African Angel Investors Balance Risk and Impact in Startup Funding
- 77% of angel investors invested less than $25,000 in African startups from 2022 to 2024.
- Half of the surveyed investors use Simple Agreements for Future Equity (SAFE) for investments.
- 59% of angel investors prioritize job creation and poverty reduction.
The findings from ABAN suggest a promising trend in the African startup ecosystem, where angel investors are not only focusing on financial returns but also on social impact. This dual focus could lead to sustainable growth and innovation in the region, especially as more investors are willing to explore larger funding ranges. However, continued support and education for investors will be crucial to navigate the challenges in markets with limited venture capital access.
