Vol. 12 No. 3 (2026)
September 2026

Articles

Conceptualising African immigrant entrepreneurship in South Africa: Accessing financial capital

Published 2026-09-30

  • Bernard Lama Ngota
    • ,
  • Elroy Eugene Smith
    • ,
  • Ayanda Pamella Deliwe

Bernard Lama Ngota
Nelson Mandela University (NMU)

Elroy Eugene Smith
Nelson Mandela University (NMU)

Ayanda Pamella Deliwe
Nelson Mandela University (NMU)

Abstract

Objective: The objective of the article is to comprehend the effectiveness of African immigrant entrepreneurs in acquiring the financial capital required to venture into entrepreneurship in the host country.

Research Design & Methods: The study’s objectives were met using a qualitative research methodology based on an interpretive research paradigm. In a face-to-face interaction, personal interviews collected data from a purposive sample of 12 African immigrant entrepreneurs (owners/managers). The Gioia method systematically coded related interview extracts into first-order concepts, then grouped them into second-order themes and aggregate dimensions.

Findings: The results revealed that African immigrant entrepreneurs acquire the financial capital to start up their businesses from their personal savings. Moreover, the study found that family members play an important role in providing financial capital to assist African immigrant entrepreneurs in their venture creation. Contrastingly, the findings show that host country commercial banks, other microfinance institutions and persons other than family members offered no recourse to African immigrant entrepreneurs to turn to for financial assistance.

Implications & Recommendations: The research on African immigrant entrepreneurs’ financial capital acquisition strategies yields important implications for entrepreneurial economic growth, offering transferable lessons for other entrepreneurs. Based on the empirical findings, we offered recommendations for the host country’s monetary policies to include African immigrant entrepreneurial endeavours for effective business creation.

Contribution & Value Added: The study promotes understanding of African immigrant entrepreneurship by conceptualising access to financial capital in South Africa. Its emphasises financial challenges, alternative financial mechanisms, entrepreneurial support programmes, the role of social networks, offering insights for policy makers, and financial institutions.

Keywords

African immigrant entrepreneur, financial capital, savings, financial institutions, loans

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Author Biography

Bernard Lama Ngota

PhD in Business Management from Nelson Mandela University, South Africa (2024). His research interests include entrepreneurship, small business management, marketing, and innovative development in marketing and technology. With a strong publication record, he authored or co-authored several articles in esteemed journals, including the South African Journal of Business Management (SAJBM), International Journal of Applied Entrepreneurship and Economics (IJAEE), and International Review of Management and Marketing (IRMM).

Elroy Eugene Smith

Full Professor at the Department of Business Management at Nelson Mandela University, Gqeberha in South Africa. His research interests include sustainability and greening, ethics and corporate citizenship/social responsibility, strategic management and organisational behaviour. He has published extensively in numerous national and international, peer-reviewed, accredited journals and conference proceedings.

Ayanda Pamella Deliwe

Associate Professor of Applied Management, Administration, and Ethical Leadership at the University of Fort Hare. PhD in Commerce Leadership Studies (University of KwaZulu-Natal, South Africa); served as head of department and senior lecturer at Nelson Mandela University, South Africa, in the Department of Business Management. Her research interests include the field of social sciences in business studies, including entrepreneurship and marketing. She has also published within the Education space on e-learning.

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