Nigerian food supply platform raises $3.2m
Agrifood-tech startup, Vendease, has closed a $3.2 million seed round led by Global Founders Capital with participation from Y Combinator, Hustle Fund, Liquid 2 Ventures, Hack VC and Soma Capital. Early backers also include Tayo Oviosu (Paga), John Obaro (Remita) and Magic fund.
Founded in January 2020 by Tunde Kara, Olumide Fayankin, Gatumi Aliyu and Wale Oyepeju, Vendease is solving Africa’s food supply chain problems by digitising procurement processes, storage operations, logistics and offering flexible payment systems to help food businesses grow.
This funding round will help Vendease expand its operations and build out its technology.
Don Stalter, managing partner of Global Founders Capital, said, “As a backer of one of Africa’s very first unicorns, Jumia, we’ve seen a great deal of talent in the market – and Tunde and the Vendease team are best in class both in EMEA and globally. Their laser focus and rapid growth are unprecedented, and there’s a massive opportunity ahead.”
How Vendease operates
Through its mobile and web apps, Vendease allows food businesses to place orders for food supplies, manage inventory, track expenses and gain access to credit facilities.
To achieve this, Vendease has built a network of farmers and food manufacturers that ensure food businesses using its platform can get better margins, quality food produce and fast delivery. This process saves procurement costs and man-hours, giving these businesses the convenience of focusing on delivering food experiences to consumers at the bottom of the chain.
In September 2021, Vendease delivered approximately 100,000 metric tonnes of food and has helped restaurants save approximately 5,000 man-hours in the last nine months. This has helped the startup to hit a $12.9 million transaction volume in September 2021.
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