A Nigerian logistics startup has raised $1.2 million in a pre-seed funding round
The funding was led by Western Technology Investment and Nigeria’s Verod Capital Management.
Pre-seed funding is given to maximising future fundraising opportunities through testing, having an effective core team and expansion of the business model. It is often used to bridge the gap to the next round.
The fund, the firm told Techcrunch that it will be used to pay drivers online immediately after successful hauls, and plan expansion to Togo, Ghana, Cote D’Ivoire and Senegal.
The logistics startup which was recently accepted into the Y Combinator class of 2018 also earned a $120,000 funding in return for 7% equity.
The startup will present at next month's Demo Day in front of YC partners and investors in Mountain view, California.
Kobo360, Uber-like app that connects Nigerian truckers to companies with freight needs has served 361 businesses, moved 39 million kilograms of cargo and an aggregate of 5517 fleets since 2017 across Nigeria as at 2018.
It was established in 2016 by two young Nigerians, Obi Ozor and Ife Oyedele. The startup is creating an e-commerce hub leveraging on technology to transform the Nigerian logistics market.
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