• Contact
Wednesday, February 1, 2023
  • Login
The African Business - News About African business
  • Home
  • EconomyNew
    Nigeria extends deadline to swap old currency notes by 10 days

    Nigeria extends deadline to swap old currency notes by 10 days

    Shocking IMF report reveals Angola and Ethiopia to surpass Kenya as top economies in Sub-Saharan Africa

    Shocking IMF report reveals Angola and Ethiopia to surpass Kenya as top economies in Sub-Saharan Africa

    Ethiopia and the World Bank sign financing agreements worth $745 million

    Ethiopia and the World Bank sign financing agreements worth $745 million

    Trending Tags

  • Business
    World’s Richest Rankings: Aliko Dangote maintain his position as Africa’s richest man

    World’s Richest Rankings: Aliko Dangote maintain his position as Africa’s richest man

    Global tech billionaires eye Zambia’s electric vehicle battery mines

    Global tech billionaires eye Zambia’s electric vehicle battery mines

    Africa will have 57 million pay TV subscribers by 2028, report

    Africa will have 57 million pay TV subscribers by 2028, report

    Africa startups defy funding slump as debt financing fuels growth

    Africa startups defy funding slump as debt financing fuels growth

    Port of Maputo achieves new handling record, sees soaring chrome throughput

    Port of Maputo achieves new handling record, sees soaring chrome throughput

    Court told Anglo turned blind eye to Zambian lead poisoning

    Court told Anglo turned blind eye to Zambian lead poisoning

    Ethiopian Airlines set to fly to Atlanta

    Ethiopian Airlines set to fly to Atlanta

    Angola: Poor Management of the Petroleum Sector with Effects on Declining Production

    Angola Sonangol plans to list on Angolan stock exchange by 2027

    Nigeria artists conquer the NFT marketplace in Africa

    Nigeria artists conquer the NFT marketplace in Africa

  • Finance
    Nigeria launches payments card program to rival Visa and Mastercard

    Nigeria launches payments card program to rival Visa and Mastercard

    Mastercard and ZoodPay join forces to launch the first virtual installment card across EEMEA

    Mastercard and ZoodPay join forces to launch the first virtual installment card across EEMEA

    MoneyGram joins forces with BOTIM to launch international money transfer to over 200 countries

    MoneyGram joins forces with BOTIM to launch international money transfer to over 200 countries

    There was a 25% increase in finance app installs across Africa between 2021 and 2022

    There was a 25% increase in finance app installs across Africa between 2021 and 2022

    Yellow Card expands payment feature across Africa

    Yellow Card expands payment feature across Africa

    Government starts payment of $674,5 trillion matured securities

    Government starts payment of $674,5M matured securities

    South African rand steady with investor focus on Fed minutes

    South African rand steady with investor focus on Fed minutes

    South Africa recently declared bitcoin and other cryptocurrencies to be financial products

    South Africa recently declared bitcoin and other cryptocurrencies to be financial products

    Angola banks entry into local Bourse gives credibility to economy

    Angola banks entry into local Bourse gives credibility to economy

  • Opinion
  • Lifestyle
  • Sports
  • Green Economy
No Result
View All Result
  • Home
  • EconomyNew
    Nigeria extends deadline to swap old currency notes by 10 days

    Nigeria extends deadline to swap old currency notes by 10 days

    Shocking IMF report reveals Angola and Ethiopia to surpass Kenya as top economies in Sub-Saharan Africa

    Shocking IMF report reveals Angola and Ethiopia to surpass Kenya as top economies in Sub-Saharan Africa

    Ethiopia and the World Bank sign financing agreements worth $745 million

    Ethiopia and the World Bank sign financing agreements worth $745 million

    Trending Tags

  • Business
    World’s Richest Rankings: Aliko Dangote maintain his position as Africa’s richest man

    World’s Richest Rankings: Aliko Dangote maintain his position as Africa’s richest man

