Africa is a land of amazing business opportunities. The
success stories in this article prove there are many ways to make money in
Africa.
success stories in this article prove there are many ways to make money in
Africa.
But Africa is classified as a poor continent. How can it be?
Everywhere you look, there are opportunities to make money that don’t even
exist or are easily overlooked in other parts of the world. However, it’s still
surprising how many people are blind to the goldmine of opportunities in
Africa, including Africans themselves.
Everywhere you look, there are opportunities to make money that don’t even
exist or are easily overlooked in other parts of the world. However, it’s still
surprising how many people are blind to the goldmine of opportunities in
Africa, including Africans themselves.
Fortunately, there is a growing number of entrepreneurs who
are already exploiting the lucrative business opportunities on the continent.
The key to their success is that they see things quite differently from the
rest of us.
are already exploiting the lucrative business opportunities on the continent.
The key to their success is that they see things quite differently from the
rest of us.
Where there are problems, these entrepreneurs see potential
and opportunities. While we complain about the challenges we face every day,
these entrepreneurs are creating solutions that make money.
and opportunities. While we complain about the challenges we face every day,
these entrepreneurs are creating solutions that make money.
In this article, I’ll share with you a few success stories
of entrepreneurs and businesses in Africa that started from scratch and have
achieved remarkable success.
of entrepreneurs and businesses in Africa that started from scratch and have
achieved remarkable success.
These inspiring success stories prove that there are many
ways to make money in Africa, and if you’re determined enough, you too can
write your own life-changing success story!
ways to make money in Africa, and if you’re determined enough, you too can
write your own life-changing success story!
Let’s explore some of the interesting, tried and tested ways
to make money in Africa.
to make money in Africa.
1. SoleRebels (Ethiopia)
Bethlehem Tilahun Alemu, 34, grew up in Zenabwork, a poor
village in the suburbs of Addis Ababa, Ethiopia.
village in the suburbs of Addis Ababa, Ethiopia.
She came up with her business idea after she noticed most of
the artisans in her community, who made beautiful footwear, remained jobless
and poor.
the artisans in her community, who made beautiful footwear, remained jobless
and poor.
Today, her company, SoleRebels, is one the most popular and
fastest-growing African footwear brands in the world! It sells its
‘eco-friendly’ brand of footwear in more than 50 countries
including the USA, Canada, Japan and Switzerland.
fastest-growing African footwear brands in the world! It sells its
‘eco-friendly’ brand of footwear in more than 50 countries
including the USA, Canada, Japan and Switzerland.
SoleRebels’ footwear is unique because it is 100 percent
made by hand using locally-sourced and recycled materials like old car tyres
and hand-loomed organic fabrics.
made by hand using locally-sourced and recycled materials like old car tyres
and hand-loomed organic fabrics.
A few years ago, SoleRebels became the first footwear
company in the world to be certified by the World Fair Trade Organisation.
company in the world to be certified by the World Fair Trade Organisation.
By using local craftsmen, Bethlehem has built a global brand
and a hugely successful business that has created jobs and improved livelihoods
in her local community.
and a hugely successful business that has created jobs and improved livelihoods
in her local community.
Bethlehem started SoleRebels in 2004 with less than $10,000
in capital she raised from family members. Today, the company has more than 100
employees and nearly 200 local raw material suppliers, and has opened several
standalone retail outlets in North America, Europe and Asia.
in capital she raised from family members. Today, the company has more than 100
employees and nearly 200 local raw material suppliers, and has opened several
standalone retail outlets in North America, Europe and Asia.
Despite its very humble beginnings, SoleRebels now makes up
to $1 million in sales every year, and according to Bethlehem’s projections and
expansion plans, the company could be making up to $10 million in sales by
2016.
to $1 million in sales every year, and according to Bethlehem’s projections and
expansion plans, the company could be making up to $10 million in sales by
2016.
Buoyed by her success with SoleRebels, Bethlehem recently
launched Republic of Leather, a new business that trades in luxury leather
products like bags, belts and other non-footwear leather accessories.
launched Republic of Leather, a new business that trades in luxury leather
products like bags, belts and other non-footwear leather accessories.
