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There is a strong business case for venture capital (VC) investing in South Africa, not least because of the opportunity it presents for positive social and economic impact. This was discussed extensively by a number of key industry players at the Southern African Venture Capital and Private Equity Association (SAVCA) VC Conference 2021 held in Cape Town last week.
South Africa’s sovereign downgrade to “junk status” in 2020 set off a chain reaction among the investment community, which was exacerbated by the COVID-19 pandemic. The prevailing sentiment was that local investment carried with it a substantial risk – an opinion that was priced in by the market.
The strongest deterrent against FSP compliance missteps is or should be: