Less than a year into its operations and only two months after acquiring a total of $625,00 in investment through Y Combinator, Nigerian fintech startup, Mono, has raised an additional $2 million in funding.
This new investment is directed towards its mission to power the internet company in Africa. The investors include firms Entrée Capital and VC Lateral Capital, as well as individuals such as Babs Ogundeyi, CEO of Kuda; Gbenga Oyebode, partner at TCVP; and Eric Idiahi, co-founder and partner at Verod Capital.
Avil Eyal, Managing Partner of Entrée Capital said of the investment: “We are very excited to be working with Abdul, Prakhar and the entire Mono team as they continue to build out the rails for African banking to enable the delivery of financial services to hundreds of millions of people across the African continent.”
Mono, which describes itself as a platform that helps digital businesses provide access to financial accounts across Africa, was founded in August 2020 by CEO Abdulhamid Hassan (former Product Manager at Paystack) and CTO Prakhar Singh (founder of Transferpay.ng) as a new addition to the bubbling fintech space. But it is not your regular fintech platform.
“We’re thinking of how we can power the internet economy with data that isn’t necessarily financial data,” said Hassan. “For instance, think about open data for telcos. Imagine where you can move your data from one telco to another instead of getting a new SIM card and making a fresh registration. That’s where I see the market going, at least for us at Mono.”
Mono joins Nigerian startup Okra and South African fintech Stitch (which recently raised $3.5 million and $4 million respectively) as the only three API fintech companies to have raised seed investments this year. With the new funding, the company is already thinking bigger. It is already planning its expansion into Ghana and Kenya in service of its pan-African dreams. Operations are expected to resume in Ghana next month.
Apart from the expansion, the company will direct the funding to strengthening its existing services while launching new products that will benefit its growing customer base and list of multinational partners. Some of the company’s partners and clients include Flutterwave, Renmoney, MTN Ghana, Fidelity Bank and GT Bank.
Kanyinsola Olorunnisola is a journalist, social critic and literary enthusiast. He is the recepient of the 2017 Fisayo Soyombo National Essay Prize, the 2020 Speculative Literary Foundation’s Diverse Writers Grant and the 2020 K&L Prize for African Literature. He is the founder of SprinNG, a platform dedicated to the development of young African writers.