Lagos based tech startup, PayHippo, has secured a reported $3-million in seed funding from several funders including;
Ham Serunjogi – Co-founder, Chipper Cash
Maijid Moujaled – Co-founder, Chipper Cash
Olugbenga “GB” Agboola – Founder, Flutterwave
Other angel investors include management from Paystack, Brex, and Tala and several LPs from PayHippo’s preseed investors. Other institutional investors include TEN13, VentureSouq, and Prodigio Capital, Bolaji Balogun – CEO, Chapel Hill DenhamHakeem Belo-Osagie, Founder Metis Capital Partners.
According to reports, the funding will be used to improve and grow PayHippo’s technological capabilities and facilities to support small businesses in Nigeria.
Chioma Okotcha, Co-founder and COO, PayHippo, provides insight into how the funding will be used:
“The funding will allow us to invest in hiring more engineers and data scientists. We aim to improve our technology and enhance our lending offerings as we continue to address the persistent financing gap for small businesses in Nigeria.
At PayHippo, our vision is to provide millions of small businesses with sufficient and available capital to run and grow their businesses.”
– Co-founder, Payhippo
So far, PayHippo claims to have distributed 5, 000 loans to small businesses across Nigeria since its inception.
PayHippo believes that small businesses are integral to the economic growth of a country, contributing to overall GDP and providing individuals with much-needed job opportunities.
Within Nigeria, traditional lenders require collateral, something which many small business owners are not able to provide as it is too high and it can take up to 3 months for the funds to reflect.
Bolaji Balogun, Founder and CEO of Chapel Hill Denham, explains that they are elated to support Payhippo.
“We’re excited at how PayHippo is using technology to provide SMEs in Africa with access to finance required to run their business needs. By lending to small businesses, Payhippo is allowing business owners access much-needed working capital to grow their businesses and create much-needed jobs in the economy.”