The Nigerian financial space has evolved rapidly over the years. Thanks to the continued growth of digital innovation which has enabled fintech startups carve a niche for themselves in re-conceiving the way Nigerians carry out financial transactions.
With the emergence of these startups along with more innovative products and services, fintechs are taking their stand as a major force in driving financial inclusion across the country – something traditional banks have always struggled with.
In 2017, African fintech businesses pulled in almost a third of total funding raised by startups on the continent, with Nigeria leading the way.
And 2018 is no different, as fintechs have continued to garner big investment deals and accolades to show for their innovations.
In this article, we shall be taking a look at the top fintechs startups in Nigeria, delivering innovative financial services and getting attention as well as funding opportunities.
If you are conversant with online transactions, you possibly have come across this startup. Paystack is a payment gateway created to allow businesses start accepting payments online. Founded in 2016 by Shola Akinlade and Ezra Olubi, the startup provides a multi-channel payment option for merchants across countries to enable them accept credit and debit card payments from customers around the world.
And within a space of 2 years, Paystack has made its presence known in the fintech space. In November, the company announced that it now processes over N10 billion ($27.5 million) worth of transactions every month.
Over 23,000 businesses use its platform including big names like Taxify, MTN, Lagos Internal Revenue Service (LIRS), IrokoTV, Betway, among many others.
Interestingly too, the company recently closed an impressive $8 million Series A round of funding from major investors like VISA and Stripe, with plans to expand into Ghana soon.
A heavyweight in the fintech space, Paga is definitely not one to miss out on this list. Founded in 2012 by Tayo Oviosu, the startup works as a digital platform to transfer money, pay bills, and buy things.
The mobile money startup currently serves over 10 million customers in Nigeria as well over 6,000 businesses.
In September, Paga raised $10 million in funding from the Global Innovation Fund bringing its total funding since inception to $35 million.
The startup also has laurels to show for its hard work as it bagged NIBBS Top Mobile Operator Award for a 3rd year.
Paga recently signed an exclusive partnership with international shopping company, Orange Mall. It also launched its money transfer mobile app that further simplifies the P2P payment process from mobile devices
Flutterwave is another gateway startup focused on helping banks and businesses provide seamless and secure payment experiences for their customers. Founded in 2016 by Iyinoluwa Aboyeji, the startup is a heavyweight in the mobile transfer space.
This year, Flutterwave went into partnerships with several companies including Flywire, Piggybank, and Tempo Money transfer to make money transactions seamless for its users. The startup recently closed a funding round worth $10 million from MasterCard, Fintech and several other financial giants.
Wallet.ng is a digital payments platform that aids transactions. It allows people to send and receive money as well as make payments using just their phone numbers. Founded in 2016 by John Oke and Joseph Benson-Aruna, the platform also allows users to create virtual dollar cards to complete international transactions.
The platform has drawn attention of investors and the industry at large drawing investments from Nigerian venture capital firm, Microtraction. The startup was also the runner up at the Ecobank Fintech Challenge 2018, taking up a prize of $5000.
By September 2018, the startup has over 6,000 signups and 1,500 active users, and had processed about $80,000 after about 2,400 transactions.
The startup recently made the KPMG #Fintech100 list 2018 for startups leading the pack in global financial technology development.
A simple online lending platform, Paylater is geared towards helping you out when you are caught up in a financial fix.
It allows users request for a loan facility without any need for collateral, or guarantor – yes, that easy!
Founded in 2016 by Chijioke and Ngozi Dozie of One Finance (One-fi), the startup in addition to giving loans allows users to save through its Payvest feature, promising up to 15.5% interest annually. So far the startup has over 800,000 registered users, and has loaned over $17 million to users in 2018.
The startup was part of the 5th class of the Google Launchpad accelerator receiving a 2 week all-expense-paid training. Its parent company, One-Fi, receieved a “BB” credit rating from Global Credit Rating – the first credit rating for any African fintech company.
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