NIGERIA – VeendHQ, a Lagos-based embedded finance tech firm, has secured a pre-seed investment round of US$330,000 to expand its operations and scale significantly.
Magic Fund, The Oak Capital, Future Africa, Berrywood Capital, and other angel investors contributed to the round.
According to the company, this fund will take it a step closer to actualising its goal of building an embedded finance infrastructure for Africa.
“We will integrate with more ecosystems and financial institutions and build products to create wealth and drive prosperity for the average African consumer,” a statement from the company reads.
VeendHQ is an embedded finance technology firm founded in 2021 by CEO Olufemi Olanipekun. The firm enables microlenders, banks, and merchants to simply and successfully embed credit into multiple ecosystems.
“VeendHQ is at the forefront of innovative financial solutions and has been on a smooth sail since its creation in 2021,” Olufemi Olanipekun, VeendHQ CEO said.
“This would not have been possible without the amazing team at VeendHQ, our partners, financial institutions and investors whose support and trust have fuelled this vision. As we journey into another phase, our goal remains to democratise access to finance through technology-enabled finance products.”
African SMEs are grossly under-funded, with more than 50% of Africans lacking access to credit. VeendHQ is solving this problem by providing easy and fast access to credit, leveraging a credit infrastructure platform that automates lending processes for lenders and connects them to borrowers through various origination channels.
“We believe the VeendHQ team is on track to build a highly scalable product and position itself as a market leader in embedded finance on the continent,” Temi Awogboro, Lead General Partner, Africa at MAGIC Fund.
Olukayode Olusanya, General Partner at Oak Capital, said that the problem VeendHQ is solving is huge. Many Africans and African businesses today have zero to low access to credit.
The team at VeendHQ are making economic prosperity accessible to everyone on the continent with the digital lending infrastructure they have built, enabling the unbanked to access credit at competitive prices.
“We are excited to see the progress that VeendHQ is making and how they are changing the credit landscape in Africa. At The Oak Capital, our goal is to back founders that have developed unique technology and technology-enabled solutions that truly solve African problems, creating long-term impact in the mass African market,” he added.
Berrywood Capital said that its core mission is to invest in the next generation of early-stage, African-led, technology-focused solutions, and VeendHQ’s business closely aligns with it.
“Starting with infrastructure that drives automated lending, the company is poised to deliver enterprise financial solutions and individual wealth creation on the continent in the next decade. We are excited to be with them on this journey,” Berrywood Capital stated.
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