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Several companies are increasingly opting for partnerships to help fuel growth and expansion into regional markets rather than stick to the traditional competition model.

As markets continue to diversify, businesses at different stages of their growth find themselves in need of a partner to help further their goals, as can be seen from bids by Kenyan lenders, Equity Group and KCB Group to get market share in Rwanda and Democratic Republic of Congo.

Equity Group started its promised march on Africa in 2015 with the acquisition of a majority stake in ProfCredit Bank, a leading player in the DRC’s small business sector.

Five years later, it bought a 66.53 per cent stake in Banque Commerciale Du Congo ( Equity BCDC).

Entrepreneurs, CEO’s, and executives from across various industries agree that through strategic partnerships, you can often leapfrog on progress.

Radisson Blu Hotel Waterfront Guest Relations Manager, Nicol Carelse points out that when selecting a company to partner with, thinking out of the box about which brands to strategically partner with plays a big role since it is crucial that all the partners involved benefit equally in terms of the partnership.

Accommodation offering

“We chose to partner with Amani Spa and Wellness to give guests an added element of care during their stay. The partnership also means we’re able to differentiate our accommodation offering to include corporate wellness packages, and for our inner-city locations, an urban escape amidst the surrounding hustle and bustle.”

Aisha Pandor, CEO of SweepSouth, said that if it is done right, a good partnership can have a tremendous impact on company growth, from increasing sales and reaching new markets to driving efficiency in operations.

“In today’s age of collaboration, finding like-minded businesses to create alliances with can be a valuable tool in taking your company to greater heights,” he added. Top business leaders say great partnerships can help even well-established brands gain a competitive advantage, helping each brand to offer stronger value to their clients.

“When we first partnered with other companies, we sought them out, but we’ve had such tangible results that it’s become a more organic process for us, with companies now seeking us out for strategic alliances,” added Pandor.

When things nearly went South for family owned Naivas, the family of Peter Mukuha Kago – the founders of the supermarket chain— gave out a stake estimated at $32.29 million (Sh3.8 billion) or 8.5 per cent stake to a consortium of international investors.

Hospital networks

Disclosures revealed that retail chain joined hands with the International Finance Corporation (IFC), German fund DEG, and private equity firms Amethis and MCB Equity Fund to sell a combined 40 per cent stake in the country’s biggest supermarket for a record-setting $151.97 million (Sh18.25 billion).

Melissa Bime, 25-year-old Cameroonian health entrepreneur and Anzisha Prize fellow, agrees with Pandor and notes that alliances that complement activities can be crucial to business growth.

However, she adds, it is important to evaluate growth plans first in order to find a partnership that aligns with those.

Bime founded INFIUSS, an online blood bank and digital supply chain platform in Cameroon that ensures patients in hospitals get lifesaving blood when and where they need it.

The partnerships she formed with local hospitals and driver-partners, who move the blood across the hospital networks (and to patients), has enabled her to scale up her business, which now employs 15 young people.

“I have only been able to grow in business and in my entrepreneurial career because I have people around me that made time to advise me on issues that I would have never had known, discovered or understood on my own,” Bime added.

Andrew Bourne, Regional Manager for Africa at Zoho Corporation said the firm has built its business by being a partner that helps people thrive.

“Aside from providing cost effective, yet built-for-scale products and regionally located offices, Zoho enables communities to flourish by providing on–the-ground support and frameworks to enable them to use technology effectively,” says Andrew Bourne. Upnup, a microsavings app that allows clients to accumulate Bitcoin by rounding up their transactions and purchases partnered with Stitch to allow customers to automatically move funds from their linked bank account into their upnup wallet safely.

Secure payments

Payments and data API Stitch came together to enable customers to link their financial accounts to their favourite app or platform for the purpose of making fast, secure payments directly from their banks.

Jubilee Holdings (Jubilee Insurance), East Africa’s insurance group, and Allianz, world’s insurers and asset managers, recently signed an agreement to establish a strategic partnership in the five African countries where Jubilee Insurance currently operates.

The partnership covers the general insurance business (also known as the property and casualty insurance segment) in Kenya, Tanzania and Uganda as well as the short-term insurance segment in Burundi and Mauritius.

Jubilee Holdings will retain ownership of its Life and Pensions operations and its Medical insurance business in Kenya, Uganda and Tanzania.