Whether you are African by birth or by heart, this guide is for those who believe in the continent’s potential and want to invest and settle here. I first wrote it in French in 2015. The method still works; the context has changed, so I have updated it.
Africa is full of opportunities because so much remains to be built. The continent’s weight is growing: in 2023 the African Union became a permanent member of the G20, and continental trade integration is moving forward. But Africa is also many markets, each with its own ways of living, thinking and consuming, sometimes very different from one neighbour to the next.
Phase 1: Study
Get to know the market yourself. A holiday with family is not market research. The Africa you read about online, or left as a teenager, is not the one you will meet on the ground. Plan an immersion of at least two to three months, especially if you are targeting a country you do not know.
Set clear objectives and hold on to them. People will try to discourage you. If you know where you are going, you will turn both good and bad advice into something useful. And be careful: the continent attracts as many fraudsters as investors. Never jump at the first tempting offer.
Assess the market seriously. Set aside a budget for reliable data and, where needed, field surveys by professionals. The internet and friends’ opinions are not enough. Look at three to five countries, and favour those with a port and strong trade flows (Benin, Togo, Nigeria, Ghana, Côte d’Ivoire, Senegal). If you are francophone like me, become fully bilingual: anglophone markets are larger.
Phase 2: Design
Build a complete project plan and business plan. It should answer: who does what, for whom, for which needs, where, when, how, with what budget and financing, and for what return.
Get help to fill your gaps. You do not need a large firm that bills its brand. Experienced independent consultants close to the field can be more useful. Check their track record, and prefer someone who knows the local environment.
Phase 3: Adjust
Refine before you launch. Simplify, reduce risk and adapt ideas imported from Europe or the United States to local conditions. Plan for power, water and internet: a generator or solar kit, a voltage regulator, a backup connection. Africa is the continent of plan B.
Register when the business is real. Do not drown in paperwork before you have tested your offer. But register as soon as a serious client or contract appears; in Benin, company creation now takes a short time through the national investment agency. Informality may help you test, but it must stay temporary.
Keep fixed costs low for the first years. Hiring is a commitment. Without clients, your company does not exist; give yourself time to settle into the market.
Activate every network you have, from friends to LinkedIn. Go out, meet people, listen to your prospects’ needs before you pitch.
Phase 4: Finance
- Self-financing remains the best option when you can.
- Borrowing: compare rates and durations, and expect to provide a guarantee.
- Third-party capital: family and friends, crowdfunding, business angels and, increasingly, startup programmes and funds. Angel and venture networks are more developed in anglophone hubs such as Lagos, Nairobi and Johannesburg, but are growing in francophone Africa.
Phase 5: Launch
Be there. You need a base in the country. Do not entrust your business to someone else from abroad.
Start small. Work from home or a small office. Reduce charges; the rest will come.
Hire the strict minimum. Subcontract before you employ, and keep decisions close while trust builds.
Build relationships. Business introducers and influential contacts can open doors; negotiate their terms clearly.
Look after your first client as if your business depends on it, because it does.
Your watchwords: convince, retain, innovate, communicate strategically, organise.
Final tips
- Keep every invoice from the design phase to know what your project really cost.
- Always sign a contract with providers, small or large.
- Use simple management tools: calendar, planning, shared documents.
- Keep a written trace of every important decision.
