Uncap Puts out a Call for African Start-ups to Apply for Early Stage Capital Funding

In an effort to support the up and coming start-ups in Africa, Uncap has put out the call for stat-ups to apply for early stage funding.

Uncap, an award-winning platform aimed at providing access to early-stage funding for entrepreneurs in Africa is putting out the call for start-up businesses to apply for the chance to receive early-stage capital ranging between 10,000 EUR and 50,000 EUR.    

To be eligible for funding, applicants must be registered as limited companies based in Kenya, Uganda, Rwanda, or Nigeria, have at least 12 months of revenue traction, have well-kept records of business operations, and a scalable business model.  

Applications are open to founders in any sector – not just tech. Uncap has a ‘do-no-harm’ policy: it does not invest in businesses or individuals that hurt people or the environment. 

Uncap’s application process is fully remote and focuses on quantifiably assessing the founder’s ability to grow and scale a great business. Applications are made online through the Uncap portal where founders complete a series of questions and assessments. There is no need for pitch decks, and no collateral is required. Uncap then chooses which businesses to invest in using a data-based selection process.  

Uncap invests through redeemable equity-revenue-based financing ‘RBF’ that is designed to meet the needs of early-stage businesses. RBF is a form of capital raising where investors agree to provide capital to a company in exchange for a certain percentage of the company’s ongoing total gross revenues. Uncap purchases shares that can be redeemed by the company at a pre-agreed multiple using a percentage of their monthly revenues.    

Founded in 2019, Uncap’s goal is to make early-stage funding accessible to every good founder in sub-Saharan Africa. One of the barriers to equal opportunity in growing a business is access to early-stage funding, which is unfairly distributed and highly biased in regard to gender, education, and location.  

Uncap was founded to create a unique and innovative new approach to funding early-stage entrepreneurs using a remote, data-driven, and mainly automated process. Its vision is to provide talented entrepreneurs access to capital critical to their success, regardless of their gender, education, social background, or location. One of Uncap’s main goals is to empower female entrepreneurs who are underrepresented in many sectors.   

Our aim is to enable female founders to get an equitable experience by re-defining their fundraising journey through Uncap’s automated, inclusive and data-driven process.  

Esther Ndeti, Investment Principal, Uncap

In 2020, Uncap invested in 27 businesses and in 2021 70 offers were made from over 800 complete applications. This year it plans to more than double last year’s figure. Uncap already made its first exit in 2022 from Ava Juliet Productions.  

Uncap supported my media production company expansion during the pandemic. I required the funds for operations, salaries, equipment, and insurance. Uncap’s flexible repayment method stood out to me as they were dependent on my revenue performance.

Nathan Magoola Ava Juliet Productions, Founder & Content Producer

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