As an African technological ecosystem, more local talents are situated in large technology corporations and global startups. But earning stays a challenge for many freelancers and distant employees. They attempt to open accounts that accept American dollars, and foreign employers use incomplete payment platforms, and encounter slow invoices and payment processes.
Enter RaenestOne of the many local fintechs that entered to repair it. The company has just collected $ 11 million in financing of the A series, run by Qed Investors, to increase coverage in Africa.
Via a retail product, GogpayIt was launched at the starting of 2022, Raenest offers freelancers Virtual USD, GBP and EUR. These accounts help them receive payments, manage multi -functional wallets and convert currencies. Raenest also provides virtual and physical debit cards that accept many currencies, equivalent to American dollars.
In March last yr, Raenest from Lagos expanded outside of freelancers from Raenest for businessA platform that gives the same financial services for African corporations, enabling them to send and receive international payments.
Increase beyond freelancers
Interestingly, Raenest didn’t start with freelancers. Victor Aladetogether with co -founders Sodrildeen mustapha AND (*11*)Richard OyomeHe launched the company in 2022 as a recorder of records (EOR) – helping foreign corporations in the consent of the payment of African employees.
However, a few months of the founders realized that the real problem is not corporations sending payments, they are from those attempting to receive them.
“The American company may not worry if the payment is delayed by five days. But for someone in Nigeria or Kenya, this is a great deal – especially when the conversion to the local currency becomes another obstacle, “said Techcrunch, general director of Alade, former software engineer in Jumia and Andela.
Also from his distant skilled experience, Alade and his co -founders, who also bring experience in working with African fintechs, equivalent to Lemfi and Fairmoney, turned Raenest’s concentration on solving this point of pain.
Geegay quickly gained adhesion among freelancers, but business registrations also began to grow. The team realized that African corporations also need foreign accounts to enhance cross -border transactions. “Companies began to ask if they could get fixed bank accounts to simplify the payment,” Alade added. “Then we began to think: how big is this opportunity? Who else builds for Africa? “
The addition of business banking couldn’t come in a higher time. Around the same period, American Mercury Fintech began to limit business accounts from several countries, including a part of Africa. This created a gap on the market, giving local fintechs, equivalent to Raenest, the opportunity to service business clients.
Meanwhile, the EOR space was quite competitive, and the essential players, equivalent to DEEL, are beginning to look closer to the continent.
These events meant that Raenest leaned at what he considered a higher opportunity: offering African corporations a option to receive and send international payments.
Scaling to serve people and corporations
This plant pays off. Since its launch in 2022, Raenest has transformed the volume of payment of over $ 1 billion – an increase of 160% between 2023 and 2024 – serving freelancers and corporations throughout the continent. Currently, over 700,000 people use the platform to receive payments from global platforms, equivalent to Zapwork, Fiverr and Gusto. They also use it for online shopping and subscription.
On the other hand, over 300 corporations relied on Raenest to gather payments from international clients, raise capital from investors and make cross -border payments. The list of customers includes African startups equivalent to Moniepoint, Health, Fez Delivery and Matt.
Raenest competes with several startups fintech offering multiple customers in Africa, including Afriex, Cleva, Gray, Verto and Leatherback. Alade claims that Raenest has an advantage because it is addressed to natural individuals and corporations, unlike most players who satisfy only one type of customer. Alade said that in addition to the double approach, he prioritizes priority priority, security, reliability and compliance with users’ maintenance.
Raenest’s ambitions go beyond cross -border payments. “We want to create a safe and trouble -free financial ecosystem for Africans – helping them earn, invest and develop their wealth, no matter where they are in the world,” said Alade, pointing to the upcoming premieres of products.
Expansion plans
Currently three -year fintech operates in Nigeria based on a license for money transfer. As part of the next phase of growth, the company will attempt to deepen its presence in Nigeria, while protecting the licenses for expansion to Egypt, Ghana, Kenya and the USA, this movement will allow Raenest to serve Africans on the continent and diaspora.
Thanks to banking partnerships in the United States and Great Britain, Raenest is also working on securing more in these regions during scaling. Along the way, the company goals to draw the best talents to support its expansion, even when it brings Geegpay and Raenest for business under one Raenest brand.
The latest round of series A $ 11 million and brings complete financing of Raenest to $ 14.3 million.
The essential investor of Qed, one of the best fintech VC corporations, has been continually increasing its trail in Africa since 2022. He supported five startups providing financial services on the continent: Moniepoint, Health, Precium, Cedar Money, and now Raenest.
“We strongly believe that by filling the gap between local and global markets, Raenest will unlock new possibilities for African entrepreneurs, freelancers and enterprises, ultimately driving a greater economic strengthening throughout the continent,” said Gbenga Ajayi, partner and head of Africa and Middle East at Qed Investors.
Other investors in this round include Panfrish VC corporations at an early stage of growth, equivalent to Norrsken22, the Ventures, P1 Ventures and Sedstars platform.