South African fintech startup initiative, AlphaCode Incubate, is accepting applications for its latest entrepreneurial programme which offers packages valued at R1.5 million for successful applicants.
The programme has disbursed R30 million in funding to 31 black-owned financial services businesses over the past five years.
The majority of the fintech ideas that entrepreneurs pitch to the AlphaCode Incubate programme have socio-economic development themes that look at solving issues of financial inclusion, challenges in the township economy, how to increase the savings pool, and financial education.
- IsiDuli, which finances the construction of backyard rooms in townships;
- Spoon Money, a credit provider using stokvel principles to support female street vendors;
- Level Finance, a socially responsible daily money management platform for employees.
AlphaCode called for applicants to research the landscape – including the regulatory environment, competitors and market feedback – and innovating around the gaps that exist.
“Too often entrepreneurs are biased towards only solving a problem which they have experienced. It’s important to validate that it’s a problem experienced by a wide section of the population,” said Amina Patterson, head of operations at AlphaCode.
The startups that achieve product-market fit are constantly testing assumptions by speaking to their customers, industry experts, regulators and investors.
They evaluate whether they are solving the right underlying problem and not just the pain points experienced by their customer. They also ascertain whether their solution adds sufficient value so that they can generate an income that exceeds costs.
AlphaCode Incubate is accepting applications until 26 October to participate in its latest programme.
Successful applicants will receive funding, guidance from performance coaches and a panel of advisory experts, access to AlphaCode’s co-working space, and opportunities to apply for further early-stage investment.
The value of this entrepreneurial package is almost R1.5 million for each startup. Interested applicants can apply here.