Sava, a South African spend management startup, has raised $2 million in pre-seed funding from several Africa-focused investors: Quona Capital, Breega, CRE Ventures, Ingressive Capital, RaliCap, Unicorn Growth Capital and Sherpa Ventures.
The startup which was founded by Yoeal Haile, Federico Von Bary Landesmann and Kolawole Olajide says that it will help businesses control spending using spend management tools, reconcile accounting records, digitise expense reimbursements and integrate budgets and actual cash flows.
“The spend management model is a way not only to bring the tools that small, medium and large businesses need to run their financial operating system in the background. But also to be able to capture the data that gives you a full 360 picture of the true financial health of a business,” CEO Haile commented.
“This is a problem globally, but more so in African markets, given that the banks are hesitant to lend in general. When you don’t have a dataset to help support and underwrite these businesses, that combination leads to businesses being shut out and the credit gap continuing to grow yearly. So that’s what we’re trying to solve with what we’re building.”
Haile said the spend management platform will launch its beta in South Africa in Q3.