Caena Academy

Ambition is globally distributed but access to capital is not. 

The majority of founders outside closed networks and major financing hubs find it difficult to access capital to grow their businesses. 

There are several underlying reasons for this inequitable access to capital including complexity of the current fundraising process and the relationship-based approach that investors take.

Unfortunately, many entrepreneurs do not even understand how the process works. In addition, financial planning for their businesses is not intuitive so founders struggle when approaching institutional investors. A third aspect of the problem is that without adequate financial planning, entrepreneurs end up making costly mistakes if and when they end up raising capital.

This is a problem that affects millions of entrepreneurs globally, disproportionally impacting women, minorities and founders in developing countries.

A few days ago I spoke with one such entrepreneur I will call Zainab for the purpose of this forum. Zainab runs an early stage, thriving youth-focused platform in the UAE that has been operational for close to 5 years. She booked a call to ask for help with her financial model. She wanted to know what the terms EBITDA, Net Income, Capex meant and how she was meant to use them in her investor conversations. I pointed her to the resources we have on Caena Academy and encouraged her to spend some time understanding the basics. She and her team need funds urgently, will they be able to access capital from the traditional sources of startup funding? Not likely, if they don't understand the basics and also don't know how to navigate a complex process shrouded in mystery.

Caena Academy is an innovative, technology-enabled platform delivering financial literacy training tailored specifically for founders. 

Currently, organisations like accelerators, entrepreneurial organisations and investors provide financial literacy and other support to entrepreneurs participating in their programs. However, with typical acceptance rates around 1%, it is very tough getting into the best programs.

Caena Academy is democratising access to financial literacy insights, knowledge and tools. We are leveraging technology to ensure we can deliver value in an accessible and affordable way to as many founders as possible.

With a diverse range of courses and content formats, including videos, games, workshops and quizzes, Caena Academy accommodates different learning styles and paces. Our curriculum includes financial planning, fundraising strategy, acquisitions, risk management and other content that founders need through the journey of building their startup.

Here are a few demo links to Caena Academy as well as our other products solving the problem of access to capital for the underserved 

Caena Academy's solution primarily serves entrepreneurs in developing markets across Africa, Middle East and Asia. We are also serving women and minorities in developed markets.

These founders currently find it hard to access capital. For instance, in 2022, women-founded companies receive as little as 2% of total funding while black founded companies raised 1% of total funding in the US. The situation outside the US is more dire as the entrepreneurial systems are less developed.

Caena Academy empowers entrepreneurs with the same knowledge and skills which privileged entrepreneurs have access to. By making this tailored learning available on demand, we will help small enterprises to achieve their full economic potential, ultimately leading to a more financially inclusive and prosperous world.

As a 22-year old Mechanical Engineering student in Ile-Ife, a small, historical town in south Western Nigeria, I had an epiphany. the high unemployment rate in Nigeria could be traced to the misalignment that existed between what students learnt on campus and the skills required to succeed in the real world. Together with 3 other students, I started Inspire magazine, a business, investing and careers magazine for college students. 

Before founding Caena 2 years ago, I enjoyed a 14-year career in strategy and investment banking which provided me with a sound understanding of finance but also an insight into the complexities of the financing process which act as a barrier to equitable access to capital. I teamed up with Ashkan, an experienced Software Engineer and together we've build an in-house team of product designers and software developers that have rolled out the features you see on Caena today

Today, 19 years after I started Inspire Magazine, I still maintain the conviction that technology and financial literacy are critical to lifting  the underserved out of poverty. I also have a deep, personal connection to the problem we're solving. As a black entrepreneur building a startup in the United Kingdom and the UAE, I have experienced the pain of trying to access capital as a minority.

I would like to use my skills and privilege as a serial entrepreneur and investment banker to build solutions that mean the world my six-year-old daughter grows up to work in is fairer than what exists today

Caena currently serves over 6,000 entrepreneurs from 45 countries. Over the past two years we have empowered these entrepreneurs with tools, insights and knowledge to boost their financial literacy.

Our experience serving thousands of founders over the past two years has made us even more certain than when we started that there is scope to build a company that can impact millions positively.

 We have proven we have what it takes to translate our ideas into tangible solutions. Our immediate objectives are to implement our product and course roadmap and reach many more entrepreneurs.

For this, we need support that we believe MIT Solve can give us. We particularly look forward to being in a community with experts and other change makers to help each other along and collaborate

Caena Academy addresses the challenge of equitable access to capital for entrepreneurs from a unique and often overlooked angle: empowering the entrepreneurs themselves. Instead of solely focusing on creating more financial institutions or investors, we aim to provide entrepreneurs with the knowledge and tools they need to navigate the complex financial landscape and access the funding they deserve. 

