Immense challenge
“Building an enduring business remains an immense challenge,” says Jesse Hemson-Struthers, head of the investment team at Niveus Ventures, who has successfully launched, invested in, grown and sold several businesses.
These include SAcamera, which Naspers acquired in 2012; BetTech Gaming, providing software to three of the top five listed gaming companies in Africa; LifeQ, wearable healthcare technology with clients such as TomTom; and SaveMoney, a fast growing fintech startup.
The company has the systems and structures in place as a venture capital operating partner to provide support in those crucial, early stages of business and to reduce the risks of failure. In this way, entrepreneurs are able to focus on the innovation required to differentiate their businesses from their competitors.
“Investment criteria comes down to the right person and the right team. We look for talented individuals who may have started a business once or twice before, or individuals who have achieved corporate success but haven’t been able to realise their entrepreneurial potential,” says Hemson-Struthers.
The venture capitalist will provide entrepreneurs with financing that fills the gap between angel funding of less than R1m, and capital from listed firms or private equity groups that range between R100m to R200m, which is typically difficult for a younger business to secure.
In addition to funding and strategic support, the company specialises in executive placements, bringing in the right talent to help build strong management teams and fill key positions.
The team is specifically looking to build businesses in Africa’s rapidly growing technology space, including those with a global agenda, and plans to invest in emerging technologies and disruptive ideas that will change the way people live, transact and communicate.
There’s an increasing number of successful tech entrepreneurs and exits coming out of South Africa and making a name for themselves internationally, such as:
As strategic investors the team will take a hands-on approach and provide in-depth knowledge of the market, ensuring that potential entrepreneurs start their businesses on a solid foundation.
Hemson-Struthers believes the enterprise will fill an important gap to support entrepreneurial innovation in Africa. “Our team has an established track record of building successful businesses and delivering shareholder value, while powering Africa’s growth.”
