Access to fair and flexible finance remains one of the largest barriers for SMEs in Africa, yet these businesses are also the backbone of local economies. Recognizing this, KAC-Afrika has launched a revenue-based financing program tailored for enterprises in Kenya and Uganda. The initiative promises to give high-potential businesses the capital they need to grow while protecting their ownership and removing the obstacles of traditional funding models.
The financing model is unique because it is non-dilutive, which means entrepreneurs do not have to give up equity in exchange for support. Instead, businesses receive capital structured as debt, without the need for collateral, making it far more flexible than the rigid systems many are used to. With ticket sizes ranging from €20,000 to €100,000 and repayment terms of up to three years, the initiative offers SMEs the kind of breathing space they need to grow and manage their operations more effectively.
For many entrepreneurs in Kenya and Uganda, the biggest challenge is not the lack of ideas but the lack of accessible financing that allows them to scale. Equity-based investments can dilute ownership, and collateral requirements from banks often block small businesses from receiving support. KAC-Afrika’s revenue-based financing aims to bridge that gap. By offering financing that aligns repayments with company revenues, the model reduces pressure on businesses and allows them to grow at a sustainable pace.
The initiative is not open to every business but is targeting specific sectors where growth potential and social impact are strongest. SMEs working in food and agriculture, trade and logistics, financial services and climate resilience are being encouraged to apply. These sectors are not only vital for local economies but also central to addressing key challenges such as food security, market access, inclusive financial systems and sustainable solutions in the face of climate change. By focusing on these areas, KAC-Afrika is aiming to create a ripple effect that goes beyond individual companies, supporting wider economic growth and resilience in both countries.
To qualify, businesses must already be established and generating consistent revenue. Applicants need to have been operating for at least 24 months and have an annual revenue of over €80,000, with preference given to those generating higher revenues. This ensures that the financing goes to businesses that have already proven their model and are now ready to scale.
The application process is straightforward but selective. Only businesses that meet the criteria are encouraged to reach out and they must send a pitch deck for consideration. This ensures that the pool of applicants remains strong and aligned with the program’s objectives. For those who do make it through, the reward is access to smart, flexible financing that can unlock new opportunities for growth without placing unnecessary burdens on entrepreneurs.
The impact of such an initiative could be far-reaching. In Kenya and Uganda, SMEs play a vital role in driving employment, innovation and community development. Yet many remain constrained by limited access to financing. By removing the hurdles of equity dilution and collateral requirements, KAC-Afrika is helping to create a fairer path for businesses that have the vision and determination to scale.
For entrepreneurs, this is more than just access to money. It is a chance to grow while staying in control of their business, to pursue new markets and to build stronger foundations for the future. For communities, it is about seeing businesses that can expand food systems, streamline logistics, improve financial inclusion and innovate around climate resilience. In both Kenya and Uganda, where the need for sustainable economic growth is clear, initiatives like this bring hope and practical support.
KAC-Afrika’s revenue-based financing program is more than a call for applications. It is an invitation to reimagine how growth capital can work for SMEs in Africa. By aligning funding with the realities of small businesses and focusing on sectors with the highest impact, the initiative is setting the stage for long-term economic benefits. Entrepreneurs who fit the criteria now have the chance to step forward, pitch their businesses and access the kind of capital that respects their ownership and supports their journey.