Our innovative approach to financial literacy education for founders in developing markets across Africa, Middle East, and Asia is built on several key principles:

1. Complex Problems Require Comprehensive Solutions: Caena Academy sits within our broader solution set of automated fundraising tool and a funding marketplace. This enables us to be able to ensure we solve the problem of access to capital
2. Customized Content: We tailor our courses to the specific needs and challenges faced by entrepreneurs in our target markets. This allows us to address the unique financial, cultural, and regulatory factors that impact their ability to access capital and grow their businesses. 
3. Multi-Modal Learning: Caena Academy utilizes various modes of learning such as videos, games, and interactive exercises to accommodate different learning styles and preferences. This ensures that our users can learn at their own pace and retain information more effectively. 
4. Leveraging Technology: By harnessing the power of technology, we can scale our solution and reach a larger number of entrepreneurs, even in remote or underserved regions. This ensures that our impact extends beyond traditional educational and financial infrastructure limitations. 
5. Building Knowledge Infrastructure: Empowering entrepreneurs with financial literacy creates a foundation upon which other solutions can be built. As founders become more knowledgeable, they can better engage with financial institutions, investors, and support networks, thus contributing to a more inclusive and sustainable financial ecosystem. 

Caena Academy aims to create a significant and transformative impact on the lives of financially underserved entrepreneurs in developing markets across Africa, Middle East, and Asia. Our impact goals for the next year are as follows:

1. Empower at least 50,000 entrepreneurs with financial literacy skills
2. Establish partnerships with at least 10 local organisations to provide capital to our community who have equipped themselves with knowledge and are investment ready

Within the next 5 years, we aim to achieve the following:

1. Empower over 2 million entrepreneurs with the financial tools and knowledge necessary for sustainable growth and wealth creation.
2. Facilitate access to capital for at least 10% of our users, helping them secure funding for their businesses or personal needs.
3. Enhance the financial resilience of our users, leading to a 30% reduction in business failures due to financial mismanagement.
4. Contribute to the creation of at least 100,000 new jobs by supporting the growth and expansion of small enterprises within our target regions

We will achieve these objectives by

1. Continuously improve and expand our course offerings to address the evolving needs of our target audience
2. Develop strategic partnerships with local organizations, NGOs, and financial institutions to enhance our reach, provide targeted support, and facilitate access to capital for our users
3. Invest in marketing and outreach efforts to raise awareness about Caena Academy and increase our user base in underserved regions.
4. Leverage technology to optimize our platform's accessibility, user experience, and scalability, ensuring that our resources remain relevant and available to those who need them most.
5. Monitor and evaluate our impact through regular assessments, user feedback, and data analysis, allowing us to refine our approach and maximize our effectiveness.

Caena Academy will focus on the following indicators to measure our impact on financially underserved entrepreneurs, small enterprises, and individuals in developing markets across Africa, Middle East, and Asia:

1. Proportion of small-scale industries with a loan or line of credit: We will monitor the percentage of small-scale industries within our user base that secure a loan or line of credit after completing our courses. This metric will help us assess the effectiveness of our financial education in enabling small enterprises to access the capital they need for growth and expansion.

2. Proportion of informal employment in total employment, by sector and sex: We will track the changes in the proportion of informal employment among our users, with a focus on sector and gender differences. By providing financial literacy and business skills, we aim to help individuals transition from informal to formal employment, leading to more stable income and improved working conditions.

3. Unemployment rate, by sex, age, and persons with disabilities: We will measure the changes in unemployment rates among our users, considering factors such as sex, age, and disabilities. Our goal is to equip individuals with the financial knowledge and skills needed to create or find sustainable employment opportunities, thereby reducing unemployment rates within our target population.

4. Proportion of youth (aged 15-24 years) not in education, employment, or training: We will track the percentage of youth within our user base who transition from being not in education, employment, or training (NEET) to engaging in one of these activities. By targeting this demographic and providing financial education, we aim to empower young people to pursue education, entrepreneurship, or employment, contributing to their long-term economic prospects.

By focusing on these UN SDG indicators, Caena Academy will be able to effectively measure our progress towards our impact goals and ensure that our solution creates lasting, transformational change for financially underserved entrepreneurs, small enterprises, and individuals in developing markets across Africa, Middle East, and Asia. Moreover, aligning our goals with these global indicators enables us to contribute to the broader international efforts to achieve sustainable development and economic empowerment.

