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FrançaisI&P Acceleration in Sahel: 100 companies in the Sahel now financed !
Submitted by on Thu, 01/11/2024 - 16:46
Funded by the European Union, I&P Acceleration in Sahel reaches a key milestone in its deployment with the financing of the program's 100th company.
Reminder of the program's vocation and seed financing
Since 2020, I&P has been committed to helping innovative, competitive SMEs emerge in Sahelian countries, promoting growth and job creation.
With the support of the European Union, I&P has launched I&P Acceleration in Sahel, a regional support program aimed at structuring and formalizing young companies in the seed phase, to prepare them for investment and fund-raising. This initiative is part of a project to create jobs and strengthen the entrepreneurial ecosystem in the Sahel and neighbouring countries.
I&P Acceleration in Sahel is built around 3 complementary components, one of which is dedicated to seed financing between €3,000 and €60,000 (i.e. between CFAF 2 million and CFAF 39 million) in the form of a repayable advance, enabling companies to access the resources they need (equipment, raw materials, HR, development) to develop and scale up. Rediscover the program's 3 components
By the end of November 2023, I&P had reached its initial target of financing 100 companies in the Sahel sub-region. The latest company in the portfolio is Habidem, based in Mauritania. Discover the company sheet.
The program's 10 key figures
4 years after the launch of the program, I&P is proud to present the 10 key figures for the program's seed financing component:
- 100 companies financed in 12 sub-Saharan African countries, including 48 in G5 Sahel countries
- 11 business sectors
- 4.6 million euros disbursed
- Sales growth rate of 59% per year (2023)
- 40% of businesses are run by young people and 36% by women
- 49,000€ : average financing ticket per company
- High leverage effect: portfolio companies raised €15.9 million as a result of the program
- + 4,597 permanent and temporary jobs created and/or maintained
- + 31,678 people indirectly impacted (households, suppliers, employees, students, etc.)
What are the next steps ?
"The Sahelian sub-region is a breeding ground for innovative entrepreneurs and project leaders. Through a variety of prospecting channels (databases, calls for projects, collaboration with incubators, consultancies, participation in events), we have exchanged with over 500 companies, even if we had to select the best of them in terms of growth potential and impact, and job creation. These young companies are often informal or in the process of being formalized, which makes it particularly difficult to carry out accounting and financial due diligence. In addition, the health crisis and the deteriorating security situation in certain countries have had an impact on the performance of the SMEs financed, which were operating in remote areas".
Timothée Ouoba, Head of coordination for I&P Accélération program in Sahel program.
Although the screening of project applications is now complete, the seed capital teams of I&P and partner investment companies are keeping up their technical support to portfolio companies by organizing technical assistance missions and monthly reviews, monitoring repayment and reporting activities.
Useful resources :
- Activity report : How to support the acceleration phase of small businesses in the Sahel region : lessons from I&P Acceleration in Sahel’s mid-term evaluation
- Success-story : E'Sens: promoting local citrus production in Côte d'Ivoire
- Success-story : La Maison Fenel : promoting Faso Dan Fani in Burkina Faso
About I&P Acceleration in Sahel
I&P Acceleration in Sahel is a program for start-ups and small and medium enterprises in West Africa with one main objective: to give them access to financing and the skills they need to enable their development and thus promote the creation of decent and sustainable jobs in the sub-region. Learn more about I&P Acceleration in Sahel.