Savannah Fund, a venture capital firm conducted a research study to find out the start up costs in different countries across Africa.
They asked hubs and about three startups per country for their first-year startup costs. These costs include: web hosting, internet, entry level engineer, engineer with 3-5 years of experience, shared apartment (for 3 people), workspace desk rental, legal costs, business permits, accounting, travel, and admin/sales.
The graph below shows the results.
While our sample size was relatively small, we were interested in seeing the differences between startup costs with a sample from our investments or potential investments.
The sample size was relatively small but they were interested in seeing the differences between startup costs with a sample from their investments or potential investments.
There are a number of variables that could change these numbers, such as industry of startup, personal preferences of startups (which could affect size of home and willingness to spend on personal costs), etc. Also, since these numbers may vary from startup to startup within countries, we averaged the numbers we received.