The Association of African Startups (TAAS) has called for greater inclusion of entrepreneurs in policy-making decisions, emphasizing that this would significantly boost the development of the sector in Africa.
Just Omomo Ibe, the President of TAAS, stressed that policies affecting entrepreneurship in Nigeria and Africa at large should not be finalized without consulting top-tier industry players. According to Ibe, these entrepreneurs bring crucial market-driven insights that are necessary for the growth of the sector and the wider economy.
Ibe made these remarks at the Build Initiative event in Lagos, themed ‘Building Profitable and Thriving Businesses in Africa’. She pointed out that African entrepreneurs contribute significantly to the continent’s GDP and deserve a stronger voice in shaping the policies that govern their industry.
Bridging the Gap Between Policymakers and Entrepreneurs
Ibe highlighted a concerning statistic: most African businesses fail to survive beyond their first five years. This, she explained, is one of the reasons why generational businesses are so rare across the continent. To combat this, she emphasized the need for greater collaboration between policymakers and entrepreneurs to create an environment where businesses can thrive.
TAAS’s Commitment to Entrepreneurial Success
TAAS has been actively working on resources to support entrepreneurs. Over the last five years, the organization has curated over 300 valuable resources designed to help businesses become more sustainable. Ibe shared that the Build Initiative is part of this effort to show that entrepreneurs no longer have to face unnecessary struggles in building successful businesses.
“We have gathered the finest experts across the world to put together these resources, so launching the Build initiative is our way of letting the world know that African entrepreneurs don’t have to struggle anymore,” Ibe said.
Key Frameworks for Entrepreneurial Success
Ibe outlined five key frameworks developed by TAAS to support entrepreneurs on their journey to success:
- Faith and Environmental Stewardship: Entrepreneurs are encouraged to align their businesses with a higher purpose and understand their role in Africa’s growth.
- Proactive Systems: Dr. Oludare Akinlaja, CEO of Oludare Akinlaja Research and Development Company, emphasized the need for entrepreneurs to anticipate risks, identify opportunities, and prepare for industry changes. He stressed that businesses born from frustration rarely succeed and that proactive systems lead to better decision-making.
- Strategic Partnerships: Ibukun Omololu, Principal Consultant at The Teal Tree Company, spoke on the significance of strategic partnerships and stakeholder engagement. She advised entrepreneurs to identify and develop partnerships, build strong relationships, and leverage collaborations for business growth.
- Market Gaps over Capital Investment: Ewaen Sorae, Group Managing Director at Esorae Luxury, explained that business success doesn’t always depend on having a sophisticated idea or substantial capital. Instead, businesses should focus on identifying market gaps, bootstrapping, and reinvesting profits for growth.
- Retail, Wholesale, and Distribution: Sorae also elaborated on the importance of understanding retail, wholesale, and distribution dynamics. While retail offers higher profit margins, wholesaling allows for market control, and distribution ensures consistent product availability.
Overcoming Infrastructure Hurdles
Sorae reflected on the challenges faced by entrepreneurs in Nigeria, particularly the infrastructure deficit. He explained that unlike in developed economies where businesses can rely on established logistics networks, Nigerian entrepreneurs often have to build their own logistics and supply chain solutions, which can be both costly and time-consuming.
A Vision for Inclusive Entrepreneurship
TAAS’s call for policy inclusion and the frameworks it has developed reflect a deep commitment to empowering African entrepreneurs. By addressing both external challenges like policy and infrastructure and internal factors like strategic planning and partnerships, the organization is working to create a more sustainable and thriving entrepreneurial ecosystem in Africa.
The Build Initiative is a step in the right direction, offering entrepreneurs the tools they need to overcome challenges and create lasting, generational businesses.
