My VC journey: Paving a path for local innovation to succeed on the global stage

Growing up in a family of entrepreneurs, I always knew that starting my own business or supporting other businesses was on the cards for me. 

This intuition was reinforced during a work placement at a leading South African law firm when one of the firm's partners pulled me aside after a client meeting. I think you are sitting on the wrong side of the table, she said. The remark confirmed that I belonged on the commercial side of negotiations. It helped shape subsequent decisions that led me into a world of finance, investment banking and, ultimately, VC.

Following this clarity, I continued with my degree on the law track. I added commercial and finance subjects to become more rounded and prepare myself for the business world after university. As graduation approached, I had a few options on the table, including going out on my own or joining one of my family’s many entrepreneurial endeavours. 

Counterintuitively, I chose to follow a corporate route, but not without a plan. I didn’t spend too much energy worrying about what I’d do. I was more concerned with what I could learn and who I would meet. It was really about finding ways to maximise my growth and exposure. 

Learning the ins and outs of business 

I started my career at Standard Bank’s investment banking division, where, and please don’t tell them this, I knew very little about banking. But the bank was filled with people much smarter and wiser than I, so it was a great place to start and broaden my horizons.

I was really fortunate to meet some incredible people who taught me the ropes. It was a steep learning curve because investment banking is incredibly multifaceted. 

I learnt how businesses work and make money, including detailed cash flow and financial analysis, unpacking capital structures and risk mitigation, understanding macro and political indicators, and forming an informed view of the future. 

I developed an intuition for reading the missing lines between the softer side of investing and taking a view on the people you back and how best to work with them. 

Very importantly, I also learnt how to tie a Windsor knot. Thankfully, it’s a skill I no longer need to apply on a daily basis. 

On top of that, I joined at a time when the investment banking arm really started pushing into Africa and quickly put up my hand to be a part of this charge. I travelled the continent, learnt how diverse businesses work, immersed myself in varying African cultures, and met super clever people along the way. I also started to hone my skills in making financial and strategic decisions while best supporting the bank's clients in an emerging and often uncertain environment. I was truly fortunate in this regard.

After a few years, I joined RMB, arguably the leading investment bank in Africa, where I had the freedom to test some of my entrepreneurial inclinations. Far from telling me what to do, they encouraged me to take the lead and tell them what I plan to do and why.

Stepping up to the plate and taking the lead

I vividly remember that first day. After some pleasantries, I was shown to my office (remember the days when people had private offices) and was told that I would be presenting my strategy to the division heads that Friday. I had a completely blank canvas.

It was an exhilarating opportunity, and naturally, I was very nervous (what if I was all show and no glow). Still, thankfully, my suggestions were well received, and it marked the start of a very fulfilling time at the bank. 

Besides being young and a bit wet behind the ears, I came into my own. I travelled to international markets, expanded my networks, and learnt from experts around the world about what it takes to succeed both in the corporate and commercial world internationally. 

I was also thrust into a world where I needed to lead and not just follow - a valuable new business skill for my fast-growing repertoire and one that continues to serve me and our portfolio companies to this day. 

Looking back on it all, these experiences really laid a fantastic foundation for what I do now. 

I can leverage networks across Africa and internationally, tap into my experience in scaling a business and raising capital, and draw from exposure to so many diverse people and cultures.

I can apply my hard-won ability to be in the details, but also zoom out and see the bigger picture. I can plan two steps ahead and often anticipate what may be around the corner. While, most importantly, remembering that people run businesses, not numbers or strategy. 

During my corporate career, I had the good fortune of going from being managed to leading and, of course, learning a ‘few’ useful things about finance, investing, and supporting businesses along the way. 

Founding HAVAÍC and paving a path in VC

Despite my good fortune, I simply could not shake the entrepreneur in me. I knew I wanted to put my knowledge and experience to work and continue having a positive impact in Africa. I wanted to work with like-minded, trustworthy people with skills that complemented my own. The goal was to find a gap in the market, be a force of positive change, and help unlock the continent's entrepreneurial potential. 

Starting a business is never straightforward, and my experience was no different. But the shortened version led to the start of HAVAÍC, a leading investor in early-stage and impactful African-born technology businesses.

Our journey has been nothing short of remarkable. Over the past 10 years, we have invested in and supported countless businesses born in Africa and thriving across the globe. 

I am blessed with unbelievable partners, my networks continue growing with every passing day, and I will never stop deepening my knowledge and understanding of business, finance, and people. 

Most importantly, we are staying true to our founding vision, which is to make a positive difference in Africa while delivering leading returns for our investors. 

Looking back, partially by design and with a bit of luck, I’ve found myself in an incredibly fortunate place where HAVAÍC’s investors locally and abroad trust us as custodians of their capital to support and unlock the potential of entrepreneurs in Africa.

I get to do what I love and relish the opportunity to apply my experience and networks in support of passionate founders who are genuinely trying to have a positive impact on the continent and beyond. 

I work with a purpose-driven and professional team, all inspiring entrepreneurs, who collectively are some of my greatest teachers. 

On a personal level, I continue learning from the lived experience of leading an investment fund manager at the forefront of shaping Africa to become a leading startup investment destination. And I am very fortunate to be in an industry that creates skilled and representative employment on the continent, while contributing to the growth of local economies.

Looking ahead, I am excited by the incredible momentum in African VC and the energy on the ground. Our industry continues gaining global recognition, and our entrepreneurs are making huge strides in bringing African innovation to the world, one impactful solution at a time. 

With the right support and access to smart capital, our startups undoubtedly have what it takes to compete with the best in the world. The path for African VC's continued success on the global stage is well and truly set. 

About Ian Lessem

Growing up in a family of entrepreneurs, Ian’s passion for building businesses runs in his genes. 

Coupled with nearly two decades of pan-African fund management and investment banking experience, he is ideally placed to invest and advise early-stage, high-growth, and impactful businesses. 

Ian has a unique talent for raising capital and is an expert at strategically aligning businesses for international growth, investment, and exit.