Nigeria’s Microtraction continues on its investment spree as the investment company has just announced an investment in Riby, a smart finance management platform. This announcement was made on Twitter by Microtraction’s founder, Yele Badamosi.
.@microtraction is thrilled to announce our investment in @Ribyfinance.
Riby uses software that enables informal Cooperatives, Trade Groups, Credit Unions to better manage their members, savings & contributions, lending, and investments.https://t.co/Yqhcs3xCuU
— Yele Bademosi (@YeleBademosi) October 29, 2018
With this announcement, Microtraction, in just a little over 1 year of existence, has now invested in a total of 7 Nigerians startups. These startups includes: Accounteer, an online accounting software for Small and Medium scale Businesses; Wallet.ng, a Nigerian FinTech company; Allpro, a school management software (SMS) company with a focus on financial services and; Thank U Cash, a payment processor that offers cash back to buyers every time they make a payment.
Here are @microtraction companies in the order they've been announced to date
1 @cowrywise | https://t.co/Lu9q3qf3IK
2 @buycoinsafrica | https://t.co/DUX7UpPL7m
3 @thewalletng | https://t.co/DsQqN6Q7nV
4 Allpro | https://t.co/W2lD0JF6q9
5 @ThankUCash | https://t.co/JTFYyPq0mz pic.twitter.com/Ce2DPiL1UQ— Yele Bademosi (@YeleBademosi) August 20, 2018
Others are; CowryWise, a FinTech startup that uses an automated system to help users save their money and Bitkoin Africa, a platform for Africans to easily trade cryptocurrency assets such as Bitcoin, Bitcoin Cash, Litecoin, and Ethereum.
What is Riby?
Founded by Salami Abolore in 2016, Riby provides a simple and smart financial management platform that allows cooperatives, company groups, employees, individuals, associations, and financial development institutions to manage their financial and saving activities. It achieves this using a myriad of unique modules. These solutions can be customized to solve specific client problems.
In a blog post, Microtraction revealed that “36% of money savers in Nigeria use trade group savings collectors and cooperatives.” These cooperatives, though in their thousands, have continued to experience limited growth, fraud and slow service delivery because they manage their activities “using paper and pen (90%), Spreadsheets (9%) and custom cooperative banking platforms (1%).” But with Riby, these cooperatives can digitize their entire operations and financial activities
Riby has built an end-to-end core banking application that helps Cooperatives digitize their entire operations and financial activities.
Starting with Nigeria, Riby has the potential to brings 50m+ financially excluded/underserved people into the digital economy & finance system
— Yele Bademosi (@YeleBademosi) October 29, 2018
“Starting with Nigeria, Riby has the potential to bring 50m+ financially excluded/under-served people into the digital economy & finance system.”
Also, asides Riby’s solution, the reason for Microtraction’s investment also includes Salami’s experience as an outstanding operator. Mr Salami has about 15 years of experience in business development, strategy, sales, management consulting and business/financial planning.
About Microtraction
A Nigerian VC firm, Microtraction invests in entrepreneurs who leverage technology, capital and innovation to try and solve some of the largest problems on the continent.
It's been a year but feels like yesterday. We've learnt so much over the past year.
We have partnered with exceptional founders building amazing companies. And of course, we look forward to partnering with more! #MicrotractionIsOne pic.twitter.com/qPdTnhURkT
— microtraction (@microtraction) July 17, 2018
Following its launch about a year ago, the company announced a $65,000 investment in startups over two stages. First, it invests $15,000 for 7.5% equity stake, followed by an additional $50,000 convertible note at a $1 million valuation cap in companies that show significant progress after the initial investment.
Microtraction’s long-term mission is to accelerate Africa’s transition to a sustainable and developed economy.
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