Is Nairobi 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.

Nairobi 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 Nairobi 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 Nairobi

Funding is one of the most critical ingredients in building a successful startup – and Nairobi 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.

Nairobi's early-stage funding scene is active, though navigating it has its challenges. Notable VC firms like Antler, Savannah Fund, and TLcom Capital are present, actively investing in promising startups, particularly in sectors like fintech and climate tech. Angel networks such as the Nairobi Business Angel Network (NaiBAN) also play a role in supporting local founders with capital and mentorship. Government initiatives like the Youth Enterprise Development Fund and Uwezo Fund offer grants and loans, though access to financing and risk capital remains a challenge for many startups. While Kenya saw significant funding in 2024, a large portion came from foreign investors, and there's a recognized gap in robust domestic investment mechanisms. Seed-stage funding across Africa, including Kenya, saw a dip in 2024, with a notable decrease in the conversion rate from seed to Series A rounds. Additionally, the concentration of resources and activity in Nairobi can marginalize startups outside the capital.

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  

Nairobi 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.

Nairobi, known as "Silicon Savannah," boasts a dynamic startup and innovation culture fueled by entrepreneurial spirit and a supportive ecosystem. The city has numerous coworking spaces like Nairobi Garage and others, providing flexible workspaces and networking opportunities. A wide array of tech and entrepreneurship events, including Africa Tech Summit and Nairobi Innovation Week, foster connections and knowledge sharing. The ecosystem supports entrepreneurial activity across various sectors, including fintech, agritech, and healthtech. While standardized accelerator programs are prevalent, such as Antler and Nailab, offering mentorship, funding, and resources, there are also initiatives providing more tailored support. Some programs specifically target early-stage founders and individuals without a co-founder or even a solidified idea, offering personalized coaching and assistance in team formation and idea validation. The government also supports the ecosystem through initiatives and the establishment of innovation hubs.

For many entrepreneurs, the energy and resources available in Nairobi 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 Nairobi, 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 Nairobi 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.

Nairobi boasts a dynamic talent pool for startups, driven by a robust educational ecosystem. Institutions like the University of Nairobi and technical colleges offer strong computer science and IT programs. Additionally, bootcamps like Moringa School rapidly upskill individuals in in-demand areas. Industry-specific skills are abundant, particularly in software development (Python, JavaScript), data science, cybersecurity, and fintech. This diverse skill set fuels entrepreneurial growth by providing startups with readily available talent across various tech domains. Local talent is crucial for developing contextually relevant solutions and fostering a collaborative "Silicon Savannah" environment, supporting the city's burgeoning startup ecosystem.

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 Nairobi 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

Nairobi 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.

Nairobi offers a robust ecosystem for startups, featuring numerous co-working spaces, incubators, and accelerators like iHub, Nailab, and Antler Kenya. These provide essential infrastructure, mentorship, networking, and access to funding, helping businesses scale. Support systems include various funding options from angel investors, VCs, and grants. The Kenyan government actively supports the ecosystem through initiatives like the ICT Authority's Whitebox incubation program and the World Bank-funded Kenya Digital Economy Acceleration Project (KDEAP). The Startup Bill also provides a policy framework with fiscal incentives. These resources collectively foster innovation and growth in Nairobi's vibrant startup scene.

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 Nairobi. 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 Nairobi Be Considered the Best Place to Launch a Startup?

There’s no doubt that Nairobi 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 Nairobi face significant challenges. Competition is high in various sectors, with numerous local and international businesses vying for market share. While the cost of living in Nairobi can be lower than in Western countries, it is considered high compared to other cities in the region, impacting operational costs and talent acquisition. Regulatory hurdles are also a major barrier, including navigating a complex and evolving framework, bureaucratic obstacles, lengthy approval processes, and high compliance costs. Additionally, issues like unclear regulations and fragmented oversight from various bodies add to the complexity for new businesses.

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 Nairobi or elsewhere, EWOR’s remote programmes are designed to support founders no matter where they are located.

So, while Nairobi 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