Axel Peyriere, the CEO of Auto24, has been investing in African startups as an angel investor since 2011. With over 30 companies backed in the past fourteen years, including Julaya, Bumpa, Monaco, Curacel, Termii, Grey, and Remedial Health, Peyriere shared that angel investing came naturally to him as a way to give back, support other entrepreneurs, and continue learning by investing in people tackling problems he understood firsthand.
Founders transitioning into angel investors play a crucial role in a thriving tech ecosystem. Their firsthand experience and insights gained from navigating the challenges of early-stage startups often prove valuable in guiding new entrepreneurs. Peyriere, having focused his investments in marketplaces, e-commerce, and mobility, sees immense potential in the mobility sector, particularly in markets where access to mobility remains informal or inefficient.
As the co-founder and CEO of Auto24, Peyriere believes in the evolution of car ownership models, the rise of electric vehicles, and the development of digital infrastructure for vehicle sales and financing. He emphasizes that founders turned investors tend to bring more empathy and generosity to the table, creating a less predatory early-stage funding environment focused on supporting and mentoring founders.
In an interview with TechCabal, Peyriere discussed his investment strategy, highlighting his preference for investing at the early stages—pre-seed and seed. He looks for strong founding teams, a deep obsession with the problem they’re solving, and some level of execution, valuing grit and local insights over traction at this stage. Peyriere also mentioned that he actively seeks out investment opportunities while also receiving deals through founders, fellow angels, venture capitalists, or investment platforms.
Reflecting on his investments, Peyriere shared that one of the standout successes was Julaya, a company that demonstrated strong market fit and momentum. However, he also acknowledged a deal that didn’t work out as planned, underscoring the importance of transparency and consistent communication from founders. While Peyriere has had successful exits via secondaries, he noted that Africa’s exit environment poses challenges due to the lack of robust follow-on funding and acquisition activity.
To balance diversification with follow-on participation when committing relatively small cheques, Peyriere builds a diversified portfolio and follows on in opportunities with strong potential upside. He also participates in syndicates and club deals to increase exposure without concentrating too much risk. Peyriere fosters collaborative relationships with larger VCs and co-investors, connecting portfolio companies with institutional VCs and sharing deal flow to contribute to a stronger ecosystem.
Reflecting on his journey as an investor, Peyriere advised his past self to be more patient and prioritize founders over initial ideas. His journey as an angel investor in African startups continues to be guided by a commitment to supporting innovators addressing real challenges in underserved markets, building a more vibrant tech ecosystem on the continent. Since starting out in the African tech ecosystem, my perspective has evolved significantly. I now see a more structured landscape with an increase in players, capital, and knowledge sharing. However, I have learned that simply replicating Western models in Africa doesn’t always work. The most effective solutions are those tailored to local conditions and built from the ground up.
Emerging hotspots within Africa include Francophone West Africa, particularly countries like Côte d’Ivoire, Senegal, and Guinea. Southern Africa is also showing strong traction in both B2C and B2B sectors, while East Africa remains a solid region for tech innovation. Ethiopia could become a key player in the future if the regulatory environment improves.
Beyond providing capital, I offer support to startups by leveraging my network, giving feedback on strategy and fundraising, and engaging in meaningful discussions with founders. I believe in a two-way relationship where I learn as much from them as they do from me.
Founders in the African market face common hurdles such as unpredictable regulations, informal competitors, payment challenges, and infrastructure limitations. I help them navigate these challenges by encouraging them to set clear priorities, build resilient systems, and make strategic decisions to drive growth.
In the next five to ten years, I hope to have contributed to creating a virtuous cycle in the tech ecosystem. By supporting founders early on, assisting their growth, and facilitating exits, I aim to inject liquidity into the ecosystem and pave the way for new entrepreneurs to secure funding. My ultimate goal is to foster a self-sustaining ecosystem where today’s founders become tomorrow’s investors and mentors.
To accelerate the ecosystem’s growth, we need more regional integration, stronger intra-African capital flows, supportive regulatory frameworks, and successful founders reinvesting in the ecosystem. By recycling both capital and experience, local entrepreneurs can elevate the entire ecosystem and drive true maturity.
In terms of increasing my impact, I am considering launching a micro fund or syndicate structure to support more founders. Additionally, I am working on forming a Middle East–Africa investment club to strengthen capital and knowledge bridges between the Gulf region and African startups.
Overall, setting expectations early—especially around governance, regular updates, and reporting—is crucial for the success of startups in the African tech ecosystem. By focusing on tailored solutions, strategic support, and ecosystem growth, we can drive sustainable innovation and entrepreneurship in the region.
