Fundraising tips from a prominent African fintech corporation
In the rapidly growing landscape of Nigerian finance, Moniepoint has emerged as a leading platform for Small and Medium Enterprises (SMEs) and consumers alike. This status was solidified in October 2024, with the successful completion of a Series C funding round worth $110 million [1].
The significance of this funding round extends beyond the financial boost. It provides a foundation for the future, a platform to learn and grow from the experience. As Moniepoint CEO, Tosin Eniolorunda, emphasizes, "Use your last fundraise as a platform for the next" [1]. This approach encourages entrepreneurs to debrief after investor presentations, absorb key lessons, and apply them to improve future fundraising efforts.
Moniepoint's success story offers valuable insights for African entrepreneurs seeking to attract regional and international investors. Here are five practical tips based on Moniepoint’s journey and the experiences of other African fintech leaders:
- Emphasize Measurable Traction and Scalability: Highlight strong metrics such as user growth, transaction volume, revenue, and relevant partnerships, especially in high-demand sectors like fintech [2][3].
- Tailor Your Pitch to Investor Styles: International investors, particularly from the US, value concise, data-rich presentations that cover the problem, solution, market size, business model, financials, and a clear funding ask, usually within 10–12 slides [3].
- Understand Your Target Investors Deeply: Research their investment priorities and portfolios, and network with founders who have successfully raised funds from them [2].
- Leverage Networks and Platforms: Use professional networks like LinkedIn and attend regional/global events (e.g., GITEX Africa) to connect directly with investors [3].
- Maintain Transparency and Preparedness for Due Diligence: Provide clear financials, legal compliance, and risk management plans to build trust [3].
In addition, consider varied financing sources beyond traditional venture capital. Explore alternatives like venture debt, corporate partnerships, diaspora-backed funds, and grants, adapting to the African capital market’s unique characteristics [2].
Moreover, having a compelling mission and vision that resonates with financial inclusivity and market leadership can attract aligned investors and drive successful expansions [4]. Moniepoint's journey, with a total payments volume exceeding US$22 billion and over one billion transactions processed monthly, is a testament to this [1].
Moniepoint's success is not just a victory for the company, but a shared success for African entrepreneurs. As Moniepoint continues to expand its services both domestically and internationally, with subsequent investment from global digital payments leader Visa, it serves as a beacon of hope and a blueprint for African entrepreneurs to effectively raise funds from regional and international investors [1].
References: [1] TechCrunch. (2024, October). Moniepoint raises $110 million in Series C round. [online] Available at: https://techcrunch.com/2024/10/01/moniepoint-raises-110-million-in-series-c-round/ [2] African Business. (2023, March). How to raise funds for your African startup. [online] Available at: https://www.africanbusinessmagazine.com/finance/how-to-raise-funds-for-your-african-startup/ [3] Disrupt Africa. (2022, September). How to raise funds for your African startup. [online] Available at: https://disrupt-africa.com/2022/09/23/how-to-raise-funds-for-your-african-startup/ [4] Forbes. (2021, November). Moniepoint listed as one of Africa's fastest-growing companies. [online] Available at: https://www.forbes.com/africa/2021/11/29/moniepoint-listed-as-one-of-africas-fastest-growing-companies/
- The successful $110 million Series C funding for Moniepoint in October 2024, led by international investors, demonstrates that African entrepreneurs can secure substantial investment, as long as they emphasize measurable traction, scalability, and a compelling mission aligned with financial inclusivity.
- By learning from experienced fintech leaders like Moniepoint's CEO, Tosin Eniolorunda, who encourages entrepreneurs to debrief after investor presentations, founders can better understand their investment portfolios and improve their strategies for future fundraising efforts.
- In addition to traditional venture capital, African entrepreneurs may find success by exploring alternative financing sources, such as venture debt, corporate partnerships, diaspora-backed funds, and grants, tailored to the unique characteristics of the African capital market.
