Nigerian fintech startup TeamApt has raised $5.5 million in capital in a Sequence A spherical led by Quantum Capital Companions.
The Lagos primarily based agency will use the funds to develop its white label digital finance merchandise and pivot to shopper finance with the launch of its AptPay banking app.
Based by Tosin Eniolorunda, TeamApt provides monetary and cost options to Nigeria’s largest business banks — together with Zenith, UBA, and ALAT.
For Eniolorunda, launching the fintech startup means competing along with his former employer, the later stage Nigerian tech firm Interswitch.
The TeamApt founder is open about his firm going face to face not solely along with his former employer, however different Nigerian cost gateway startups.
“Sure, we’re in competitors with Interswitch,” Eniolorunda stated. However he additionally stated that the Nigerian fintech startups Paystack and Flutterwave—each of which facilitate funds for companies— are opponents as effectively.
TeamApt, whose identify is by-product of aptitude, bootstrapped its method to its Sequence A by producing income mission to mission working for Nigerian corporations, based on CEO Eniolorunda.
“To start out, we closed a cope with Pc Warehouse Group to construct a cost answer for them and that’s how we began bootstrapping,” he stated. A mission quickly adopted for Constancy Financial institution Nigeria.
TeamApt now has a developer group of 40 in Lagos, based on Eniolorunda, who spent 6 years at Interswitch as developer and engineer himself, earlier than founding the startup in 2015 .
“The 40 are out of a complete workers of about 72 so the agency is a significant engineering firm. We construct all of the IP and naturally use open supply instruments,” he stated.
TeamApt’s business financial institution product choices embrace Moneytor— a digital banking service for monetary establishments to trace transactions with internet and cellular interfaces—and Monnify, an enterprise software program suite for small enterprise administration.
TeamApt labored with Sterling Financial institution Nigeria to develop its Sterling Onepay cellular cost app and POS service provider on-line platform, Sterling Financial institution’s Chief Data Officer Moronfolu Fasinro advised TechCrunch.
On efficiency, TeamApt claims 26 African financial institution shoppers and processes $160 million in month-to-month transactions, based on firm knowledge. Although it doesn’t produce public monetary outcomes, TeamApt claimed income development of four,500 % over a 3 yr interval.
Quantum Capital Companions, a Lagos primarily based funding agency based by Nigerian banker Jim Ovia, confirmed it verified TeamApt’s numbers.
“Our CFO sat with them for about two weeks,” Elaine Delaney stated.
TeamApt’s outcomes and the startup’s international worth proposition factored into the fund’s resolution to function sole-investor within the $5.5 million spherical.
“The issue that they’re fixing is perhaps African however the know-how is common. ‘Can or not it’s utilized to another market?’ after all it may possibly,” stated Delaney.
Delaney will take a board seat with TeamApt “as a supportive investor,” she stated.
TeamApt plans to develop extra enterprise and shopper primarily based choices. “We’re starting to pilot into rather more service provider and devour dealing with merchandise the place we’re constructing cost infrastructure to attach these banks to retailers and companies,” CEO Tosin Eniolorunda stated.
A part of this contains the launch of AptPay, which Eniolorunda describes as “a push cost, cost infrastructure” to “centralize…all companies at the moment used on banking cellular apps.”
The corporate lately obtained its license from the Nigerian Central Financial institution to function as a cost swap within the nation.
On new markets, “Nigeria comes first. However we’re additionally taking a look at some components of Europe. Canada can also be sizzling on record,” stated Eniolorunda. He wouldn’t particular a rustic however stated to search for a TeamApt growth announcement by fourth quarter 2019.
TeamApt joins a number of fintech companies in Africa that introduced vital rounds, growth, or partnerships over the past yr. As lined by TechCrunch, in September 2018, Nigeria’s Paga raised $10 million and introduced doable growth in Ethiopia, Asia, and Mexico. Kenyan cost firm Cellulant raised $53 million in 2018, focused to spice up its presence throughout Africa. And in January, Flutterwave partnered with Visa to launch the GetBarter international cost product.
The fintech area has additionally been the supply of hypothesis relating to the continent’s first tech IPO on a significant change, together with Interswitch’s a lot anticipated and delayed public providing.
TeamApt’s CEO is open in regards to the firm’s future intent to record. “The mission code identify for the current funding was NASDAQ. We’re clear about turning into a public firm,” stated Eniolorunda.