Fintech platform Raenest has raised new funding to support African businesses.
The company, founded in 2022 by Victor Alade, Sodruldeen Mustapha, and Richard Oyome, offers a range of services, including virtual and physical dollar cards, international transfers, invoicing for global payments, the ability to create USD, GBP, and EUR bank accounts, and currency conversion, among other features listed on its website.
Raenest’s original platform was structured as an Employer of Record (EOR), helping foreign companies pay employees on the continent while remaining compliant, TechCrunch reports.
The founders recognized a deeper-rooted issue, leading them to update Raenest to assist the continent’s gig economy and businesses directly.
“A U.S. company might not care if a payment is delayed by five days, but for someone in Nigeria or Kenya, that’s a big deal — especially when converting to local currency becomes another hurdle,” Alade told TechCrunch.
Looking ahead, Raenest intends to secure additional partnerships with financial institutions globally, scale operations to the United States and Egypt, and strengthen its presence in existing areas such as Nigeria and Kenya. The startup has raised $11 million in a Series A funding round led by QED Investors, bringing the company’s total raise to $14.3 million, according to a press release shared with AFROTECH™. Additional investors who participated in the round were Norrsken22, Ventures Platform, P1 Ventures, and Seedstars.
“At QED, we’re thrilled to support Raenest as they redefine cross-border banking for Africans. Their commitment to financial inclusion, combined with a seamless user experience, positions Raenest as a game-changer in the region’s fintech landscape,” said Gbenga Ajayi, partner and head of Africa and the Middle East at QED Investors, in a news release. “We firmly believe that by bridging the gap between local and global markets, Raenest will unlock new opportunities for African entrepreneurs, freelancers, and businesses, ultimately driving greater economic empowerment across the continent.”
Lexi Novitske, general partner of Norrsken22, commented:
“Africa’s gig economy is growing at an impressive 20% year-on-year, yet cross-border payment challenges persist for workers and businesses alike. Our investment in Raenest reflects our belief that they are unlocking new opportunities by transforming how Africa’s global workforce connects to the world economy.”
