Ghanaian fintech startup OZÉ, which provides digital recordkeeping tools with embedded finance products to MSMEs, has raised a US$3 million pre-Series A funding round to expand the capabilities of its platform and increase access to affordable finance.
Launched in beta in 2018, OZÉ is a mobile app that helps small businesses record their sales, expenses, payables, and receivables. The platform then aggregates that data to provide context specific recommendations and reports. Using this data and machine learning, the startup predicts a business’ credit risk and provides it with affordable capital from its banking partners.
OZÉ, which now has a client base of more than 125,000 business owners, has just closed a US$3 million pre-Series A round led by Speedinvest and including Cathay AfricInvest Innovation Fund, Savannah Fund and several angels “experienced in operating and investing in global fintech”.
The startup will use the funds to expand the capabilities of its platform and increase access to affordable finance in Ghana and Nigeria through its partnerships with well-known commercial banks.
“The last decade has seen a huge transformation in the digitisation of business. Accelerated by the pandemic, we are now seeing an even greater demand for solutions to financial challenges like accepting payments, understanding cash positions, and securing loans to increase stock for busy periods,” said OZÉ co-founder Dave Emnett.
Last year saw the number of monthly active users on the OZÉ platform grow by 1,200 per cent. The number of loans granted increased by 200 per cent quarter-on-quarter from Q3 to Q4 of 2021.
“There has been a lot of interest in the digitisation of SMEs in Africa over the last year. We have also observed the space carefully as we believe that there is tremendous potential in building the financial operating systems for African MSMEs. We are extremely excited to partner with the OZÉ team as we believe they have the right leadership and strategy in place to build the strongest platform in this market,” said Philip Specht, principal at SpeedInvest.
