Is Kampala a Good Place to Launch a Startup?

Where you start your company still matters – but sticking too closely to one location might limit what you’re able to build. In today’s startup landscape, geography shapes your path – but it doesn’t have to define your potential.

Kampala has emerged as a strong hub for entrepreneurship, offering access to funding, talent, and infrastructure. But with growing competition, rigid local programmes, and support often reserved for the most polished startups, relying solely on what’s nearby can slow you down – or hold you back.

In this article, we’ll explore what Kampala gets right – and where founders often run into friction. We’ll also show how EWOR offers an alternative: a global, remote-first platform that gives you access to funding, mentorship, and community – no matter where you’re based.

1. Access to Funding in Kampala

Funding is one of the most critical ingredients in building a successful startup – and Kampala offers a growing ecosystem of support. From venture capital firms to government grants and angel investors, founders in this region have several pathways to raise capital and gain early traction.

Kampala's early-stage funding scene is developing, with players like the Kampala Angel Investment Network (KAIN) and The-97Fund actively supporting local founders. The Uganda Development Bank also offers special programs for SMEs, including youth and women-owned businesses. Despite a youthful, entrepreneurial population, startups face significant challenges, including limited access to capital, particularly at the seed stage. While Uganda saw a notable increase in funding in 2024 compared to 2023, the ecosystem still receives a much smaller share of overall African VC funding compared to larger markets like Nigeria and Kenya. Competition from imported products and inadequate infrastructure also pose hurdles for local ventures.

A More Flexible Path Forward

In the wake of these challenges, founders don’t have to rely solely on local funding options. EWOR offers a more flexible path – providing up to €500,000 in early-stage capital But EWOR is more than a cheque. Our capital comes bundled with personalised support, investor-ready storytelling, and access to a network of over 400 active European investors – many of whom regularly participate in our Grand Pitch events. On average, EWOR fellows who complete the programme and pitch go on to raise €2 million in follow-on funding – over 10x more than founders from comparable European initiatives.

2. Innovation and Startup Culture  

Kampala has become a centre of innovation, with numerous tech hubs, coworking spaces, and accelerators that foster creativity and new ideas. The local startup culture is vibrant, with a growing community of entrepreneurs working together to push the boundaries of what’s possible.

Kampala has a growing startup and innovation culture driven by a young, entrepreneurial population. The city features a vibrant community with numerous coworking spaces like Outbox Hub, The Innovation Village, and Tribe Kampala, providing workspace and networking opportunities. Regular tech and entrepreneurship events, such as Kampala Innovation Week and various meetups, contribute to knowledge sharing and connections. While there are competitive programs, several incubators and accelerators, including Outbox Hub and Makerere Innovation and Incubation Centre, specifically support early-stage startups with mentorship, resources, and investor access. Some initiatives, like StartHub Africa and 54 Collective, emphasize personalized support for early-stage founders. The ecosystem supports both early-stage ventures and aims to help them scale.

For many entrepreneurs, the energy and resources available in Kampala can provide the ideal environment to test new ideas and gain early traction. The collaborative atmosphere allows founders to connect with fellow innovators and build networks that can help their startups grow.

While the local startup culture is vibrant, the support founders actually receive can be hit or miss. VCs might offer funding but little time. Angel investors often give advice, but it’s scattered and inconsistent. What’s more, many accelerators rely on a one-size-fits-all model that doesn’t reflect the needs of exceptional founders. In fast-moving, competitive ecosystems like Kampala, standing out is hard enough – getting the right kind of support shouldn’t be.

The Alternative to Cookie-Cutter Programmes

Finding a programme that truly adapts to your journey, not the other way around, is rare. However, EWOR offers the kind of depth and flexibility that many local programmes simply can’t match. Instead of following a fixed curriculum, our fellowships are modular and tailored – giving you the right support at the right time, based on where you are in your journey.

But the real strength of EWOR goes beyond structure. Fellows often describe the community as the most unexpected – and valuable – part of the experience. As some have put it: “The real magic lies in the community: the kind of conversations, insights, and connections that lead not only to breakthroughs – but to lasting friendships with some of the most fascinating people they’ve ever met”.

3. Talent and Workforce Availability

One of the greatest assets of launching a startup in Kampala is access to a skilled and diverse talent pool. With universities producing top-tier graduates in technology, business, and other fields, startups can tap into a wealth of expertise to help grow their teams.

