Rand Merchant Investment Holding (RMI), through their fintech division AlphaCode, has awarded entrepreneurial packages valued at R16 million to eight of South Africa’s most promising financial services startups.
The entrepreneurial packages comprise of R1 million in grant funding and R1 million in support. The support includes mentorship, monthly expert-led sessions, exclusive office space in Sandton as well as marketing, legal and other business support services. The winning fintech entrepreneurs will also have access to the broader RMI network.
The AlphaCode Incubate initiative, which is in partnership with Merrill Lynch South Africa and Royal Bafokeng Holdings, selects South African financial services entrepreneurs with extraordinary ideas and businesses that could have an impact on the financial services industry.
Over 200 startups applied to participate in the AlphaCode programme. Of these, sixteen made it to final pitch evening and from there eight recipients were selected.
The programme has disbursed R13 million in funding to 15 black-owned financial services businesses since it began three years ago.
Dominique Collett, head of AlphaCode and a RMI senior investments, said, “Some have experienced exponential growth and we have been amazed at the level of traction they have received locally and internationally”.
Collett added they want to identify, partner and grow the future of financial services in South Africa.
Julie Benadie, regional executive of Operations and Corporate Affairs at Merrill Lynch, explained: “We believe in supporting disruptive ideas so that creative fintech solutions will emerge to address the challenges that South Africa faces. We want South Africa to become a fintech centre of excellence with its already advanced financial services infrastructure.”
The AlphaCode Incubate programme deals with everyday challenges that financial services startups face. All participants are in the early stages of their businesses. The businesses are under two years old and at least 51% owned by black South Africans.
Source: IOL