services. Social businesses provides success fee in form of equity stake. Self financed by members + grants for knowledge products.
Most Frequently Asked Questions about Afrilanthropy (FAQ)
What is Afrilanthropy?
Afrilanthropy is a no profit organization, whose goal is to promote social innovation in Africa, by connecting African Social Enterprises with variety of funders, ranging from philanthropists to impact funds.
How does Afrilanthropy work?
Afrilanthropy relies on team of highly committed and passionate investment advisors resident in Africa, a strong network of local partners as well as a number of “Ambassadors” committed to the cause of promotive social innovation in Africa. , In each country of operation Afrilanthropy country advisors are responsible to identify, screen and support the most promising social enterprises in such countries. Our advisors are well esteemed professionals who are very active in the local ecosystem. This allows the advisors to have a better understanding of the social enterprise ecosystem, facilitates engagement with other local players and provide knowledgeable advise to the social enterprises.
What is a social enterprise?
At Afrilanthropy we define a social enterprise is a cause-driven organization (NGO, cooperative or private sector company) whose primary objective is generate positive impact across all communities and accomplish a social mission that will contribute to social, economic or environmental development, in a commercially viable way.
What kind of social enterprises Afrilantropy is looking for?
Afrilanthropy works with social enterprises in Africa that are legally established, has been market tested, and already generating income, and which are seeking financing in the form of debt or equity. Also, such social businesses must have a bold vision and substantial track record contributing to positive social, economic or environmental impact in their community, country and the African continent. We are not in the position to assist entrepreneurs with ideas which have not been implemented or tested. In such cases we would be happy to refer to organizations who can best assist in the countries where we operate.
Where does Afrilanthropy operate?
Afrilanthropy currently operates across 12 African countries. Algeria, Cameroon, Cote d’Ivoire, Democratic Republic Congo, Guinea Bissau, Egypt, Ethiopia, Mozambique, Rwanda, Senegal, Tunisia, where the organization has a resident or semi-resident advisor. Afrilanthropy may exceptionally accept proposals from other countries if the business is mature and market tested enough to be able to presented to investor with limited work.
Does Afrilanthropy provide direct funding?
For the time being, Afrilanthropy does not provide direct funding. Instead it connects social enterprises in Africa with potential investors, assists with fundraising opportunities and helps social businesses in reaching their investment need by working closely with its partner organizations and investors.
Does Afrilanthropy help grant seeking organizations?
Afrilanthropy typically works with organizations which have a viable social business with proven business models and a clearly identifiable revenue stream and which are already eligible for debt or equity. Exceptionally our investors may be able to provide catalytic grants on a viable venture (e.g. financing research and development for new prototypes, subsidizing the sale of a product or service to the poor, certifications) so a grant funding request can be combined with a request for equity or debt. We may be able to assist certain organization seeking grants on a stand-alone grant application to prepare their grant application against a small fee which is agreed upfront.
Does Afrilanthropy charge social enterprises for its services?
Afrilanthropy requires no up-front fees from social enterprises for its core services of (i) alert on funding opportunities, (ii) limited advise and (iii) business promotion. However, in order to support its growth, Afrilanthropy charges social enterprises a success fee, when it successfully manages to raise funds from the social enterprise. Such fee can be converted into an equity stake in the company, hence ensuring a strong alignment of interest between Afrilanthropy and the social enterprise.
Does Afrilanthropy charge investors for its services?
Afrilanthropy does not charge investors for referring them individual transactions. However, it charges them for its pre- and post-investment advisory work investors may require (e.g. investment strategy, market studies, due diligence, development of customized pipeline, impact monitoring and reporting). In some cases Arilanthropy undertake such services directly through its core network of resident advisors, in other we work or refer investors to local partners and consultants, yet ensuring quality and cost effectiveness.
How can a social enterprise engage with Afrilanthropy?
Our investment advisors in the country, typically identify the most promising social enterprises locally thanks to active scouting or referral by our PARTNERS
Social enterprises seeking Afrilanthropy’s assistance in raising equity or debt financing may also submit a two page max presentation following the attached template in either English, French or Portuguese to firstname.lastname@example.org, alongside with a pitching deck and any relevant documentation. If the social enterprise meets the basic requirements, Afrilanthropy will then connect the social enterprise with the respective country advisor in the country, who will assess their suitability to be considered for Afrilanthropy pipeline.