Bethlehem was selected as the Young Global Leader of the
Year 2011 at the World Economic Forum in Davos, Switzerland, and was a winner
at the Africa Awards for Entrepreneurship in the same year. Bethlehem and her
inspiring success story with SoleRebels have been featured severally on Forbes,
the BBC and CNN.
Year 2011 at the World Economic Forum in Davos, Switzerland, and was a winner
at the Africa Awards for Entrepreneurship in the same year. Bethlehem and her
inspiring success story with SoleRebels have been featured severally on Forbes,
the BBC and CNN.
2. Africa Felix Juice (Sierra Leone)
Africa is one of the
largest producers of fruits in the world. However, due to poor processing and
storage, a huge portion of the fruits harvested in Africa every year is wasted.
largest producers of fruits in the world. However, due to poor processing and
storage, a huge portion of the fruits harvested in Africa every year is wasted.
In some countries, this situation is so bad that fruits and
concentrates are imported from overseas despite their local abundance.
concentrates are imported from overseas despite their local abundance.
For example, did you know that Nigeria, which produces
oranges in large quantities, still spends over $140 million to import orange
concentrates for its fruit juice industry?
oranges in large quantities, still spends over $140 million to import orange
concentrates for its fruit juice industry?
In West Africa, a company in Sierra Leone is already
exploiting the lucrative potentials of fruits.
exploiting the lucrative potentials of fruits.
Africa Felix Juice is a Sierra Leone-based company that
produces juice concentrates from mangoes and pineapples that are harvested
across the country.
produces juice concentrates from mangoes and pineapples that are harvested
across the country.
The company buys mangoes from more than 4,000 small farmers
in Sierra Leone. It collects the fruits and takes them to its processing
facility where they are processed (sorted, washed and crushed) into juice
concentrates, the main ingredient for making fruit juices.
in Sierra Leone. It collects the fruits and takes them to its processing
facility where they are processed (sorted, washed and crushed) into juice
concentrates, the main ingredient for making fruit juices.
By buying fruits from small farmers, the company is creating
value from millions of mangoes that otherwise rot away and go to waste every
year.
value from millions of mangoes that otherwise rot away and go to waste every
year.
The company’s mango and pineapple juice concentrates are
mainly exported to Europe where they are used to make fruit juices and
flavorings for the food industry. These concentrates were the first major
export from Sierra Leone since it came out from a devastating civil war nearly
ten years ago.
mainly exported to Europe where they are used to make fruit juices and
flavorings for the food industry. These concentrates were the first major
export from Sierra Leone since it came out from a devastating civil war nearly
ten years ago.
3. Anna Phosa (South Africa)
Anna Phosa is one of Africa’s well-known celebrity pig
farmers. Before hitting the limelight, Anna was an ordinary entrepreneur who
made a livelihood from her small vegetable farming business in Soweto.
farmers. Before hitting the limelight, Anna was an ordinary entrepreneur who
made a livelihood from her small vegetable farming business in Soweto.
She was introduced to pig farming by a close friend and
instantly developed a liking for the venture.
instantly developed a liking for the venture.
In 2004, Anna invested 1,000 Rand (about $100) to buy four
pigs which she used to start up her own small pig farm.
pigs which she used to start up her own small pig farm.
A little less than four years later (in 2008), Anna was
contracted by Pick n’ Pay, the South African supermarket and retail giant, to
supply its stores with 10 pigs per week.
contracted by Pick n’ Pay, the South African supermarket and retail giant, to
supply its stores with 10 pigs per week.
This order quickly grew to 20 pigs per week shortly after.
And in 2010, Anna signed a breath-taking contract with Pick ‘n Pay to supply
100 pigs per week over the next five years under a 25 million Rand deal (that’s
nearly $2.5 million!)
And in 2010, Anna signed a breath-taking contract with Pick ‘n Pay to supply
100 pigs per week over the next five years under a 25 million Rand deal (that’s
nearly $2.5 million!)
With a contract in hand, Anna received funding from ABSA
Bank and USAID to buy a 350-hectare farm property. From just four pigs, her new
farm now holds nearly 4,000 pigs at a time and supplies roughly 100 to 120 pigs
a week to retailers in South Africa.
