Kenya and its tech community played host to Silicon Valley’s self-made billionaires while scouting for new companies to invest in. San Francisco-based I/O Ventures, which offer mentor-ship to young tech entrepreneurs and invest in start-ups, endorsed the founders of Paypal and Yelp.com, as well as Paragon Five game development to be in the country. The three entrepreneurs, Russel Simmons (32), Mbwana Alliy and Paul Bragel (33) offered the following tips for success in the industry.
How to Pitch
Keep it short but intriguing. Whether you approach a venture capital fund manager or a financier, they have to listen to several pitches a day. Make sure that your presentation is concise and captivating, inspiring them to want to know more about your business.
Profitability
Most start-ups are either in a rush to become profitable before they have fully developed an acceptable product. Otherwise, they have been in operation for years and have not yet established revenue streams. Investors of tech companies especially, should experiment with various ways of monetising their innovations.
What comes first?
Entrepreneurs should first maximize on building their products before they start building up the company. The product must to be fit for the market, which one should know.
Marketing your business
In order to remain relevant in a highly competitive market, entrepreneurs should adopt and invest in ‘guerilla marketing tactics’. Work up a friend network that will grow when they talk to others about your new product or company. Arrange for parties and other social forms of interactions in order to spread the word about your business.
Selling off a business
When analysing what the best time to sell off your company is, consider how much energy you have left to continue running the business and for how long. Investors who have started big companies and later sold them off have admitted to growing an emotional attachment to their entities. However, they do confirm that equal excitement comes from starting new entities.
Sammy
January 19, 2011
Good Morning,
I am a 31 year old Zambian citizen looking to one day have my own business offering broadband internet services to the community I live in.
I am therefore looking for a mentor to help guide me and nurture my ideas into reality.
Kindly help.
Doris
January 26, 2011
Thank you very much for your valuable advice. I am 25 years old just from campus. I am setting up my company and I would like to get more advice on the ‘Guerrilla Tactics’ and more marketing advice that would work in Africa. Thank you.
Africa Report Team
February 7, 2011
Hi Nana,
On our website you can visit our Directory, which has a wealth of information under the links Assistance, Finance and Loans. In order to list yourself and your business on our website, follow the instructions in this article which shows you how to make a Marketplace listing. Here you can create a Finance Request asking for assistance.
Best Luck!
Africa Report Team
kennedy Alando
February 11, 2011
Thanks so much for your captivating link to all aspiring entrepreneurs.
I have the desire to set up a community digital village entrepreneurship venture, but up to now I am still bogged down by the factors that hinders one to start up businesses.
Capital is the major challenge, red tape and other bureaucratic processes not withstanding. Help me know how I can reach this goal because for me this will be a step ahead for my community, given the fact that it is still behind in digital technology approaches and awareness. Basically, what I want to do is to create awareness because looking where world has gone, its the digital concept that will harmonize everything.
Thank you and waiting for your advice.
Kennedy
Sam
February 17, 2011
Hi.
What more can you do than to inspire, inform and encourage young and upcoming African entrepreneurs.
Thanks guys for the good job you are doing.
Reid Ginther
February 27, 2012
some really nice and utilitarian information on this site, too I think the style has superb features.