Africa-focused pre-seed investment programme Madica has secured an additional $6 million commitment from Flourish Ventures to extend its investment pilot by three years, targeting between 25 and 30 additional early-stage startups across the continent.
The funding will enable Madica to expand its investments, deepen hands-on business-building support and assess whether promising entrepreneurs underserved by traditional venture capital networks can build globally competitive businesses.
Launched in 2022, the programme has already invested in 18 startups across 10 African countries and 12 sectors, including artificial intelligence, climate technology, semiconductors and biotechnology.
According to Madica, its portfolio companies have attracted additional funding averaging twice the programme’s initial investments, providing early indications of investor confidence in the businesses it supports.
What to Know About Madica
Madica is a structured, sector-agnostic pre-seed investment programme affiliated with Flourish Ventures. It was established in 2022 to provide early-stage capital and practical business-building assistance to African entrepreneurs who often struggle to access conventional venture capital funding.
Unlike programmes that concentrate on a particular industry, Madica considers startups operating across different sectors, provided they demonstrate the potential to develop sustainable, competitive businesses.
Its existing portfolio spans artificial intelligence, climate technology, semiconductors, biotechnology, human resources and mobility, among other industries.
The programme combines financial investment with hands-on support intended to help founders strengthen their business models, improve operations and prepare for growth. Led by Emmanuel Adegboye, Madica has invested in 18 startups across 10 African countries and 12 sectors.
Its approach is designed to help promising entrepreneurs overcome early business-development challenges while building evidence that African founders can create companies capable of competing in global markets.
What Problem is Madica Trying to Solve?
Madica is addressing the funding gap experienced by promising African entrepreneurs whose businesses fall outside established venture capital networks.
Although many founders develop innovative products and services, securing early investment can be difficult, particularly for those operating in less familiar markets, emerging industries or locations that attract relatively little investor attention.
This creates a challenge for startups that need capital to develop products, acquire customers, recruit employees and expand operations. Without adequate funding, businesses may struggle to demonstrate the commercial potential investors typically demand before committing money.
Madica aims to bridge this gap by providing capital alongside practical guidance, enabling overlooked founders to develop their companies and demonstrate their potential to other investors.
The programme’s broader ambition is to challenge assumptions about where successful African businesses can emerge.
Its application data reflects this objective that applications have come from 78 countries and span 28 sectors, with 40 per cent originating outside Africa’s four largest venture capital markets.
How the Additional $6 Million Will Be Used
The additional $6 million commitment from Flourish Ventures will fund Madica’s three-year extension, allowing it to support 25–30 more startups while strengthening its company-building assistance.
The extended period will also give the programme more time to assess the performance of its investments and determine whether its support model can produce sustainable business growth and attractive financial returns.
The funding is not an announcement that each selected startup will receive an equal share of the money. Rather, it provides additional resources for investments and support across the programme’s expanded portfolio.
Explaining the rationale behind the extension, Adegboye said:
“Three years have given us valuable lessons and encouraging early signals, but building enduring companies and assessing venture outcomes takes longer.”
He added that Flourish Ventures’ continued commitment would enable Madica to build on those lessons, test its investment approach across a broader portfolio and deepen its support for founders.
The extended pilot is therefore intended not only to finance more businesses but also to generate practical evidence that could help other investors improve how they identify and support early-stage African startups.
What Madica Has Achieved So Far
Since its launch, Madica has invested in 18 startups across 10 African countries and 12 sectors, demonstrating its interest in businesses beyond the industries and markets that traditionally attract the most venture capital.
One of the programme’s encouraging early indicators is the additional funding its portfolio companies have secured.
According to the announcement, these businesses have attracted subsequent investments averaging twice Madica’s initial investment. This suggests that other investors have shown interest in some of the companies after their initial backing.
However, additional fundraising should not be confused with profitability or guaranteed commercial success. Madica’s extended evaluation period will help establish whether these early funding signals translate into sustainable growth and financial returns.
The programme has also reported progress in founder representation. Every company in its portfolio is majority African-owned, more than half have at least one female co-founder, and 39 per cent are led by female chief executive officers.
These figures reflect Madica’s stated commitment to widening access to capital and backing entrepreneurial talent that established investment networks may have overlooked.
Eligibility Requirements for African Startups
Madica continues to seek promising early-stage startups headquartered in Africa. However, the programme is not designed for businesses that have only an idea or a concept without evidence of customer demand.
Eligible startups must have a minimum viable product (MVP), meaning an initial working version of their product or service, alongside evidence of commercial traction through a few paying customers.
Their founders must also be engaged in the businesses full-time, while the startups must have received little or no institutional funding.
These requirements indicate that Madica is looking for businesses that have moved beyond the idea stage and begun demonstrating that customers are willing to pay for their offerings.
For example, a Nigerian technology startup with a working product, paying customers and a clear growth opportunity could potentially fit the programme’s stated criteria, provided it meets the other requirements and passes Madica’s assessment.
The announcement does not specify individual investment amounts or guarantee that every eligible applicant will receive funding. Interested founders can visit Madica’s official website to learn more about the programme and submit their startups for consideration.
Why the Extension Matters for Africa’s Startup Ecosystem
Madica’s extended pilot comes amid continued efforts to expand access to early-stage capital for African entrepreneurs.
By supporting founders who struggle to attract conventional investment, the programme seeks to demonstrate that valuable business opportunities exist beyond the continent’s most established startup markets and popular technology sectors.
The additional three years will allow Madica to examine how its investments and hands-on support influence company growth, while assessing whether the businesses can eventually generate venture capital returns through successful exits, such as acquisitions or public listings.
Efayomi Carr, Investment Partner at Flourish Ventures and Co-founder of Madica, reaffirmed the organisation’s confidence in African entrepreneurs, saying:
“We retain our conviction that with the right capital and support, exceptional talent across Africa can build world-class businesses.”
Ultimately, the programme’s significance will depend on the long-term performance of its portfolio companies and the lessons other investors can draw from its experience.
If Madica demonstrates that overlooked founders can build sustainable, high-growth businesses, its approach could help broaden investment opportunities across Africa and encourage more inclusive funding practices.
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