Kampala has a youthful population contributing to a growing talent pool for startups. Educational institutions like Makerere University and Uganda Christian University provide relevant skills, though a skills mismatch exists in some sectors. There's a focus on developing industry-specific skills, particularly in the rapidly growing tech sector, including software development, data science, AI, and cybersecurity, supported by workshops and training programs. Local talent supports entrepreneurial growth through a vibrant ecosystem with initiatives focused on skills development, mentorship, and providing practical experience. While challenges remain, the entrepreneurial spirit and increasing access to relevant training are positive factors.

Like funding, competition for talent can be fierce, especially for highly specialised roles in fields like software development or AI. For startups looking to scale quickly, hiring the right people at the right time can be a challenge, leading some founders to look outside the region for remote talent solutions.

Get Global While Local

While hiring locally in Kampala can be competitive and slow, EWOR gives you instant access to a global network of exceptional talent. Built by founders for founders, the EWOR team has launched and exited companies worth over €12 billion – and they bring that experience directly into your venture. It's not just about funding or surface-level advice; it's akin to having a co-founder from day one. 

The team collaborates closely with you to refine your idea, challenge your thinking, and support you through real-world decisions – just like a hands-on partner would. Moreover, with EWOR’s exclusive co-founder pool, you can find the right person to build with, regardless of their location.

4. Infrastructure and Support Systems

Kampala boasts a strong infrastructure that supports the growth of new businesses. From modern office spaces to high-speed internet, entrepreneurs have access to everything they need to run their startups smoothly. Government policies may also provide tax breaks, legal support, and other incentives that make starting a business more attractive in this region.

Kampala's startup ecosystem is supported by a growing infrastructure including co-working spaces like Hive Colab, VentureLabs Africa, and Regus, providing essential workspace and networking opportunities. Incubators and accelerators such as Outbox Hub, Shona, and GrowthAfrica offer mentorship, training, and access to funding and networks, helping startups scale. The Ugandan government is actively involved, with initiatives like the Uganda Entrepreneurial Ecosystem Initiative aimed at improving startup survival rates. The Ministry of Trade, Industry, and Cooperatives, in partnership with others, launched the NINJA Acceleration Program for growth-stage startups. There's also consideration for a three-year income tax exemption for startups as part of the 2025 Income Tax Bill to further strengthen the ecosystem. These resources collectively contribute to a more vibrant and supportive environment for businesses in Kampala.

But what looks good on paper often proves more complicated in practice. Bureaucracy can be time-consuming and opaque, especially for first-time founders unfamiliar with local laws. Incorporation takes longer than expected. Accessing public funding often means navigating slow processes, strict requirements, or hard-to-reach advisors. And operational costs – from accounting to regulatory compliance – can quickly eat into early budgets. 

A System That Moves With You

With access to expert guidance, practical legal resources, and a network of experienced entrepreneurs who’ve built across a range of regulatory systems, EWOR is well positioned to help founders navigate the bureaucratic and legal complexities that often come with building in Kampala. Instead of wasting time figuring things out alone, you’ll have the tools and support to stay focused on what matters most – growing your venture.

And while we’re remote-first, our support is anything but distant. Through in-person gatherings like the EWOR House, city-based meetups, and our twice-yearly Grand Pitch event, you’ll still build meaningful relationships with investors, peers, and mentors. It’s a system that helps you focus on building – not just dealing with paperwork.

Can Kampala Be Considered the Best Place to Launch a Startup?

There’s no doubt that Kampala provides a vibrant environment for startups, with access to funding, innovation, talent, and infrastructure that can help entrepreneurs build successful businesses. For many, it’s a strong contender for the best place to launch a startup, thanks to its growing entrepreneurial ecosystem and support systems.

Entrepreneurs launching startups in Kampala face several challenges. Competition is significant, not only from other local startups but also from established businesses and imported products. While the cost of living might be moderate compared to some major global cities, factors like high internet costs and fluctuating economic policies can impact operational expenses and market readiness. Regulatory hurdles include navigating bureaucratic registration processes, unclear tax regulations, and weak enforcement of company laws. Additionally, limited access to capital and inadequate infrastructure pose further difficulties.

However, it’s important to remember that the location of a startup is no longer the be-all and end-all. In today’s digital age, location-independent options like EWOR allow entrepreneurs to access world-class mentorship, funding, and resources from anywhere in the world. Whether you’re based in Kampala or elsewhere, EWOR’s remote programmes are designed to support founders no matter where they are located.

So, while Kampala offers significant advantages, it’s worth considering options like EWOR that enable you to launch and scale your startup with global support – whether you’re in the heart of a bustling startup hub or working from a quiet corner of the world.

Image credits: by Andreas Brücker on Unsplash