Nigerian-led fintech firm, Esusu Financial, has been shortlisted among Forbes latest 50 Top Fintech companies in the United States of America.
The company was among the new 20 companies that made the 6th exclusive annual Fintech 50.
To qualify for the Fintech 50, startups must have either headquarters or substantial operations in the U.S. and be privately run as of the date of publication.
Forbes Fintech 50 2021 – recognizes the most innovative fintech companies during the year
This year’s list included many personal finance companies like Esusu that leveraged the Covid-19 pandemic to grow even bigger.
Popular companies still on the list include Stripe which is worth $95 billion, Bolt ($850 million), Wise ($5 billion) and Arcus ($75 million).
Esusu’s journey so far
It also lets low-income consumers report rent payments to credit bureaus for free as a way to boost their credit scores.
This enables tenants to build credit and property owners to encourage on-time payments. The company currently has over 250,000 registered users in over 30 states and covers over 200,000 rental units.
Esusu has more than 50 property manager clients, including affordable housing provider, Mercy Housing
Over $4 million raised
Recognizing the potential of the company, several investors including leading VC’s like Acumen Fund, Concrete Rose Capital and Kleiner Perkins have invested in the company.
Last year, the company raised $2.3 million in seed extension to boost its expansion plans in the States. Before that, it had earlier raised $1.6 million in a seed round led by Acumen.
In total, the company has raised a funding capital of $4 million since its inception.
Bridging the racial wealth gap
Currently, less than 1% of rental payments are reported into the credit bureaus despite being the largest expense for most Americans.
Esusu co-founders believe that they can leverage data gotten by reporting this payment to boost credit ratings and pair tenants who cannot afford rent with affordable loans to help them get back on their feet.
They added that this will eliminate the racial wealth gap driven by the role that credit and housing play in financial stability and wealth accumulation in the United States.
“We have a unique opportunity to challenge the status quo by using our platform to dismantle barriers to housing for working families and over the longer horizon, eliminate the racial wealth gap.”Abbey Wemimo and Samir Goel Esusu co-founders
After the fundraising of last year, the startup revealed plans to hire exceptional talents to fuel its expansion to one million rental units in the United States.
The latest achievement shows that its business model is working for it and is on track to achieve its milestone.
If you’d like to get featured on our Entrepreneur Spotlight, click here to share your startup story with us.
Get latest Technology news, reviews, business-related content with a deliberate emphasis on the African narrative and insightful analysis in Nigeria – straight to your inbox.