Nigerian Digital Lender Brass obtains $ 1.7 million to support SMEs
By Ashemiriogwa Emmanuel
High-end banking service provider for African small / medium-sized enterprises (SMEs), Brass, raised $ 1.7 million in a fundraising round to bolster its financial services to local entrepreneurs, rapidly growing traders and businesses across the continent.
Investors who participated in the roundtable included Flutterwave co-founder Mr. Olugbenga Agboola, co-founder of Paystack, acquired by Stripe, Mr. Ezra Olubi, Hustle Fund, Acuity Ventures, Uncovered Fund and Ventures Platform.
Former Brass investors included Olumide Soyombo of Voltron Capital, Leonard Stiegler, Fola Olatunji-David, Yemi Lawani and two senior executives from major Nigerian banks.
With this new financing, the Nigerian digital bank is preparing to launch a number of new product categories, which will lead to expanding its presence in the credit market.
Even as the startup seeks to expand its customer base, the new financial capacity will facilitate its plans to accelerate its expansion to other African countries such as South Africa and Kenya.
Explaining in more detail the importance of fundraising, Brass co-founder and CEO Mr. Sola Akindolu, who is a former product manager at Kudi Bank, noted that the contributions made by these investors, as well as their expertise, will not only play an essential role upstream of Brass’s expansion in South Africa and Kenya, but also in future ambitions outside the continent.
“The fundamental needs of African SMEs are just as important and unique as those of the clients they serve every day and more than ever, we need innovative, world-class financial services solutions that meet their expectations.
“These local businesses have supported our economies for decades, forming the backbone of Africa’s success to this day, and now is the time to bet on them.”
“At Brass, we have made great strides over the past year in tackling one of Africa’s most underserved customers, but with an estimated $ 5.1 billion credit deficit in the world, our work is far from over, ”he added.
Expressing her enthusiasm for the investment, Ms. Elizabeth Yin, General Partner of Hustle Fund, one of the investors, said: “We believe that Africa’s entrepreneurial ecosystem and the FinTech sector is undergoing unprecedented change, and Brass is at the forefront of this, supporting local businesses and professionals with banking technology to boost their growth. We are excited about their vision and honored to join them on their journey. “
Founded in July 2020, Brass offers complete commercial-grade banking solutions to SMEs covering different categories of businesses, allowing them to gain greater clarity and control over their monetary operations.
The Brass online platform provides a wide range of business banking needs including credit and payment services, payroll and expense management, application programming interface support ( API) and other essential business services.
Having disbursed over $ 2 million in business credit since its inception, Brass’s recent solution, “Brass Capital”, is helping thousands of businesses grow through its cash-flow financing design.