Crowdfunding is reshaping access to funding for entrepreneurs. This is especially valuable in regions where traditional funding is often short, like Africa. For many African entrepreneurs, access to capital has been a distant dream. Crowdfunding changes that by giving people the chance to invest in stories that matter and ideas that can transform industries and lives. Crowdfunding is fast-growing as an exciting alternative investment opportunity while facilitating African businesses to scale.
But the concept of crowdfunding isn’t new. In fact, it’s deeply rooted in human history. Back in the 1880s, over 160,000 Americans donated less than a dollar to fund the pedestal for the Statue of Liberty. According to the National Park Service, this early example of crowdfunding raised $100,000 (equivalent to $2.3 million today) in just five months. This collective power of the crowd, amplified by modern technology, is now creating unprecedented opportunities for both entrepreneurs and investors across Africa.
Africa’s time is now.
The continent’s venture capital scene is experiencing a renaissance. According to the 2021 Africa Tech Venture Capital Report by Partech, African startups raised a staggering $4.65 billion in 2021, with the number of deals surging by 25% compared to the previous year. This isn’t just growth; it’s a testament to the untapped potential and innovative spirit that defines African entrepreneurship.
At Grovest, we saw this potential and recognised the need for a platform that could bridge the gap between Africa’s most promising entrepreneurs and global investors eager to be part of the continent’s success story. That’s why we created gogetta.africa – Africa’s equity crowdfunding platform.
Take Healthspace as an example. lt’s one of the standout businesses currently raising capital on GoGetta. Founded in 2014, this health-tech company is revolutionising South Africa’s medical landscape by addressing a critical challenge: fragmented and inaccessible medical records. By providing a centralised digital platform for managing health records, Healthspace is empowering patients and healthcare providers alike. Their secure, compliant system enables real-time connections between patients and doctors, remote monitoring capabilities, telehealth services, and data-driven decision-making. With plans to expand to 420 medical practices by 2025, Healthspace exemplifies the kind of innovative, scalable solutions that African entrepreneurs are creating to solve real-world problems.
Raising capital into businesses like Healthspace has significant upsides for both the business and investors. So why are traditional funding channels too often falling short in meeting the needs of these African entrepreneurs? As reported by the World Bank, only 22% of African SMEs have access to loans or lines of credit, compared to 43% in other developing regions. Crowdfunding, particularly equity crowdfunding, fills this gap by democratising access to capital. It allows investors to participate in exciting opportunities with small amounts – as low as $50/R1,000 per share on GoGetta. This not only provides crucial funding for businesses that might be overlooked by mainstream financial institutions, but also fosters a sense of community and shared success between businesses and investors.
At Grovest, we’re proud to be at the forefront of this investment revolution. Our deep experience in alternative investments, combined with our commitment to fostering African entrepreneurship, uniquely positions us to lead the equity crowdfunding movement on the continent. Through GoGetta, we’re not just facilitating investments; we’re building a crowd of forward-thinking investors who believe in Africa’s potential and are ready to play their part in realising it.
The future of investing in Africa is inclusive, impactful, and full of potential. A report by the African Development Bank projects that consumer spending in Africa will reach $2.5 trillion by 2030, presenting enormous opportunities for innovative businesses and investors alike. Whether you’re a seasoned investor or just starting out, this exciting journey has a place for you. By investing through GoGetta, you’re not just getting returns; you’re actively shaping the future of industries including healthcare, technology, and beyond.
Invest in Africa. Invest on gogetta.africa