If you are an entrepreneur are thinking about launching a project, raising money from Investors is probably (not always) something that you will have to do at some point. This is why understanding and learning how investors think, how to best approach them and how to best present your project to them is important. In that matter, Cogite organized another special workshop called: "Why would I invest in your project?". During this workshop, we explored, from the investor's side, what are the key factors to invest in a project but also how to best approach investors and convince them to join the adventure! Few words about our guest: The workshop was lead by Khaled Ben Jilani, very experienced Tunisian investor. Khaled is an Senior Partner at AfricInvest where he has managed more than 20 investments in the last 15 years. Before joining Africinvest, Khaled has worked at Proxicom as an advisor to American companies on their technological strategies.

1. Why would I invest with you?
Sharing experience as an investor
November 2015

2. Who am I?
2
Khaled Ben Jilani
Senior Partner @ AfricInvest
Engineering studies in France then in the US
First worked at Barclays Bank in Paris (internship then job)
Then at BFI in Tunisia
Went back to study in the US
Worked @ Proxicom a start-up in IT strategy
Back to Tunisia with Tuninvest: developed and invested an innovation VC fund
Then developed a fund to invest in Financial Institutions in Africa
Invested in over 20 companies in 15 years from start-ups to mature institutions

3. AfricInvest - A quick story
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Started in 1994 as Tuninvest
Mission: We invest in companies and take an equity stake to help them develop their
businesses
We started out of Tunisia with a fund dedicated to Tunisia.
In 2000, we were requested to consider expanding to Morocco and Algeria. Recruited a
team in Morocco and covered Algeria from Tunis
In 2004, we expanded to Sub-Saharan Africa: started prudently to cover West Africa
From 2007 started covering other African regions: Central then Eastern and Southern
Now have presence in 6 offices in African hubs: Tunis, Casablanca, Algiers, Nairobi,
Abidjan and Lagos and over 1 billion USD of funds under management

4. What is private equity and venture capital?
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We invest in and grow companies
Raise funds from investors (institutional, high net worth individual)
- Funds have a set investment strategy
- Funds have specific targets: size of investments or of companies, stages, sectors,
banned sectors
We invest using equity or quasi-equity instruments
We help portfolio companies grow by rationalizing their strategy and their operations
We exit from portfolio companies through IPOs, trade sales, sales back to shareholders

5. Where you should look for funding
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You are starting: Seed funding – your own, friends and family, angels, accelerators,
crowdfunding
You are taking off: Love funding again and/or Venture Capital
You are growing or maturing: Private Equity funding
Some advices for Tunisian entrepreneurs:
- More money is invested by friends, family and angels that by VC funds
- Model with multiple rounds of funding do not work in Tunisia
-> Ideally, raise what you need to break even
- Make a careful use of debt
- Fundraising is a long and frustrating process. Be prepared for it!

6. How to prepare yourself for fundraising
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1. Discuss and write your plans: vision, strategy, financials, needs
2. Know the investment strategy of the investor you are meeting with
3. Prepare yourself to answer the sensitive questions upfront: valuation,
funds needed, go/no go answers
Some advices:
- A good investment proposal is not only about IRR, impact counts
- Know your strengths but especially your weaknesses
- Keep in mind it is a long process, so don’t over stretch your objectives
- Value more a quick negative answer that a no answer at all
Phases:
- Screening: teaser, information memorandum, term sheet
- Offer & Due diligence: term sheet, business plan, financials, bios
- Closing: Shareholders Agreement, Bylaws

7. About the entrepreneurs we invest in
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Love of work and lots of work
5. Knowledgeable about their sector, with a proven experience
4. Focused on objectives and especially on bottom line
3. Have a prudent vision on the future of their companies
2. Have a talent to attract good if not the best people
1. Hard workers with a sense of detail
0. Must have a very high level of integrity!
Just one advice to future or current entrepreneurs: Be yourself!

8. The Tunisian model of a start up
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The typical story of a successful IT company
Preamble: Start with own funding, often as a side job
Chapter 1: Develop a first software but don’t sell it
Chapter 2: Propose its software for almost nothing to gain references and
start selling services
Chapter 3: Decide to focus on one model: software edition or IT services
Chapter 4: Grow internationally
Morale of the story: Not all successful companies follow the Facebook
story. Write your own!

9. Immeuble Integra, Centre Urbain Nord, 1082 Tunis, Tunisie
+216 71 189 800
+216 71 189 850
www.africinvest.com
Adresse:
Phone:
Fax:
Siteweb:
Contacts
Mr. Khaled Ben Jilani
Senior Partner
khaled.benjilani@africinvest.com
Mob.: + 216 22 22 08 73