In this week’s edition of Ask an Investor, Daniel speaks to Tamer Azer, principal at Sawari Ventures, one of the oldest VC firms in North Africa.
How does due dilligence work at Sawari Ventures?
“Each company will have a different level of preparedness, investment readiness, and every company will have different rounds. A priced round will have a very different timeline than a convertible note round or a safe round. So ultimately, every process is fluid depending on the nature of the round and the co-investors in the round and the lead.”
Any red flags you look out for?
“One that comes to mind is coachability. I’m turned off when I see that a founder or co-founders are not really being responsive to feedback from an investor or a customer. When they have a reputation for being not just defensive, but being uncoachable. That’s a major red flag because when you invest in someone, the relationship is very close for a very long period of time. If you can’t give and take, then it becomes really tricky to nurture this relationship over that period of time.”
Future Africa has invested $3 million in 13 African startups in 2021, doubling its fund deployments for 2020. It’s invested in companies like Termii, Ongair, Lami and Stitch and is on the way to invest $10 million this year.
This Friday, June 4th at 11 am, Elo Umeh – CEO, Terragon Group will be discussing with Tomiwa Aladekomo – CEO, Big Cabal Media on what it takes to prepare for and close an acquisition.
Elo will be sharing lessons from Terragon’s acquisition of BIZense – a Singaporean data and marketing tech company in 2018 – and will try to answer the following questions – What informs the decision to acquire? How do you prepare your employees and customers for an acquisition? What are the pitfalls you need to avoid?
Elo will also be discussing why strategic partnerships are crucial not just to acquisitions but to overall business success, and why entrepreneurs should prioritize them when building for the African market and beyond.
If you’ve got big ambitions for your company, you don’t want to miss this one.