Barely 3 years old, Nigerian startup Esusu, a financial technology platform which helps individuals save money and build credit, has closed a $1.6 million seed round of funding
‘‘Against All Odds: Today we are delighted to officially announce Esusu’s $1.6M round of financing,’’ Esusu co-founder Wemimo Abbey noted.
‘‘While this is an exciting moment for our company, our work to unlock financial opportunity for millions around the world is only beginning. Grateful for our friends, family, investors, and partners that have stuck with us against all odds.’’
Here Is The Deal
- The round of investment was led by Acumen Fund with participation from Sinai Ventures, Kleiner Perkins, Katapult Accelerator, Plug and Play Tech Center, Global Good Fund, Temerity Capital Partners, and prominent angel investors.
- The $1.6 million in venture capital would help Esusu to scale, expand market share, and focus on product development.
- The new funds will also enhance the rent reporting platform, onboard new partnerships, and extend overall reach.
- The startup also plans to grow its team — hiring in key leadership roles across sales, technology, and operations.
“With the support of our strategic investors and partners, Esusu is poised for unprecedented growth and ready to scale to serve the millions of Americans struggling to save and create a financial identity,” said Abbey Wemimo, Co-Founder and Co-CEO of Esusu. “There are 45 million people in the United States without a credit score; our platform helps to score them, build their credit profiles and will ultimately unlock over $3.1 trillion in untapped capital.”
Why The Investors Invested In The Startup
Eliza Golden, Portfolio Manager of Acumen said Esusu must have been chosen because:
“As impact investors focused on improving the financial health of all Americans, we look for entrepreneurs who are tackling frictions in the financial services industry that are adversely affecting both sides of the market. We’re excited by Esusu and the vision of co-founders Samir and Abbey to build better tools for traditional financial services industry players. Esusu serves lower-income and historically credit-challenged consumers, while simultaneously empowering these consumers with credit-building tools that can transform their access to wealth-building — rather than predatory products and services.’’
What Esusu Does
- Founded in 2016, Esusu is at the forefront of paving a permanent bridge to financial access by providing financial solutions for low-to-middle income consumers.
- Esusu’s groundbreaking rent reporting platform captures rental payment data and reports it to credit bureaus to boost credit scores. This allows tenants to build and establish their credit scores while helping property owners attract tenants, reduce turnover, and improve collections to increase their operating income. Esusu creates the community and systems needed to build credit and thrive.
- Co-founded by Abbey Wemimo and Samir Goel alongside founding team members Albert Owusu-Asare (CTO) and Robert Henning (CFO), the Esusu app helps people establish and build credit.
- In 2018, Esusu debuted its peer-to-peer savings app on iOS and Android.
- This year, Esusu launched its signature rent reporting platform to give renters credit for making monthly payments, a benefit historically reserved for homeowners.
- Esusu has been at the forefront of the technology integration of rent reporting and partners with leading public and private sector housing developers to report rent payment data to credit bureaus.
- Rent reporting has proved to not only lift credit scores but it helps landlords improve underwriting, reduce missed payments, and retain tenants longer.
“Esusu is growing swiftly to meet the demand for our rent reporting platform, and our nonprofit and corporate partnerships are essential to scaling while continuing to ensure safe and friction-free customer experience,” said Samir Goel, Co-Founder and Co-CEO of Esusu. “Our technology is capturing financial information that has never been recorded to equalize the playing field and increase access to capital and credit for millions that have been underserved by the financial system.”
- Esusu has also entered into a number of partnerships with national organizations including the Local Initiatives Support Corporation (LISC) and Credit Builders Alliance (CBA).
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.