African venture capital firm Founders Factory Africa (FFA), has rebranded to 54 Collective, reflecting an evolution in its business model, aimed at enhancing support for innovative technology ventures across Africa through strategic capital investment and its Venture Success Platform.
The new name, 54 Collective, embodies the firm’s pan-African ambition, symbolizing its goal to support entrepreneurs in expanding their businesses to all 54 African countries. This rebranding builds on the firm’s strong history of investing in and scaling early-stage African ventures.
As a commercial-first investor with impact embedded in its approach, 54 Collective focuses on ventures from the idea stage to Pre-Series A. The firm offers catalytic capital and comprehensive support through its Venture Success Platform, aiming to foster transformative growth in the African startup ecosystem.
“Our catalytic capital and value-add support to founders, through our Venture Success Platform, signifies our evolution and ongoing mission to support entrepreneurs across Africa and enable them to build without boundaries to drive commercial and impact returns,” said CEO Bongani Sithole. “Our name change to 54 Collective communicates our continued commitment to African founders. We are more supportive than ever of unlocking opportunities for entrepreneurs and ensuring a level playing field for youth and women founders.”
54 Collective will be offering up to $500,000 in equity and non-dilutive capital to startups, coupled with comprehensive support. This catalytic capital is designed to empower early-stage ventures, providing them with the financial and strategic resources needed to scale and succeed.
The Venture Success Platform, a core component of 54 Collective’s offering, comprises a team of seasoned venture specialists providing tailored support. This support covers product development, growth strategies, commercial relationships, business planning, talent acquisition, technology implementation, and data utilization, all aimed at scaling ventures effectively.
The platform also assists founders in securing appropriate funding by enhancing investor readiness, facilitating investor access, developing fundraising strategies, and unlocking debt and impact capital. Additionally, it fosters global success for founders through networking and community-building initiatives.
54 Collective stands out as the only African venture capital firm offering early-stage founders both substantial catalytic capital and comprehensive support from the continent’s largest venture capital team. With over 70 staff members across Kenya, South Africa, Nigeria, and the UK, the firm provides unparalleled resources to its portfolio companies.
Expanding beyond its initial focus on Agtech, Fintech, and Healthtech, 54 Collective now adopts a sector-agnostic approach, supporting a broader range of founders across various industries. The firm aids entrepreneurs in overcoming complex challenges to achieve commercial success while generating positive impact through economic growth and job creation.
In 2023, the firm was recognized as a top venture capital investor in Africa. Its active portfolio includes over 50 ventures across 10 countries. Since its inception, the firm has supported more than 70 ventures continent-wide and helped its portfolio companies raise nearly $140 million in follow-on capital.
“We are pursuing opportunistic investments in different sectors across the continent where there are uniquely large opportunities for startups to scale and create sustainable impact in these sectors. Our goal is to invest in 105 startups across Africa in the next five years, enabling entrepreneurs to provide solutions to the continent’s biggest challenges and transforming lives and industries,” explained Sithole.
A key target for the firm is to have 50% or more of its portfolio startups founded by women. This goal is within reach, as evidenced by the firm’s recent investment activities. Between January 2023 and July 2024, 45% of the 17 new investments made were in women-founded startups.
“54 Collective is a powerful economic and social force in the African economy. It is anchored with strong roots on the continent and exceptional network and reputation across the globe. Together with our sister funds, we continue our mission to redistribute investment and knowledge pathways towards a more inclusive, relevant, and equitable future for the Global South,” said 54 Collective’s Executive Chairman and UTOPIA CEO Roo Rogers.
The firm’s investments are generating tangible social and economic impacts beyond their immediate portfolio. A prime example is Asaak, a vehicle asset financing company in the 54 Collective portfolio. Asaak has significantly improved financial inclusion for over 11,000 bodaboda (motorcycle taxi) drivers. An impact study revealed that 79% of these drivers reported a substantial improvement in their quality of life, while 80% experienced increased income after accessing credit through Asaak.
54 Collective envisions a future where African entrepreneurship drives long-term progress and prosperity throughout the continent. The firm’s rebranding, coupled with its provision of catalytic capital and the innovative Venture Success Platform, signals a transformative phase in the African venture capital landscape.
By redefining investment practices across Africa, 54 Collective hopes to empower entrepreneurs to build their ventures without constraints. This approach enables founders to tackle some of Africa’s most pressing challenges, fostering innovation and sustainable growth.