Wunmi Semudara
The Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ) has launched develoPPP Ventures, a new funding scheme for start-ups in Nigeria.
The programme supports the growth phase of innovative Nigerian small and growing businesses (SGBs) that have the potential to generate a measurable, positive social or environmental impact alongside financial returns.
The funding is decided within the framework of competitions which take place twice a year.
“If the application is successful, start-ups can receive a grant of up to EUR 100,000 towards a growth investment to scale up their development-relevant business model. The prerequisites are that the start-ups already generate initial revenues with their product or service and acquire additional funds from other sources of at least the same amount via a matching fund model.
“develoPPP Ventures financing is tailored to raise these companies above the first threshold of becoming attractive enough for commercial (impact) investors and/or financial institutions.
The Small and Growing Business ( SGB) must be registered in Nigeria, must have a relevant product or service already on the market and can prove first sales figures by providing at least one annual financial statement.’
GIZ also noted that the start-up must provide sound financial and strategic business planning documents over a 3-year period going forward.
“The financial planning should provide insight into how the funds will be used to grow, become financially sound and reach break-even. Besides funding, the companies will receive technical assistance based on their specific needs to maximize their chances of success.
GIZ is supported by the international start-up ecosystem building organization VC4A and the local community-driven start-up hub, The Ventures Park, with implementing develoPPP Ventures in Nigeria.
SGBs interested in applying to the develoPPP Ventures funding scheme should visit www.develoPPP.de/en/
Additional requirements and due-diligence processes are part of the overall
selection process, and those additional legal considerations will be taken into account before an engagement by GIZ.
The first develoPPP Ventures competition for Nigeria is currently open (from 15th May). until 30th June 2023.