Bank and USAID to buy a 350-hectare farm property. From just four pigs, her new
farm now holds nearly 4,000 pigs at a time and supplies roughly 100 to 120 pigs
a week to retailers in South Africa.
Anna currently employs about 20 staff and has become
something of a celebrity pig farmer on the continent!
something of a celebrity pig farmer on the continent!
Although pig farming hasn’t really picked up in Africa like
in other parts of the world, a few entrepreneurs like Anna Phosa are already
enjoying the lucrative benefits of the huge and rapidly growing demand for pork
products.
in other parts of the world, a few entrepreneurs like Anna Phosa are already
enjoying the lucrative benefits of the huge and rapidly growing demand for pork
products.
Despite cultural and religious influences in parts of our
continent that limit pork production and consumption, pig farming is still
growing across West, East, Central and Southern Africa.
continent that limit pork production and consumption, pig farming is still
growing across West, East, Central and Southern Africa.
4. Takamoto Biogas (Kenya)
At the beginning of this article, I told you there’s an
opportunity to make money with anything in Africa. That wasn’t a joke.
opportunity to make money with anything in Africa. That wasn’t a joke.
Founded in March 2011 by a team of Americans and Kenyans,
Takomoto Biogas has created a system that allows rural dairy farmers to convert
cow dung (animal waste) into a clean and cheap fuel (biogas) that is used for
cooking, lighting and heating.
Takomoto Biogas has created a system that allows rural dairy farmers to convert
cow dung (animal waste) into a clean and cheap fuel (biogas) that is used for
cooking, lighting and heating.
Takamoto Biogas provides Pay-As-You-Go biogas systems to its
customers, mainly smallholder farmers, who pay a small fee to install the
biogas system and then pay small monthly instalments for the biogas they use.
customers, mainly smallholder farmers, who pay a small fee to install the
biogas system and then pay small monthly instalments for the biogas they use.
Takamoto monitors the biogas system through a GSM-connected
smart meter that sends information regarding the maintenance of the unit and
customer payment status.
smart meter that sends information regarding the maintenance of the unit and
customer payment status.
In addition to the biogas system, Takamoto provides biogas
household appliances. As of January 2014, 100 farmers in Kenya were benefiting
from Takamoto‟s biogas solutions.
household appliances. As of January 2014, 100 farmers in Kenya were benefiting
from Takamoto‟s biogas solutions.
It is estimated that there are about 2 million small scale
dairy farmers in Kenya who cook with unhealthy and expensive wood fuels (like
firewood and charcoal). Worse still, the high-carbon smoke produced by these
wood fuels cause serious health problems and are harmful to the environment.
dairy farmers in Kenya who cook with unhealthy and expensive wood fuels (like
firewood and charcoal). Worse still, the high-carbon smoke produced by these
wood fuels cause serious health problems and are harmful to the environment.
Takamoto’s business is creating a viable energy alternative
for rural communities, saving forest resources and making money at the same
time! It’s amazing!
for rural communities, saving forest resources and making money at the same
time! It’s amazing!
5. SimplePay (Nigeria)
Compared to the rest of the world, payment systems in Africa
are largely ‘old school’. Most transactions are still done in cash, which can
be very inconvenient.
are largely ‘old school’. Most transactions are still done in cash, which can
be very inconvenient.
Simeon Ononobi noticed that it costs merchants in Nigeria
almost $3,000 to be able to accept online payments. At that time, Paypal, the
world’s biggest payment platform was still unavailable to users in Nigeria, and
most of Africa.
almost $3,000 to be able to accept online payments. At that time, Paypal, the
world’s biggest payment platform was still unavailable to users in Nigeria, and
most of Africa.
So, in January 2013, Simeon launched SimplePay, a web and
mobile wallet that allows users to easily pay for up to 150 different services
like mobile phone recharges, PayTV, taxes, school fees, church donations etc.
mobile wallet that allows users to easily pay for up to 150 different services
like mobile phone recharges, PayTV, taxes, school fees, church donations etc.
The SimplePay platform costs $1 to sign up and significantly
reduces the hefty costs of payment gateways and the unsafe exposure of personal
debit card details on multiple websites.
reduces the hefty costs of payment gateways and the unsafe exposure of personal
debit card details on multiple websites.
