East Africa Venture Capital Association - EAVCA

Sep 12, 2013

1. Could you briefly introduce your institution?

The East Africa
Venture Capital Association ("EAVCA") was founded in 2013 to represent the private equity industry in East Africa and provide a voice for industry players to raise awareness and engage on regional policy matters. The association will offer training with more localized content, targeting more junior team members, furthermore offering networking opportunities as well as seeking to capture industry data and statistics. EAVCA is seeking to bridge the knowledge gap between the public and private sector on the importance of the asset class and the impact the nascent industry can have on growing enterprises and the development of our economies. MISSION STATEMENT: "EAVCA will provide authoritative knowledge and information critical to its members and to drive the development of the industry in East Africa's nascent Private Equity sector." OUR OBJECTIVES: Advocacy:
  • To raise awareness of the industry and its impact on economic development in East Africa.
  • To bridge the knowledge gap between the public and private sectors on the impact of private equity on growing enterprises.
  • To give the industry a better voice in order to influence policy makers within the government and other institutions
Intelligence
  • To help the industry gain more clarity on challenges experienced within the region and how these can be improved.
  • To provide investors with much needed information such as research material and statistics in order to enable them to make more informed decisions on where to invest and why.
  • To provide more support to GPs when fundraising.
Networking
  • To provide industry players with networking opportunities aimed at allowing them to discuss and debate the challenges and solutions to investing in the region.
  • To generate co-investment opportunities by bringing regional players together.
  • To promote East Africa as an attractive investment destination.
  • To provide exclusive networking opportunities for staff.
Training
  • To develop the industry through trainings tailored specifically to the East African region allowing them to expand on their knowledge and enabling skills transfer.
  • To provide local talent the opportunity to gain global technical expertise.

2. What are your recent achievements and key lessons learnt?

EAVCA held its first training workshop in June on Deal Structuring and was held at Strathmore Business School (SBS) in Nairobi. The association plans to host a 6 module training programme for its members on various aspects of the private equity and venture capital industry with each session being hosted by SBS. Our feedback was extremely positive and we will now focus on longer training sessions with case studies and reading materials being distributed two to four weeks in advance of the workshop so that trainees have adequate time to prepare.

3. What are your major activities over the coming years?

Our overall objective as we raise awareness and educate stakeholders on private equity, is mobilising local capital and we will be organising several events of interest such as breakfast round table discussions with various partners to discuss topics like Capital Gains Tax, COMESA levy and the Legal Regulatory Environment in East Africa in Q3 and Q4. Longer term, we will also play a role in data aggregation. We are planning our launch event which will be held on Friday 27th September in Nairobi so do please keep an eye out for the invitation in the coming weeks. We will also be holding our second training workshop on Thursday 26th September at Strathmore Business School, details of which will be sent to members.

4. Could you outline some major challenges faced by your institution?

In order for the association to achieve some of its advocacy plans, it will need critical mass. Accordingly the association is looking to partner with as many organizations which have similar objectives and with whom EAVCA can leverage on some of the work that has already been achieved. Access to funding is always a challenge as the association cannot rely on membership subscriptions as its only source of funding. For this reason the association will be looking at securing strategic grants and donors to help it achieve its goals in a sustainable method.

5. How can Making Finance Work for Africa support your work?

EAVCA is looking at gaining support from Making Finance Work for Africa in several ways. Firstly as a knowledge partner where we can share access to your research for our members and potentially partner on conducting various surveys or research reports. Access to donors or strategic grants is also key for EAVCA and we believe MFW4A would be a great partner in assisting the association in securing short or long term funding for example on specific projects like an industry round table for pension fund managers. Promotional support of our activities is a way in which MFW4A could greatly assist the association in. Lastly as I mentioned earlier, in order for our advocacy efforts to gain traction, critical mass is key, so EAVCA would appreciate support in our efforts to mobilising local capital for the region.