A foundation run by Centum Investment has committed to invest about $5 million (Sh510 million) in startups in the next three years.
Centum Foundation has announced that it plans to invest about $150,000 (Sh15.3 million) in each eligible start-up either through a convertible debt or equity.
Budding entrepreneurs will be required to present their business ideas and highlight their competitive advantage, the ability of the team, its potential market size and the potential impact of innovations.
“Entrepreneurship is part of Centum’s DNA, therefore, it only made sense to use the skills we have gained over time to build great businesses and enable entrepreneurship further,” said the Centum Investment chief executive James Mworia in a statement.
“We also believe that entrepreneurship has a huge impact on society by creating both direct and indirect jobs to thousands of people every year.”
Centum Foundation receives applications for its entrepreneurship programme on a rolling basis but shortlists candidates three times a year — in March, June and September.
Shortlisted entrepreneurs are then mentored by a Centum employee who is tasked with helping the candidates polish up their investment proposals, including presentation skills.
The budding entrepreneurs will then pitch their ideas to members of Centum Foundation’s investment committee who then proceed to decide whether to capitalise the business or not.
Centum has a portfolio worth Sh46 billion invested across assets in listed firms, private equity and real estate.
The firm’s net profit in the six months to June 2015 stood at Sh1.9 billion compared to Sh1.23 billion a year earlier.
