Nigerian Fintech Startup TAP Raises $3M Seed Funding To Expand

Touch and Pay (TAP), a Nigerian payments startup, just secured $3 million in seed funding. This financing will aid expansion in other African countries, with Senegal and Ghana leading the way.

Tekedia Capital and Y Combinator have invested in TAP.

Since its inception, the firm has gained significant traction. TAP serves 2.3 million consumers and processes millions of dollars in transactions.

TAP, a Tekedia Capital Portfolio, Raises $3M for Continental Expansion
Credits: TAP

A Look At What The Startup Does

Touch & Pay, founded in 2019, has created a suite of near field communication (NFC)-based payment solutions for a variety of circumstances. According to co-founder Michael Oluwole, the firm is attempting to progress towards a genuinely cashless world.

Read also : Byld Ventures Targets African Fintech Startups With New $15M Fund

“Today there are two types of transactions in Africa, firstly macro ones like buying a car or house, or payment of tuition, These transactions have been digitised and are processed electronically,” he said.

“But the other type of transactions are micro-transactions, like payment of transportation fares, getting snacks or a cup of coffee, or buying groceries. These are all cash-based and they account for 70 per cent of all daily transactions in Nigeria today.”

Even individuals who have bank accounts must withdraw cash to complete these microtransactions.

TAP funding

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer, who has several years of experience working in Africa’s burgeoning tech startup industry. He has closed multi-million dollar deals bordering on venture capital, private equity, intellectual property (trademark, patent or design, etc.), mergers and acquisitions, in countries such as in the Delaware, New York, UK, Singapore, British Virgin Islands, South Africa, Nigeria etc. He’s also a corporate governance and cross-border data privacy and tax expert. 
As an award-winning writer and researcher, he is passionate about telling the African startup story, and is one of the continent’s pioneers in this regard. You can book a session and speak with him using the link: https://insightsbyexpert