Nigerian communications-as-a-service startup, Termii, has secured $3.65 million in new financing, bringing its total funding to date to slightly over $5 million. The latest funding round, as announced by CEO, Gbolade Emmanuel, will primarily fuel the company’s expansion initiatives and the development and promotion of both existing and new products in new markets.
The startup’s primary focus for expansion lies in Francophone African countries, with the Ivory Coast being the initial target, as opposed to the previously planned North African expansion. Termii was founded by Gbolade Emmanuel and Ayomide Awe in 2019, aiming to address the growing need for exceptional communication channels among African businesses.
“We plan to support more countries in the future, like countries in the U.K. We plan to launch all these services in phases and have seen growing interest in this product from big tech and financial service providers and small enterprise businesses,”
Gbolade Emmanuel
The startup’s API-based communication infrastructure enables businesses, particularly fintechs, to engage customers through various channels, including SMS, voice messaging, mobile tokens, alerts, and a two-way support system.
Purpose of Termii’s funding
The recent funding secured by the communications startup serves a specific purpose aimed at driving the company’s expansion and scaling its customer engagement business. CEO Gbolade Emmanuel stated that the funds are not required for operational activities but are intended to power the company’s growth initiatives.
The primary objective of the funding is to support the company’s efforts in developing and promoting both existing and new products in new markets. The company has identified Francophone African countries as its target for expansion, starting with the Ivory Coast. This shift in focus from the previously planned North African expansion demonstrates Termii’s strategic decision to tap into emerging markets with significant growth potential.
By allocating the funding towards product development and promotion, the C-a-a-S company aims to enhance its offerings beyond regular messaging services. The company plans to expand its product portfolio to include call services and one-time password (OTP) generation. These additions are expected to drive increased transaction numbers and further strengthen its customer engagement capabilities.
To facilitate this expansion, Termii has recently launched the TermiiGo mobile app. Positioned as Africa’s first cross-company mobile virtual solution, TermiiGo embodies features similar to popular apps like Google Authenticator, Twilio’s Authy, and WhatsApp. It offers direct-to-mobile notifications, SMS messaging, time-based OTPs, and local and international calling for enterprise businesses. Additionally, TermiiGo leverages the mobile virtual network operator (MVNO) model to provide global eSIM activation across Africa.
Termii’s decision to secure funding for expansion and product development reflects its commitment to meet the growing demands of its customer base. The company recognizes that its financial services customers require one-time verification systems across multiple communication channels, including SMS, calls, emails, and WhatsApp. By providing these options and improving delivery rates, Termii aims to offer enhanced customer experiences and increase its market presence.
Termii’s other funding
In 2021, Termii secured $1.4 million in seed funding and already served over 500 fintechs, which make up 89% of its customer base. Notable clients include Chipper, Paystack, Moniepoint, and Piggyvest, among others.
Additionally, over 1,000 businesses and developers utilizes the startup’s APIs. Over time, the company has experienced significant growth, with more than 10,000 businesses now relying on its API and no-code campaign dashboard for monthly SMS and voice message termination. CEO Emmanuel reported a 30x increase in annual recurring revenue and a surge in message transactions on the platform from one million to 400 million.
With the recent funding, Termii is well-positioned to expand its operations, enhance customer engagement, and further establish itself as a leading communications platform-as-a-service provider in the African market.
Its latest round of funding was led by Fintech Collective and Ventures Platform, with participation from Launch Africa Ventures, Nama Ventures, Aidi Ventures, Ralicap Ventures, Now Venture Partners, Vastly Valuable Ventures, NOA Capital, Assembly Investors, Probability Ventures, Adamantium Fund, MyAsia VC, Uncovered Fund, Afropreneur Angel Group, and angel investors Aubrey Hruby and Eamon Jubbawy.
Read more: Termii goes live in Ivory Coast two months after raising $1.4m seed funding
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