Madica, the pre-seed programme for African startups, has secured another $6 million from its co-founder, the fintech investor Flourish Ventures. The money extends Madica's pilot by three years and will back 25 to 30 more early-stage companies across Africa, ITWeb Africa, Technext and TechCabal reported on 27 October.
For founders who cannot get a meeting with institutional investors yet, it is one of the few structured cheques on the continent. Each startup can receive up to $200,000.
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"From the outset, we knew that gathering meaningful evidence would require years of investment, support and learning," said Emmanuel Adegboye, head of Madica.
What Madica has done so far
Madica launched in 2022 as a sector-agnostic experiment. Its record to date:
| Measure | Figure |
|---|---|
| Startups backed | 18 |
| Countries | 10 |
| Sectors | 12, including climate tech, semiconductors, AI, biotech, HR tech and mobility |
| Follow-on funding | On average twice Madica's own investment |
| African-owned | All portfolio companies are majority African-owned |
| Female founders | More than half have at least one female co-founder; 39% have a female CEO |
ITWeb reports that the newest round includes five investments of up to $200,000 each, in HR tech, financial services, semiconductors and the circular economy, and Madica's first deals in Algeria and Cameroon. According to Technext, about 40% of the pitches Madica receives come from outside Africa's four biggest venture markets.
Who can apply
Madica says it backs startups that:
- are headquartered in Africa;
- have a working product with paying customers;
- have at least one full-time founder; and
- have raised little or no institutional funding.
Alongside the money, founders get hands-on company-building support. Madica says it works with founders before most institutional investors engage. You can find the programme at madica.vc.
How the programme works
Madica launched in late 2022 with $6 million for investment and an equal amount set aside to run its support programme, TechCabal reported in 2023. The model has stayed the same: Madica invests at the start, then works with founders for up to 18 months on mentorship, executive coaching and getting ready to raise from investors, according to TechCrunch's 2024 reporting.
The new $6 million goes entirely into new pre-seed and seed deals. None of it is held back for follow-on rounds, so founders should plan their next raise with other investors from day one.
Before you apply: a founder checklist
Use Madica's own criteria as a checklist:
- Paying customers. Can you show revenue, even small, rather than sign-ups alone?
- A full-time founder. At least one founder must work on the company full-time.
- Little outside money. Little or no institutional funding raised so far.
- African headquarters. The company must be based on the continent.
- A clear use for up to $200,000. Know what you would build with it and which milestone it gets you to before a seed round.
Why it matters for Nigerian founders
Pre-seed money is where many good African startups stall. Angel cheques are small and scattered, and most funds want traction before they commit. A programme that writes up to $200,000 and stays involved can carry a team from first customers to a fundable seed round.
The fact that 40% of pitches come from outside Nigeria, Kenya, Egypt and South Africa also signals that Madica is looking beyond the usual hubs. For Nigerian founders, that means real competition from across the continent, so a clear product and proof of paying customers count for more than a polished deck.
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There is a caution worth stating plainly. Up to $200,000 is a meaningful pre-seed cheque, but it will not fund a company for long in a market where hardware, licences or regulated products are expensive. Founders in fintech or hardware should treat Madica as a bridge to a seed round, not a substitute for one.
The bigger test
Madica describes itself as a pilot that is testing whether overlooked founders can deliver venture-scale returns. The three-year extension gives it time to track longer-term outcomes, including exits.
"Exceptional talent across Africa can build world-class businesses," said Efayomi Carr, an investment partner at Flourish Ventures and a co-founder of Madica.
Madica is betting $6 million that Africa's best early-stage founders are not only in Lagos, Nairobi, Cairo and Cape Town.
Sources: ITWeb Africa; Technext; TechCabal.
