It was reported that African startups raised $4.65 billion in 2021, about twice what was raised in 2020 and Nigerian startups raised $1.37 billion in 2021.
Nigerian Startups are making their mark on the global Startup scene!
As it stands, we seem to be witnessing a global funding surge as large investors back high-growth tech Startups at a record rate.
Notwithstanding all the good news.
There may be Possible Regulatory gaps in the Startup industry, which the Regulators will do well to address to ensure shareholder/investor confidence, safety of employees and consumer protection.
Startups in Nigeria have succeeded in raising millions of dollars in funding. Some Startups have even surpassed the 1 (one) billion dollar valuation, thus becoming unicorns.
In this update, Megathos Law Practice gives a snapshot of Possible Regulatory Gaps in the Startup Industry.
Government Regulation vs A Self-Regulated Startup Industry…
The United States subprime mortgage crisis was a financial crisis that occurred between 2007 and 2010 that contributed to the 2007–2008 global financial meltdown. This was caused in part by the widely touted myth, “that markets can mature to the point where industry players begin to self-regulate”.
The reality is that Government through the relevant Regulatory agencies needs to play the role of “pater familias” in regulating the Startup industry. Self-Regulation is a myth as far as “capitalism” is concerned!
Several foreign investors are taking advantage of Nigeria’s ranking as one of the leading Startup ecosystems in Africa to invest in Nigeria’s digital economy.
Please seek guidance via the contact form of www.megathoslaw.com on how to set up a proper transaction structure, corporate governance and as regards Doing Business in in Nigeria without tears…😊
The Megathos Law Practice Update Possible Regulatory Gaps in the Startup Industry, will highlight Possible Regulatory Gaps in the Startup Industry.
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