Launch Africa shares playbook for managing large VC portfolios

Enhanced Key Takeaways

• •Launch Africa has successfully closed its first fund at $36.3 million, investing in 133 startups, and is actively deploying its second fund while simultaneously raising a third, a Mezzanine Impact Fund, specifically targeting growth-stage companies.
• •The firm implements a 'high touch, high scale' portfolio management model, where individual team members are assigned to manage 10-15 portfolio companies based on their geographical location and sector-specific expertise, enabling tailored support.
• •Launch Africa provides its portfolio companies with a comprehensive suite of credits, valued at approximately $1.5 million, which covers essential services such as sales, marketing, design, cloud computing, and AI adoption, complemented by bi-monthly workshops.
• •Their investment thesis primarily focuses on Seed and pre-Series A startups operating with B2B or B2B2C business models, seeking companies that demonstrate at least $25,000 in net Monthly Recurring Revenue (MRR) and a minimum of 10% month-over-month growth.
• •A core objective of Launch Africa is to bridge the significant funding gap between seed-stage and Series A rounds in the African startup ecosystem, often prioritizing investments in companies that have successfully completed world-class accelerator programs.

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