    Global tech billionaires eye Zambia’s electric vehicle battery mines

    Global tech billionaires eye Zambia’s electric vehicle battery mines

    Africa will have 57 million pay TV subscribers by 2028, report

    Africa will have 57 million pay TV subscribers by 2028, report

    Africa startups defy funding slump as debt financing fuels growth

    Africa startups defy funding slump as debt financing fuels growth

    Port of Maputo achieves new handling record, sees soaring chrome throughput

    Port of Maputo achieves new handling record, sees soaring chrome throughput

    Court told Anglo turned blind eye to Zambian lead poisoning

    Court told Anglo turned blind eye to Zambian lead poisoning

    Ethiopian Airlines set to fly to Atlanta

    Ethiopian Airlines set to fly to Atlanta

    Angola: Poor Management of the Petroleum Sector with Effects on Declining Production

    Angola Sonangol plans to list on Angolan stock exchange by 2027

    Nigeria artists conquer the NFT marketplace in Africa

    Nigeria artists conquer the NFT marketplace in Africa

  • Finance
    Nigeria launches payments card program to rival Visa and Mastercard

    Nigeria launches payments card program to rival Visa and Mastercard

    Mastercard and ZoodPay join forces to launch the first virtual installment card across EEMEA

    Mastercard and ZoodPay join forces to launch the first virtual installment card across EEMEA

    MoneyGram joins forces with BOTIM to launch international money transfer to over 200 countries

    MoneyGram joins forces with BOTIM to launch international money transfer to over 200 countries

    There was a 25% increase in finance app installs across Africa between 2021 and 2022

    There was a 25% increase in finance app installs across Africa between 2021 and 2022

    Yellow Card expands payment feature across Africa

    Yellow Card expands payment feature across Africa

    Government starts payment of $674,5 trillion matured securities

    Government starts payment of $674,5M matured securities

    South African rand steady with investor focus on Fed minutes

    South African rand steady with investor focus on Fed minutes

    South Africa recently declared bitcoin and other cryptocurrencies to be financial products

    South Africa recently declared bitcoin and other cryptocurrencies to be financial products

    Angola banks entry into local Bourse gives credibility to economy

    Angola banks entry into local Bourse gives credibility to economy

  • Opinion
  • Lifestyle
  • Sports
  • Green Economy
No Result
View All Result
The African Business - News About African business
No Result
View All Result
Home Business

Kenyan fintech 4G Capital raises $18.5M from Lightrock to scale lending to MSMEs

TAB by TAB
18/03/2022
in Business
0
Kenyan fintech 4G Capital raises $18.5M from Lightrock to scale lending to MSMEs
0
SHARES
2
VIEWS
Share on FacebookShare on Twitter

Kenyan fintech 4G Capital raises $18.5M from Lightrock to scale lending to MSMEs

Kenyan fintech credit provider 4G Capital has raised $18.5 million in Series C funding from global private equity firm Lightrock.

Related posts

World’s Richest Rankings: Aliko Dangote maintain his position as Africa’s richest man

World’s Richest Rankings: Aliko Dangote maintain his position as Africa’s richest man

31/01/2023
2
Global tech billionaires eye Zambia’s electric vehicle battery mines

Global tech billionaires eye Zambia’s electric vehicle battery mines

30/01/2023
1

The company, which provides unsecured credit to micro-enterprises, says the new investment will allow it to scale its last-mile finance and enterprise training solutions to micro and small enterprises (MSEs) in Kenya and Uganda. It will also allow it to expand its use of digital channels and data science to complement its hybrid ‘touch-tech’ approach.

Since its inception in 2013, 4G Capital has loaned over 1,750,000 small business working capital loans valued at over $230 million. The company has over 240,000 clients, 81% of whom are female,  with 77% running micro and SME enterprises in rural areas.

With this new Series C funding the company says it will expand its Kuza retail finance service to help store-owners, FMCGs and distributors boost their sales. Kuza is a pure fintech plug-and-play service, allowing distributors to stock entrepreneurs using 4G Capital’s credit, rather than traditional cash on delivery. Partnerships with P&G, Diageo and other brands adopting the service have proven highly successful.

“We are delighted to partner with Lightrock to further our financial inclusion mission,” said Wayne  Hennessy-Barrett, CEO and Founder of 4G Capital. “Lightrock and 4G Capital share a complete alignment of purpose and mission. They bring the unrivalled experience of Africa and emerging markets. This capital  will have a transformative effect in enabling us to scale the best products and services to the world’s most  important sector.”