Today, SimplePay is being dubbed the ‘PayPal of
Nigeria’. It currently has more than
10,000 registered users (who are mostly merchants) and over 30,000 unregistered
users.
Nigeria’. It currently has more than
10,000 registered users (who are mostly merchants) and over 30,000 unregistered
users.
In a country with the ninth largest population of internet
users (over 60 million), the growth prospects for SimplePay are breathtaking.
It’s no wonder that a string of local and international investors are outdoing
themselves to have a stake in what is likely to become Africa’s biggest payment
platform.
users (over 60 million), the growth prospects for SimplePay are breathtaking.
It’s no wonder that a string of local and international investors are outdoing
themselves to have a stake in what is likely to become Africa’s biggest payment
platform.
Shortly after the company was founded, it raised $300,000
from Seedstars World, a Swiss venture capital firm, to support its growth and
expansion plans. SimplePay is on track to raise over $10 million in early 2015
and expects to grow its registered users to 16 million by 2016.
from Seedstars World, a Swiss venture capital firm, to support its growth and
expansion plans. SimplePay is on track to raise over $10 million in early 2015
and expects to grow its registered users to 16 million by 2016.
6. Omega Schools (Ghana) and Bridge
International Schools (Kenya)
International Schools (Kenya)
The standard and quality of education in many parts of
Africa is in a bad shape. On a continent with over 50 percent of its people below
the age of 25, and one in every three children out of school, it is estimated
that more than 60 million African children may reach adolescence lacking even
the most basic literacy and numeracy skills.
Africa is in a bad shape. On a continent with over 50 percent of its people below
the age of 25, and one in every three children out of school, it is estimated
that more than 60 million African children may reach adolescence lacking even
the most basic literacy and numeracy skills.
But is it possible to provide education to poor people and
still make money? Apparently, it’s possible!
still make money? Apparently, it’s possible!
Two for-profit businesses, Omega Schools (Ghana) and Bridge
International Schools (Kenya) are changing the face of education in Africa
through an innovative and highly effective low-cost primary education model.
International Schools (Kenya) are changing the face of education in Africa
through an innovative and highly effective low-cost primary education model.
Both companies have become very successful social
enterprises and have received various awards for outstanding social impact.
enterprises and have received various awards for outstanding social impact.
Omega Schools, based in Ghana, is a chain of low-cost
private schools that offers basic primary education to children of poor
families for an incredibly low and affordable fee (less than $1 a day per
student).
private schools that offers basic primary education to children of poor
families for an incredibly low and affordable fee (less than $1 a day per
student).
Bridge International Schools in Kenya uses a similar
low-cost model to provide affordable education to thousands of children in East
Africa for less than $5 per month per student.
low-cost model to provide affordable education to thousands of children in East
Africa for less than $5 per month per student.
Before these amazing businesses started, it was thought
impossible to educate poor people at a profit. Today, both private school
chains are educating over 200,000 children in East and West Africa.
impossible to educate poor people at a profit. Today, both private school
chains are educating over 200,000 children in East and West Africa.
7. Patrick Ngowi (Tanzania)
Ten years ago, aged 19, Patrick received a small loan from
his mother to start a business.
his mother to start a business.
He started off selling Chinese-made mobile phones, but then
he discovered that only a tiny fraction of Tanzanians had access to
electricity, so he had an idea for a business that could fill this gap.
he discovered that only a tiny fraction of Tanzanians had access to
electricity, so he had an idea for a business that could fill this gap.
In Tanzania, like in many parts of Africa, solar energy is
abundant but largely unused. Patrick decided to start a business that would
harness the power of the sun to produce electricity for millions of households,
especially in rural areas.
abundant but largely unused. Patrick decided to start a business that would
harness the power of the sun to produce electricity for millions of households,
especially in rural areas.
He continued traveling to China, but instead of mobile
phones, he bought solar supply and installation systems. Today, his company,
Helvetic Solar Contractors, has installed more than 6,000 small rooftop solar
systems in Tanzania and four other East African countries – Kenya, Uganda,
Rwanda and Burundi.
phones, he bought solar supply and installation systems. Today, his company,
Helvetic Solar Contractors, has installed more than 6,000 small rooftop solar
systems in Tanzania and four other East African countries – Kenya, Uganda,
Rwanda and Burundi.