Caena Academy's Theory of Change is as follows:

1. Equip founders with knowledge, insights, and tools: Through our comprehensive financial literacy courses, we provide founders with essential financial knowledge, industry insights, and practical tools. We customize our content to address the unique challenges faced by entrepreneurs in developing markets across Africa, Middle East, and Asia, ensuring that our resources remain relevant and actionable.
2. Improved decision-making, confidence, and access to funding opportunities: As founders acquire financial literacy and business skills, they become more capable of making informed decisions, managing risks, and navigating the complexities of their respective markets. Increased confidence allows them to present their businesses effectively to investors, lenders, and partners, opening doors to new funding opportunities and resources.
3. More inclusive entrepreneurial ecosystem: By empowering founders from diverse backgrounds and underserved regions with financial knowledge and access to resources, we foster a more inclusive entrepreneurial ecosystem. This inclusivity contributes to greater innovation, collaboration, and resilience, as diverse perspectives and experiences are leveraged to address complex challenges and opportunities.
4. Job creation and economic opportunities: As founders grow their businesses, they create jobs and offer economic opportunities for others within their communities. This ripple effect strengthens local economies and enhances the well-being of individuals and families, who in turn become more active participants in the entrepreneurial ecosystem.
5. Equitable economic growth and prosperous societies: Our Theory of Change culminates in the creation of equitable economic growth and prosperous societies. By addressing the financial literacy gap and fostering inclusive entrepreneurship, Caena Academy contributes to sustainable development, reduces income inequality, and promotes social cohesion in developing markets across Africa, Middle East, and Asia.

The technology enabling our solutions spans traditional and new, emerging technologies. 

 Today, we are delivering content cheaply and accessibly to founders globally through the use of algorithms, software code, gaming software and plain, old video recordings. In parallel, we are working to leverage artificial intelligence to provide tailored advice to founders which would otherwise have been to expensive and inaccessible.

In the nearest future, we hope to explore adding augmented reality (AR) and virtual reality (VR) to enhance our games. These will make them more appealing especially to younger demographics.

We are a small team comprised of different nationalities and almost equally balanced in gender. As a remote first organisation, we have staff in three different continents and are committed to ensuring the company maintains its commitment to diversity as we grow.

On a personal note, I experienced and strongly fought against nepotism and discrimination while an investment banker. My refusal to conform directly led to me being ostracised and ultimately departing the organisation where I had worked for over 13 years. As a result, I am committed to building the type of company and being the type of leader I wish I had.

With Caena, we started off diverse with one Asian and one African co-founder. At a point, we were joined by an American woman (who has since left).

One of our biggest achievements is that the team on the Solver page joined as our first set of employees in July 2021. Through ups and downs in the economy we have remained as a team and continue to work together towards achieving our goals

We make money in two ways - fee model and subscriptions.

Accelerators and entrepreneurship organisations engage us to provide financial literacy content for their entrepreneurial programs. Our services ensure that their entrepreneurs have the financial skills they need to grow their businesses which in turn improves the organisations' finances. 

Startups and small businesses access our content through our website and we will ensure they can get the essential financial literacy content for free but then pay for extras. For instance, guided assistance with documents such as financial models and fundraising strategy plans they need for their businesses

From inception, we designed Caena to be financially self-sustaining. Our revenue streams comprise

1. Subscriptions: entrepreneurs will be able to access premium content and other fundraising tools by paying an affordable subscription
2. Workshop fees: we continue to serve accelerators, entrepreneur organisations and other stakeholders who pay Caena to facilitate workshops and offer one-on-one support to the founders in their community
3. Grants and sponsorships: we will aim to obtain grants which help us keep costs low and reach more underprivileged entrepreneurs

As Caena Academy grows, our diversified revenue streams will enable us to cover our expenses, reinvest in our platform, and further expand our impact. By continually adapting and refining our financial model, we will ensure our long-term financial sustainability and continued ability to empower entrepreneurs across developing markets

Our biggest client to date on workshop fees is a large foundation, an arm of a global jewellery brand which supports women entrepreneurs globally. We've worked with them since September 2021 to provide one-on-one support to their fellows. To date, we have being paid around USD20,000 as part of this engagement. 

Separately, we have raised over USD200,000 for the broader business (including the fundraising automation and funding marketplace solutions) to help us develop our technology solutions and reach our audience. 

More recently, the software tools part of the business is revenue generating and growing month on month. 

In 2023, we estimate Caena will make over USD100,000 by the end of 2023 from less than USD8,000 in 2022