4G Capital provides 100% unsecured business loans for business growth, along with enterprise training, and access to digital solutions. The company blends client-centric relationship management with proprietary AI technology to minimise default risk. 4G Capital’s clients maintain high repayment rates  (around 94%) without the need for refinancing; on average customers increase their annual revenue by  82%. One of the world’s top 10 Finance B-Corporations, 4G Capital has positively impacted over one million people to date.

4G Capital prides itself as a leader among the impact investment sector delivering robust, tangible results.  Supporting low-income entrepreneurs on their pathway to formality, 4G Capital enables traditionally excluded groups to better access education, healthcare and improved living standards as their take-home income grows. 4G Capital’s focus on growing value chains from the bottom up means its model has the potential to scale in communities across Africa and wider global emerging markets.

4G Capital protected its customers at the onset of the COVID-19 crisis by continuing to lend throughout the pandemic. The company reduced prices by 10%, waived all penalty fees for all historical clients, provided  Covid health insurance cover with partner company Turaco, and distributed free masks and sanitisers through its branch network. By supporting many small businesses to survive the crisis, the company was rewarded with exceptional levels of client loyalty, and in turn, 4G Capital’s revenues for 2021 were 85%  higher than in 2020.

The company’s highly scalable and capital-efficient model has meant that in return for $9 million raised from 2016-to 2020, the company has loaned over $230 million. The microfinance industry has an average lending to capital ratio of 3.45, yet 4G Capital has loaned over 16 times its capital raised.

MSEs are the foundation of frontier economies but are more vulnerable than larger enterprises to shocks.  Increasing effective financial inclusion is therefore critical to regional economic growth. The IFC’s SME  Finance Forum reports MSEs in Sub-Saharan Africa account for 80% of total employment and contribute over 55% of GDP. Without access to institutional capital, 72% of MSEs rely on family or friends for loans, and 30% fail due to funding shortages.

The systemic value of improving lives is compounded, as productive employment leads to economic outcomes and better education and health outcomes in the communities these businesses serve.

Kenyan fintech 4G Capital raises $18.5M from Lightrock to scale lending to MSMEs

Source: African Business Communities
Previous Post

South Africa collects over 933,9 milion in mobile spectrum auction

Next Post

Tanzania: ADF Provides $125 Million Loan for Water and Sanitation in Dodoma

Next Post
Tanzania: ADF Provides $125 Million Loan for Water and Sanitation in Dodoma

Tanzania: ADF Provides $125 Million Loan for Water and Sanitation in Dodoma

RECOMMENDED NEWS

GUNTER SET TO RETURN FOR SPRINGBOK WOMEN AGAINST ENGLAND U20S

GUNTER SET TO RETURN FOR SPRINGBOK WOMEN AGAINST ENGLAND U20S

1 year ago
2
COP27: Africa’s time to be heard in the climate change debate

COP27: Africa’s time to be heard in the climate change debate

3 months ago
2
Oil industry calls for inclusivity under climate efforts

Oil industry calls for inclusivity under climate efforts

1 year ago
6
German government announces €18 million support to subsidize climate insurance for African Risk Capacity member states

German government announces €18 million support to subsidize climate insurance for African Risk Capacity member states

1 year ago
13

BROWSE BY CATEGORIES

  • Business
  • Economy
  • Finance
  • Green Economy
  • Lifestyle
  • Opinion
  • Sports
  • Uncategorized

Ads

Categories

  • Business
  • Economy
  • Finance
  • Green Economy
  • Lifestyle
  • Opinion
  • Sports
  • Uncategorized
The African Business – News About African business

We bring you the best Premium news about African Business.

Follow us on social media:

Recent News

  • World’s Richest Rankings: Aliko Dangote maintain his position as Africa’s richest man
  • Nigeria launches payments card program to rival Visa and Mastercard
  • Develop enabling legislation to fuel the cannabis sector to new highs and boost the economy

Category

  • Business
  • Economy
  • Finance
  • Green Economy
  • Lifestyle
  • Opinion
  • Sports
  • Uncategorized

Legal Information

Terms and Conditions
Privacy Policy
Complaints Book

  • Contact

© 2021 The African Business

No Result
View All Result
  • Home
  • Economy
  • Business
  • Finance
  • Opinion
  • Lifestyle
  • Sports
  • Green Economy

© 2021 The African Business

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In