Kenya has long been hailed as the “Silicon Savannah,” the undeniable leader of East Africa’s startup ecosystem. With Nairobi as its vibrant hub, the country attracts the lion’s share of regional funding and boasts a culture of innovation driven by mobile technology. However, as I’ve articulated in my The Accelerator Conundrum blog series, a flourishing ecosystem does not mean its underlying models are sound. In fact, many of Kenya’s incubators and accelerators operate on a flawed premise that is holding back its full potential.
The prevailing mindset, unfortunately, is to “Blitzscale from the get-go.”
This is a dangerous philosophy that prioritizes raising large sums of venture capital and growing at all costs. Traditional accelerators, such as those found in Nairobi, are built to service this model. They take a slice of a company’s equity—often for a small cash infusion—and put founders through a fixed-term program that culminates in a demo day. The objective is clear: prepare the company for a future fundraising round, not for profitability. This approach is ill-suited for the vast majority of startups and is particularly risky in a market where follow-on funding is not guaranteed.
The only sustainable and proven alternative is to “Bootstrap first, raise money later.” This is the core of my methodology. It is a philosophy that empowers you to build a resilient business with customer money, not investor money. You achieve product-market fit, generate revenue, and prove your model. Only then do you consider raising capital, and you do so from a position of strength, not desperation. This is the only path to building a truly great, resilient company in an ecosystem that has relatively immature funding infrastructure.
For entrepreneurs in Kenya, 1Mby1M offers a direct and powerful solution to the shortcomings of the local ecosystem. While programs like iHub and Meltwater Entrepreneurial School of Technology (MEST) offer valuable community and resources, they are all built on the traditional, equity-taking model.
Here’s a look at the local players for a clearer comparison.
Accelerator | Model | Equity | Duration | Focus | Geographic Scope |
1Mby1M | Global Virtual Accelerator | Non-Equity-Taking | Continuous | Revenue First, Sustainability | Global (fully virtual) |
iHub | Incubator/Community Hub | Undisclosed (Takes Equity) | Varies | Tech Community, Incubation | Kenya (physical) |
MEST | Pan-African Incubator | Takes Equity | Fixed-Term (12 months) | Software Development | Ghana, Nigeria, Kenya, South Africa (physical) |
Nairobi Garage | Coworking Space | No Equity (for space) | Flexible | Coworking, Networking | Kenya (physical) |
The table makes it clear. While physical hubs like Nairobi Garage provide a valuable community and MEST and iHub offer structured programs, they all fall short in key areas. For Kenya to truly scale its startup ecosystem, it needs to move beyond a model that is inherently limited by geography, a lack of consistent, long-term mentorship, and a focus on fundraising. 1Mby1M is the ideal partner, providing a new way of thinking and a global platform that will empower the next generation of Kenyan entrepreneurs to build resilient, profitable businesses.
Photo Credit: David Peterson from Pixabay
This segment is a part in the series : Startup Africa