- Nigerian financial management platform, Kippa, has raised $8.4 million in a seed round to develop financial products that assist small and mid-size enterprises (SMEs) in growing their businesses. It also plans to expand its team in Nigeria.
- Goodwater Capital, TEN13 VC, Rocketship VC, Saison Capital, Crestone VC, VentureSouq, Horizon Partners, and Vibe Capital are among those who participated in the round.
- According to the company, it has merchants across Nigeria’s 774 local governments.
Launched in June 2021 by Kennedy Ekezie-Joseph, Duke Ekezie, and Jephthah Uche, Kippa is a financial management and payments platform that improves the lifecycle of small businesses across the country.
Small business owners can use Kippa to keep track of their daily income and expense transactions, create invoices and receipts, manage inventory, and generally track how their businesses ebb and flow over time.
The company recently launched “one of the fastest incorporation products for small businesses” that enables merchants to register their businesses in three days for ₦15,000 ($34.44).
The product will help Kippa stack financial products and gain significant traction to drive more revenue.
Moreover, it announced last week that it had obtained a licence from the Central Bank of Nigeria (CBN) to operate as a super agent.
Its super agent licence enables merchants and typical neighbourhood shops that already use its bookkeeping platform to become a one-stop shop for their customers’ essential financial services.
It means the merchants can act as agents, providing financial services such as cash withdrawals and deposits, bank account opening, bill and utility payments, and insurance to individual customers who visit their small shops regularly to make everyday purchases.
Kippa claims to have 500,000 merchants on its platform. It also says that its annualised transactions have exceeded $3 billion.
The company had more than 130,000 active businesses as of November 2021, ranging from small kiosks and street corner shops to local food vendors and high-end merchants.
Although the platform has grown to accommodate over 500,000 small businesses, Ekezie-Joseph did not specify how many were active.