ImaliPay, a pan-African fintech startup led by Zimbabwean entrepreneur Tatenda Furusa, has closed a US$3 million seed round in debt and equity as it expands its efforts to provide financial services to Africa’s underserved gig workers.
Furusa and Oluwasanmi Akinmusire founded ImaliPay in 2020 after noticing some of the many challenges ride-hailing drivers face when accessing working capital or in emergencies such as running out of fuel in Nairobi, Kenya’s capital city.
Since its inception nearly two years ago, ImaliPay has collaborated with platforms such as Bolt, Glovo, SWVL, Amitruck, Safeboda, Gokada and Max.ng to assist vendors in meeting key operational requirements.
The US$3 million seed funding round was led by venture capital firms such as Ten 13, Uncovered Fund, MyAsia VC, Jedar Capital, Logos Ventures, Plug N Play Ventures, Untapped Global, Latam Ventures, Cliff Angels, Chandaria Capital and Changecom, as well as Angel investors like Keisuke Honda of KSK Angels.
The funding comes on the heels of a total US$800 000 pre-seed funding it received from investors last year, which has been critical in its growth phase, as ImaliPay has been able to deliver more than 200 000 transactions, 60X growth in the number of users, and 4 500 vendor points.
The US$3 million investment will be used to put ImaliPay on a sustainable growth path as it expands its offerings to underserved gig workers across Africa.
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The funding will also be used to expand the company’s 50-person team, improve its technology, and explore new markets such as Ghana and Egypt, according to the management.
Furusa, co-founder and CEO of ImaliPay, commented on the group’s performance thus far, stating: “Our drive to start and keep ImaliPay soaring is firmly rooted in the impact we would like to make in fostering financial security in the gig economy, serving the underbanked, and walking them through a tailored journey of financial inclusion.”
“Our seed funding will be used to bring on key hires, improve technology, and explore new markets,” Oluwasanmi Akinmusire, co-founder and COO, said.
Apart from Furusa, a string of Zimbabwean start-ups have made their mark on the global market where they have been competing with other tech start-ups from advanced countries.
This is a sharp contrast to the situation back home, where the economy has been relapsing back into crisis, about a decade after the country ditched is local unit after it was eroded by 500 billion percent inflation in December 2008. — Billionaires.Africa/Business Writer