Klasha, a fintech startup building borderless payments for e-commerce in Africa, has announced that it has raised $2.4 million in seed funding to build technology infrastructure for cross-border commerce in Africa.
The investment round was led by Greycroft with participation from Seedcamp, Berrywood Capital, AVG Basecamp Fund, Practical VC, Plug and Play, First Round VC, Expert Dojo, 2.12 Angels, MiLA Capital and angels, including Joe Cross, Ex-Marketing Head at Wise (formerly TransferWise), Santosh Ankola, Ex-Head of Product at TechCrunch and Michael Pennington, Co-founder of Gumtree.
With this investment, Klasha will expand its technology to help international B2B and B2C businesses such as ASOS, Zara, Amazon or Zoom to receive payments seamlessly online in African currencies from consumers across Africa.
Klasha’s core technology allows African consumers to pay international online and offline retailers in African currencies while the retailers receive payouts in their dominant currencies, including USD, GBP, EUR.
Klasha is currently available in Nigeria, Ghana and Kenya and will invest in driving more revenue, growing its current 10,000 customer base, and expanding into new markets with three more African countries set to go live by Q4 this year.
In the past few months, Klasha has continued to power international businesses with the tools they need to grow and expand into Africa. Within five short months of launching, Klasha has already processed more than 20,000 transactions across Africa with an average 366% MoM growth rate.
Klasha has built plugin integrations for WooCommerce, OpenCart and BigCommerce. Its integration library is rapidly growing to accommodate even more platforms, including Wix, Ecwid, Magneto and Commerce Cloud.
And with an official partnership with BigCommerce, the Klasha Checkout will reach thousands of e-commerce stores globally, enabling them to receive payments online from Africa.
Jess Anuna, Founder and CEO of Klasha said: “By 2025, half of the world’s population will live in Africa. At Klasha, we’re building the technology to facilitate frictionless cross-border payments and allow international businesses to scale seamlessly into Africa through our API.
“Equally, we’re giving consumers in Africa the same access to the global e-commerce economy experienced on other continents. It is imperative that African consumers are able to remain globally competitive, which includes having access to the goods they want without payment or delivery restrictions.”
Alison Lange Engel, Partner at Greycroft, said: ”Klasha’s technology allows for seamless cross-border transactions at a time when Africa is rapidly growing and needs both payment and logistics solutions for online commerce. We’re excited to support Klasha and their mission in simplifying borderless payments for commerce in Africa.”
Reshma Sohoni, Founding Partner at Seedcamp, said: ‘’As Africa continues to undergo digitisation, there’s an increasing opportunity for online businesses in Europe and US to garner market share quickly by accepting payments online in African currencies due to the nascent stage of commerce on the continent.
“Klasha is our first investment in Africa which will allow frictionless scalability for merchants into the continent through their cross-border payment technology, enabling billions of underserved consumers to access their services.’’