Technology & Startups

A Nigerian Hacker’s Wish (3): Funding

The average hacker here in Nigeria has almost zero access to funding for his startup, from either angels, venture capital firms, banks or even the government. At best if his idea looks promising, he might be able to convince friends and family to invest in his startup i.e. if they have the means to do so. But to face the facts, most hackers might not be able to go this route so I have listed some ways toĀ circumventĀ this barrier.

Alternatives to Traditional Funding

1. Grow Organically: This mostly depends on the idea behind the startup. This is one reason why I am against hackers creating clones of popular websites here in the Nigerian web space. The idea behind any would be Nigerian startup should have theĀ innate ability to grow organically, i.e. it should be a viable idea and should be able to generate revenue immediately from the time of launch. This would allow the startup to stay “lean”, prioritize on features and stay focused on what is absolutely necessary to the growth of the startup.

2. Freelance: Another word I could have used is to “consult or offer consulting services” i.e. provide services to individuals orĀ corporateĀ bodies based on your skills set. e.g. web design/development, database administration etc. This will allow you to plough back money generated from this activities into the startup, allowing it to stay afloat until it starts to generate income of its own.

3. Day Job: I am absolutely sure this is the path most hackers here in Nigeria are on. Having a day job means the hacker has access to steady income out of which he can dedicate a certain percentage to the daily running of the startup until it starts to generate enough income for him to take the full time plunge into it. One advantage of this path is that you as a startup founder gets to keep your 100% equity stake in the startup.

Since angels, VC firms, banks and the government are still blind to the gold mine they have left fallow in the form of web startups in Nigeria, I just have this to say: “Let’s become so good, that they can no longer ignore us!”.

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