Although renewable energy makes up about one percent of
Tanzania’s electricity sources, Patrick’s company already boasts of high
profile clients like the United Nations, the Tanzanian government, World Vision
and the Tanzanian Army.
Tanzania’s electricity sources, Patrick’s company already boasts of high
profile clients like the United Nations, the Tanzanian government, World Vision
and the Tanzanian Army.
To date, Helvetic Solar Contractors has installed several
solar water heating systems in government institutions and several UN projects
including schools, hospitals and hotels.
solar water heating systems in government institutions and several UN projects
including schools, hospitals and hotels.
In 2013, his business made more than $5 million in revenues
and the company was recently valued at $15 million! His astounding success
story has attracted a lot of media attention.
and the company was recently valued at $15 million! His astounding success
story has attracted a lot of media attention.
In early 2013, he was featured by Forbes as one of the 10
Young African Millionaires to watch in 2013. His company was also ranked at the
top of KPMG’s East Africa’s Survey of Top 100 Mid-Sized Companies in Tanzania
in 2012.
Young African Millionaires to watch in 2013. His company was also ranked at the
top of KPMG’s East Africa’s Survey of Top 100 Mid-Sized Companies in Tanzania
in 2012.
8. AgriProtein (South Africa)
Anything can be turned into a profitable business in Africa,
including maggots. Yes, maggots!
including maggots. Yes, maggots!
AgriProtein is a young business that is doing something very
remarkable that could totally change the animal feed industry.
remarkable that could totally change the animal feed industry.
The company is breeding billions of flies on a farm to lay
eggs and produce maggots. These maggots are fed on organic waste material (such
as human and animal waste, leftover food from restaurants and blood from local
abattoirs).
eggs and produce maggots. These maggots are fed on organic waste material (such
as human and animal waste, leftover food from restaurants and blood from local
abattoirs).
After the maggots feed on the waste, they are washed, dried
and grounded to produce a product that is high in protein and used for feeding
chickens, fish and pigs.
and grounded to produce a product that is high in protein and used for feeding
chickens, fish and pigs.
AgriProtein’s maggot-based animal feed is more than 15
percent cheaper than other alternatives and has been proven to be highly
nutritious for livestock.
percent cheaper than other alternatives and has been proven to be highly
nutritious for livestock.
The company recently attracted more than $10 million in
capital to build more fly farms in South Africa. In fact, the German government
has offered AgriProtein one million Euros to set up a plant in Germany.
capital to build more fly farms in South Africa. In fact, the German government
has offered AgriProtein one million Euros to set up a plant in Germany.
More Ways To Make
Money in Africa…
Money in Africa…
After months of research and writing, we have put together
the first and most detailed book ever written on business ideas, opportunities
in Africa and success stories of entrepreneurs on the continent.
the first and most detailed book ever written on business ideas, opportunities
in Africa and success stories of entrepreneurs on the continent.
The business ideas and success stories you have just read in
this article are just a few of several contained in this book.
this article are just a few of several contained in this book.
If you’re looking to inspire yourself with fresh ideas and
success stories, this book provides a rich source of facts, information, tips
and resources that will help you find and refine your own unique business
ideas.
success stories, this book provides a rich source of facts, information, tips
and resources that will help you find and refine your own unique business
ideas.
Whether you’re planning to start a business or already have
one, this book will be invaluable to your plans and dreams.
one, this book will be invaluable to your plans and dreams.
If you’re looking to quit your job soon to become a
full-time entrepreneur, this book provides valuable advice that will help to
take your business from the ‘idea’ to ‘start up’ stage.
full-time entrepreneur, this book provides valuable advice that will help to
take your business from the ‘idea’ to ‘start up’ stage.
We have also provided useful tips for entrepreneurs who have
limited capital and are looking to start up on a shoestring budget.
limited capital and are looking to start up on a shoestring budget.
“101 Ways To Make Money in Africa’’ is an expose, a book
that will help you find daily inspiration and potential that can give you
funding for your African business.
that will help you find daily inspiration and potential that can give you
funding for your African business.
Culled from www.smallstarter.com
