- Nigerian online marketplace, Vendease, has raised a $30 million Series A round to support its continental expansion.
- The Series A funding includes $20 million in equity and $10 million in debt. The equity round was co-led by TLcom and Partech, with participation from VentureSouq, Hustle Fund, Hack VC, GFR Fund, Kube VC, Magic Fund, and Kairos Angels. The local finance market provided the $10 million debt round.
- Vendease enables African restaurants to purchase supplies, access financial services, and run their businesses.
Vendease was founded in 2019 by Tunde Kara, Olumide Fayankin, Gatumi Aliyu, and Wale Oyepeju to connect food businesses with suppliers.
However, it soon discovered other difficulties, such as quality control issues and long delivery times.
Consequently, the startup began developing a comprehensive payment, logistics, storage, and inventory management solution to control the movement of food supplies from one point of production to the endpoint of consumption.
Vendease also improves business operations across the value chain by deploying data, reducing waste and increasing profitability.
The company says that its “digital procurement engine” makes it easier for restaurants in eight cities across Nigeria and Ghana to buy food supplies at significantly lower prices than open market prices, with guaranteed 12-hour delivery.
Besides, Vendease’s customers can access working capital through its Buy Now, Pay Later offering, allowing them to maximise their growth opportunities.
Over the last year, the company claims it has seen a threefold increase in the number of users on its platform and a fivefold increase in revenue.
Users have also gained access to over $12 million in inventory through its embedded finance product.
The funding will aid in the expansion of its services to more restaurants. It will also scale its food businesses across Africa and create new solutions and services to fuel growth across the food value chain.