Techstars welcomes 12 African startups into the 2nd cohort of its accelerator program

Pan-African startup investor Techstars has on Thursday announced the second cohort of companies that will participate in its accelerator program. According to a statement sent to Technext, the program is held in partnership with ARM Labs, a Lagos-based innovation program.

The ARM Labs Lagos Techstars Accelerator will build upon its commitment to helping entrepreneurs who are changing Africa and the world following a successful inaugural program, per the statement.

Techstars which was founded in 2006 helps entrepreneurs and those willing to learn to succeed by connecting startups, investors, corporations, and cities to help build thriving startup communities. Techstars has reportedly invested in more than 3,700 companies with a combined market cap of more than $105Bn.

Companies selected for the program 

For its first cohort, the program focused on companies operating in FinTech and PropTech. However, this second phase has extended its scope to include those in Logistics, E-commerce, HealthTech, Renewable Energy and the Future of Work.  

Related post: 10 African startups selected for Techstars Toronto’s 2023 summer cohort

The 14-week immersive program will see Techstars invest $120,000 funding in each startup. The accelerator will also provide them with access to over $400,000 in cash equivalent hosting, accounting and legal support and other benefits worth more than $5M. 

Additionally, the selected startups will receive tailored mentorship, world-class company-building support, lifetime access to the Techstars worldwide network and targeted interactions with prospective investors to ensure that the continuum of follow-up capital is available as they grow. 

One of the selected companies is 24Seven. Founded by Olufemi Idowu, this startup is an asset-light marketplace that enables small businesses and convenience stores to order inventory on credit with one-hour doorstep delivery. 

Beauty Hut which leverages technology to bridge the gap between beauty brands and consumers through efficient product distribution and marketing channels also makes the list. 

Also on the list are Eight Medical, an end-to-end platform that connects users in need to emergency medical resources and GetEquity which facilitates access to investment opportunities by SEC-accredited providers will be participating in the program.

JumpnPass, a mobile self-checkout platform for modern retail in Africa, One Plan which helps workers in Africa’s informal economy create affordable financial plans, PBR Life Sciences that offers pharmaceutical, consumer healthcare and medical device companies fast and easy access to high-quality market data and insights, and PressOne Africa that provides African businesses with deeper insights into phone conversations with customer, are all on the list.

Other startups include Rana, which democratises access to clean and reliable solar systems for SMEs and residential customers, Surge Africa which allows individuals, micro-entrepreneurs and MSMEs in Africa to make instant cross-border transfers, and Swoove which empowers logistics companies in emerging markets to digitise and scale their businesses.

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Techstars Toronto applications for developers seeking funding close November 29th

Finally, Veend, a startup that enables individuals and businesses with verifiable income to access funds on-demand, addressing their needs for emergency funds or working capital is on the list.

The program will conclude with an invite-only Demo day on February 22nd, 2024 where founders will showcase their progress. Registration for attendance can be made here.

Comments from stakeholders 

According to Oyin Solebo, Managing Director, ARM Labs Lagos, Techstars Accelerator, Techstars second cohort showcases and epitomises the wealth of talent, innovation and ingenuity that can be found within the African tech ecosystem. 

“Supporting this group in reaching their full potential feels like the perfect segway following the close and success of the inaugural cohort. The current market dynamics means that founders need a combination of financial support as well as technical assistance and access to networks in order to build resilient businesses. We are glad to be able to provide comprehensive support that covers this entire spectrum.”

Also, Program Manager at Techstars, Oluwadunni Fanibe said Techstars’ tried and trusted model has been instrumental in building thousands of successful companies, all over the world. Adding:

“We are excited with the opportunity to implement this proven playbook of support, networks, knowledge base, experiences, technology and data, on our 2023 cohort and are confident they can replicate the same notable successes of their local and global predecessors.”