The startup journey, famed for its intensity, presents unique challenges for African founders that go beyond the balance sheets. According to a new report by pan-African investment firm Flourish Ventures, titled Passion and Perseverance: The African Founder Journey, African founders are enduring significant mental and emotional strain, yet most choose to share these burdens with family and friends over colleagues or investors. Flourish Ventures’ survey, which involved over 160 startup founders across 13 African countries and a series of in-depth interviews, paints an illuminating picture of the often-isolated lives these founders lead.
This report, the first large-scale study on founder wellbeing in Africa, uncovers a landscape where founders navigate intense pressures with limited resources and often without the support of those who might seem best positioned to help them — their investors and startup peers. Ironically, while entrepreneurs are typically surrounded by advisors, investors, and mentors, a sense of isolation permeates the founder experience, with 78% admitting that entrepreneurship feels like a lonely path.
The Entrepreneurial Psyche: High Motivation Meets High Stress
Entrepreneurs, particularly those driven to create change in their communities, exhibit an almost singular dedication. Flourish’s findings show that 81% of African founders enjoy the challenges of being an entrepreneur, even stating they would rather start another company than work for someone else if their business fails. Yet, this determination comes at a personal cost: 86% report that the demands of building a startup have impacted their mental wellbeing, with 60% experiencing anxiety and 58% dealing with high stress within the past two weeks. Inflation, especially in regions like Nigeria and Egypt, only exacerbates these pressures.
For many founders, this tension is compounded by the reluctance to share vulnerabilities with their teams or even co-founders. The founder often feels the weight of the company solely on their shoulders, making them cautious about revealing any cracks in their facade of resilience. This attitude may keep team morale high, but it also distances founders from the very people who could offer valuable insights or even a sympathetic ear. As a result, most founders feel compelled to look for solace outside their professional circles.
Family First, Investors Last
Family and friends have become the unofficial mental health support network for these African founders, despite the fact that loved ones may lack the experience or business knowledge needed to advise on complex startup challenges. When asked whom they confide in, 81% of African founders pointed to family and friends for mental health support, with only 45% speaking to co-founders and 42% to other startup founders. Mentors, who might be expected to play a pivotal role, are consulted by a mere 22% of founders.
Curiously, therapy remains an underutilized option. While therapy could provide these founders with essential tools for stress management, only a quarter of respondents seek out professional help. The reasons for this are twofold: time and cost. In the high-stakes startup environment, resources are scarce, and therapy or coaching is often deemed a luxury, not a necessity. Furthermore, many founders report that societal stigma around mental health compounds the problem, with 50% noting that community perceptions make it difficult to discuss seeing a therapist.
Investors: The Stress Factor
If founders seek comfort in family and friends, their relationship with investors seems to be another story. Flourish’s report reveals a significant “trust gap” between founders and investors, with only 17% of founders feeling comfortable having an open conversation with their investors. For nearly half of the founders surveyed, investors are viewed as sources of stress rather than support. When asked to rank this stress on a scale of 1 to 10, founders gave investors an average stress score of 6.4.
It’s a delicate balancing act. While founders acknowledge that investors are essential for financial backing and strategic guidance, the high expectations and occasional unrealistic demands placed on founders often leave them feeling pressured and unsupported. With nearly 41% of founders reporting that their investors do not care about their wellbeing, communication barriers have only widened. Investors’ oversight and financial stakes can create a challenging dynamic, leaving founders more guarded in their interactions.
Bridging the Trust Gap
But what do founders really want from investors? It turns out that support beyond financial capital can make a crucial difference. Founders are eager for a more personal connection with their investors, with 64% expressing the desire for investors to see them as people, not just the businesses they lead. Transparency in funding decisions and timelines, as well as a reduction in unrealistic demands, are high on their wish list.
“There’s a question that every founder should ask when choosing investors: Will they prioritize the founder or the business?” says Rose Goslinga, Co-founder and President of Pula. “The right answer is always the founder because a dedicated founder prioritizes the business above all.”
When given the chance, founders overwhelmingly express a desire for resources that foster resilience. They suggest investors should consider sponsoring access to coaching and leadership training. These tools not only help founders better handle stress but also encourage a culture of learning and adaptability, which are essential for startups facing the realities of African markets.
Building Resilience, One Founder at a Time
For most founders, resilience has become a survival mechanism, not a luxury. On average, founders score 3.8 out of 5 on a resilience scale, which Flourish interprets as normal. Healthy eating, adequate sleep, and meditation are among the most effective coping mechanisms founders reported using. Yet, these practices alone may not be enough in the long run, particularly when financial pressures, investor demands, and the responsibilities of growing a business continue to mount.
As Flourish Ventures’ report aptly highlights, there is no “one size fits all” solution for managing entrepreneurial stress. Founders need tailored strategies that align with their unique challenges, and they need an ecosystem that acknowledges their mental wellbeing as fundamental to the business’ health. If investors and startup ecosystems take proactive steps, they can help alleviate the solitude that has become so characteristic of Africa’s founders.
Ultimately, Flourish’s research underscores a critical truth: founders are indeed the beating heart of Africa’s startup landscape. While the challenges of entrepreneurship are many, a support system that extends beyond financial resources to offer holistic care could be the key to ensuring that Africa’s next wave of entrepreneurs doesn’t have to walk this path alone.