African healthtech startup, Clafiya, has successfully secured a pre-seed funding round of $610,000. The investment was aimed at furthering product development, expanding the team, and enhancing their offerings. The funding round was oversubscribed, and it attracted support from several prominent investors and institutions, including Norrsken Accelerator, Acquired Wisdom Fund (AWF), Hustle Fund, Voltron Capital, Microtraction, Ajim Capital, HoaQ, Bold Angel Fund, Shivdasani Family, and other angel investors.
The primary objective of the investment was to fuel Clafiya’s growth and expansion in the African healthtech market. With this capital injection, the company plans to accelerate its operations, invest in the development of its products, and recruit skilled tech talents. This funding announcement came after Clafiya’s inclusion in the prestigious 2022 Google Black Founders Fund, which further validated the startup’s potential and innovation in the healthcare sector.
Why The Investors Invested
The investors made a strategic decision to invest in Clafiya for several compelling reasons. The healthcare challenges in Africa present a massive market opportunity, as over half of the continent’s 1.2 billion people lack access to quality primary healthcare. Clafiya’s mission to address this issue resonated with the investors, who saw the potential for significant positive impact.
Again, Clafiya’s unique approach to healthcare delivery set it apart from other healthtech startups. While many competitors focused on virtual-only telemedicine services, Clafiya aimed to build an end-to-end digital primary care center centered around the patient’s needs. This differentiation offered a more comprehensive and personalized healthcare experience, making it an attractive investment prospect.
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Additionally, Clafiya’s founder, Jennie Nwokoye, brought valuable expertise to the table. With a background as a Systems Engineer (M.Sc.) from Georgetown University and experience working at reputable companies like Deloitte and AWS, she demonstrated the capability to apply systems thinking to tackle complex healthcare problems effectively.
Moreover, the startup’s innovative business model, targeting both individuals and businesses, showed promise for sustainable revenue generation. By tapping into Nigeria’s substantial diaspora and business segments, Clafiya provided a solution for diaspora members to purchase healthcare plans for their loved ones and enabled businesses to create health savings accounts for their employees. This approach ensured steady growth and revenue for the company.
A Look at Clafiya
Clafiya was founded in 2021 as an on-demand digital platform connecting Nigerians in need of medical attention to vetted primary healthcare providers who could offer services in their homes. The startup was the brainchild of Jennie Nwokoye, a Nigerian entrepreneur who was driven by personal experiences witnessing the challenges of healthcare in Nigeria during her childhood. Her desire to make a meaningful impact led her to pursue studies in Biomedical Sciences during her undergraduate years in the United States, and later, a Master’s degree in Systems Engineering from Georgetown University.
Clafiya’s primary markets are in Nigeria, where it initially launched operations in Enugu and expanded to Lagos and Abuja. The startup’s focus on affordable access to quality primary healthcare addressed a pressing need in Africa, where millions of people faced difficulties in accessing healthcare services and suffered from high out-of-pocket payment burdens.
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As a two-year-old healthtech startup, Clafiya adopted a comprehensive approach to healthcare by partnering with reputable organizations, including Hygeia, i-Fitness, Khairo Diet Clinic, Blueroomcare, Pharmarun, and Famasi Africa. The startup generated revenue from its services provided to customers, both individuals and businesses, and shared profits from operational partners and Health Maintenance Organizations (HMOs).
Clafiya’s long-term goal is to continue expanding its services to reach over 500 million people who have been underserved by the traditional healthcare system in Africa. The company plans to keep growing within Nigeria and explore opportunities for expansion beyond its borders. With its innovative approach to healthcare delivery and its commitment to leveraging technology for social impact, Clafiya remains dedicated to transforming healthcare and improving the well-being of communities across the continent.
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