Alternative Sources of Finance for Uganda: Pearl Capital Partners (PCP)

Basic information

Target:
Established business

Sector focus:
Agriculture

Amounts provided:
$500,000- $3,000,000

Funding type:
Private Equity

Means, rather than providing a loan, the fund takes a % of shares.

Key criteria

Strong team with experience in managing commercial enterprise;

High growth business plan including 5 year forecasts;

Audited financial statements for the preceding two years

social impact;

Ability to meet high standards of corporate governance and financial reporting.

Further information

Search for “Pearl Capital Uganda”

+256 312 264 983/4

Who is behind PCP?

The Pearl Capital Partners (PCP) Group is an independent investment manager. Its current funds are:

• African Seed Investment Fund (ASIF). The sole investor is the Alliance for a Green revolution in Africa whose aim is provide quality certified seeds to small holder farmers.
• African Agriculture Capital Fund (AACF). Its investors are the Rockefeller foundation, Bill and Melinda Gates Foundation, Gatsby Charitable Foundation and JP Morgan Chase Social Finance.

What is the process like?

When I met Edward Isingoma, partner at PCP, he told me about the principle behind companies they seek to invest in:

“We need to be able to tell in 30 minutes whether we will invest in the business or not”

It means that I expect that before you submit a detailed plan, they will want to see an executive summary which provides information like the company history and profitability, the amount required and the like to help them determine whether it is consistent with their criteria.

Our view/tips for success?

1. High social returns. The investors behind PCP funds, like the Rockefeller foundation and Bill and Melinda gates are not concerned about just profit. They seek a large social impact. For example, how will the company “promote the well being of humanity?”

2. Governance and ethics. This is also driven by the investors behind PCP funds. For example, David Sainsbury, the person behind the Gatsby foundation was a UK minister of Science and Innovation. It is therefore expected that this investor will be looking for businesses that show strong business ethics and corporate governance.

3. Personal commitment. Before PCP can invest, they usually expect the entrepreneur to contribute part of the total capital themselves. We expect this is anywhere from 25-50% of the total funding.

Otherwise, best of luck.

Disclaimer

Inachee is not an agent or connected to this entity, it is an independent thought leadership and advisory firm. The information provided is based on our research and experience. Whilst we have taken steps to ensure the accuracy of the information presented here, there can be no guarantee that it will remain accurate.