Sabou Capital, a new investment fund aimed at closing funding gaps for small and medium-sized enterprises (SMEs) in West and Central Africa, has opened its doors, planning to invest between US$350,000 and US$1.5 million in 25 companies at the late pre-seed to Series A stages.
Launched by Surayyah Ahmad, a seasoned entrepreneur and co-founder of two previous ventures, Sabou Capital is designed to support businesses in both English- and French-speaking countries, with a focus on Nigeria, Senegal, and Ivory Coast.
Target sectors include agriculture, agroprocessing, renewable energy, climate solutions, logistics, mobility, and supply chain industries. Sabou Capital positions itself as a “micro-private equity” firm, supporting businesses that may not be tech companies in the traditional sense, but instead use technology to improve their operations and service delivery.
Ahmad said the fund emerged after diverging visions within Aduna Capital, which she co-founded.
“While we agreed on the purpose and goals, we overlooked how to execute them. That difference in approach made me realise how varied visions of impact can be,” she said.
Sabou Capital is setting more modest return expectations than the typical venture capital model – aiming for returns in the 2x to 3x range, in contrast to the 10x returns many VC firms pursue. It will provide capital and hands-on support to investee companies.
“Before we release any funding, we work closely with companies to make sure they’re investment-ready,” Ahmad said.
