Prospa records largest pre-seed investment in the region

Prospa is a startup whose core value is built around providing the necessary support needed by small businesses, especially with regards to consolidating their banking and business operations in a simple, organized, and easily accessible manner.

Prospa has now raised US$3.8 million in fresh capital as part of what has now been confirmed as the largest pre-seed round ever secured by any startup in Nigeria and Sub-saharan Africa.

Coming just months after the firm’s graduation from Y Combinator’s accelerator program, the new funding is earmarked to widen its customer base, as well as to strengthen the team by bringing on capable product and engineering minds.

The round drew commitments from Global Founders Capital and Silicon Valley’s Liquid 2 Ventures. Global founders including Mercury’s Immad Akhund, Ramp’s Karim Atiyeh, and execs from Teachable, Square, Facebook, and Nubank also took part in the round.

Launched in 2019 by co-founders Frederik Obasi, Chioma Ugo, and Rodney Jackson-Cole, Prospa aims to help small and micro businesses bring proper coordination to the various moving parts of their business management. This includes inventory and invoicing, employee management; and banking.

“The entire business stack is fragmented right from business banking to inventory management, customer management, and everything else in-between. Prior to Prospa the average business owner would need about five different tools or apps just to manage their business.” Said Chioma Ugo, a co-founder, and Head of Growth at Prospa.