How can African technology companies turn international expansion into sustainable business growth? New research by TLP Advisory suggests that an increasing number of African firms are using overseas markets not simply to register companies, but to establish operations, secure regulatory licences and build commercial relationships.
The report, Home and Away: Tracking African Tech’s Global Footprint, examines 100 technology companies across Nigeria, Kenya, South Africa, Egypt, Ghana and Morocco. Its third annual assessment explores the international business connections of these firms, focusing on the United Kingdom, the United States and the United Arab Emirates.
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Among the companies in the sample with UK affiliations, 84 per cent were incorporated in the country, 47 per cent maintained an operational presence and 19 per cent held regulatory licences. The report found a different pattern among US-affiliated companies, where 81 per cent had incorporation as their only recorded affiliation. Regulatory licences were held by 3 per cent of US-affiliated companies and 4 per cent of UAE-affiliated firms.
The findings point to different roles played by international markets in the expansion strategies of African technology businesses. The United States remains important for companies seeking fundraising opportunities and corporate structures. The UAE provides access to commercial networks and markets across the Middle East, Africa and Asia. The UK, meanwhile, appears to offer a combination of incorporation, operations and regulatory access.
This distinction matters because registering a company abroad does not necessarily mean that it has established a functioning business in that market. Operational presence may involve employees, customers, partnerships and day-to-day commercial activity, while regulatory licences can allow businesses to provide services within specific legal frameworks.
For African fintech companies, for example, regulatory access can be particularly important when entering markets where financial services are subject to strict licensing requirements. For technology businesses in other sectors, establishing teams and commercial partnerships can improve their understanding of customers, strengthen credibility and support access to new markets.
Speaking at the report’s launch, TLP Advisory co-founder and partner Odunoluwa Longe encouraged founders to be deliberate about their international expansion strategies. Businesses, she argued, need to understand what they want to achieve in each market and develop the networks and commercial relationships required to turn an international presence into growth.
The research also raises important questions about the next phase of Africa’s technology development. African start-ups have built businesses addressing challenges in payments, healthcare, logistics, agriculture and digital services. As some of these companies mature, their ambitions increasingly extend beyond their domestic markets.
International expansion can provide access to larger customer bases, investment networks, specialised talent and regulatory opportunities. However, it also brings costs and complexity. Companies must navigate different tax systems, employment laws, licensing requirements and data-protection rules. Establishing a foreign subsidiary without a clear commercial purpose can add administrative costs without producing meaningful business growth.
The report’s findings should also be interpreted within their research limits. Its sample covers 100 companies from six African countries and examines firms with documented international affiliations. It is not a census of the continent’s technology sector, and its percentages should not be treated as representative of every African technology business.
Even so, the findings offer useful insight into how African firms are approaching international markets. They suggest that the next stage of expansion may depend less on where a company is registered and more on whether it can establish the relationships, operational capacity and regulatory standing needed to compete.
For African governments and investment institutions, the development has implications for technology policy. Supporting start-ups should involve more than encouraging company formation or attracting venture capital. Businesses also need stronger domestic markets, predictable regulation, reliable digital infrastructure and access to skilled professionals.
The long-term objective should not be to encourage African companies to relocate their commercial value abroad. It should be to help them build internationally competitive businesses while retaining strong operations, talent and economic contributions on the continent.
As African technology companies deepen their global connections, their success will depend on how effectively they translate international access into sustainable growth at home. The opportunity is not simply to become present in more markets, but to build African businesses capable of competing confidently across them.
