South African fintech startup uKheshe has secured US$500,000 in seed funding led by Fitech Ventures and the Ocean on 76 Group to help it expand usage of its platform, which has been built to broaden financial inclusion.
Here Is All You Need To Know
- The seed investment round came from Fitech Ventures and the Ocean on 76 Group.
- The investment values uKheshe at ZAR100 million (US$6.5 million).
Co-founder Clayton Hayward said financial inclusion remains the overriding imperative of the service.
“Having access to a transaction account is the first step towards broader financial inclusion. Since launching, we have seen, through tremendous uptake, that these services are not only needed but will significantly impact the overall financial inclusion of unbanked and underbanked South Africans,” he said.
Chris Lister-James, founder and director of Fitech Ventures, said the market opportunity was “enormous” and that he was excited about the investment and the role his firm will play in providing sustainable financial services.
“Having invested in several early-stage fintech startups, we have some great complementary companies and look forward to playing both a financial and strategic role in the growth of uKheshe,” he said.
Founded in 2015, startup uKheshe is a micro transaction platform that allows cardholders to pay and get paid. Unlike e-wallets or QR payment services, uKheshe works based on a user’s lifestyle, and is Masterpass certified, accepting payment from Zapper, SnapScan and other banking apps.
The uKheshe app is available on Android Play and the App Store. Users can configure their payment method, by adding their credit card details on the uKheshe app. There are two ways you can get paid with uKheshe. (1) The person paying you must have the uKheshe app installed on their smartphone. Once they have linked their credit card to the app and topped up, they’ll be able to select an amount to pay. (2) You can receive money from another uKheshe card via USSD. The other person can simply dial a code and press menu option 3 then follow the prompts.
The uKheshe Card features a QR code that is linked to the user’s cell phone number and will enable them to receive payments from anyone scanning the code with the uKheshe app. The owner of an uKheshe QR card does not need a smartphone or a bank account. All they do is dial and follow the USSD prompts to view their balance or withdraw the money. Money can be withdrawn at Pick n Pay till points nationwide.
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based Lawyer with special focus on Business Law, Intellectual Property Rights, Entertainment and Technology Law. He is also an award-winning writer. Working for notable organizations so far has exposed him to some of industry best practices in business, finance strategies, law, dispute resolution, and data analytics both in Nigeria and across the world.