Grace Ashiru
This year, the Nigerian fintech startup, Swipe has successfully secured pre-seed capital of $500,000. The company’s goal for this year is to broaden access to its many different credit offerings.
Swipe, a software company focused on credit and was created in 2020, assists businesses within Africa by offering credit solutions that make it possible for businesses to grow and expand via credit purchase.
Its objective is to expand the use of credit cards by collaborating with business owners to publicize the Card as a Service product as well as to enable flexible transactions at checkout counters all over Africa by utilizing the BNPL product.
While the CAAS concept integrates organizations and enterprises as collaborators to aid with the administration, paying, and monitoring of field expenses that are spent by personnel utilizing Swipe Cards, Our BNPL strategy integrates merchants into the platform and gives customers the ability to make purchases immediately and defer payment using the swipe card.
Temidayo Dauda, CEO of Swipe, stated during a session with Disrupt Africa that the Card as a service product model allows employees to access fifty per cent of their earnings. The CAAS model provided this information.
We made this discovery with the economy of Nigeria in mind and found that Nigerians needed more flexible payment methods for the goods and services they purchase. People were forced to either have to borrow money from their friends or wait until their next payday to fulfil their obligations.
After becoming aware of this fact, we concluded that it would benefit our target consumers to devise a method that would enable them to meet their urgent requirements while postponing payment for a set amount of time.
In 2020, Flutterwave and Swipe merged their services to provide users with card options. However, because users could not make purchases on websites accepting Flutterwave’s Rave, Swipe was compelled to move to a card supplier that offered greater flexibility.
In December Last Year, Swipe added MasterCard services, making it easier for consumers to purchase from various retailers.
To facilitate its expansion this year, the company has entered into strategic alliances with Providus MasterCard and Interswitch and obtained $500,000 in pre-seed funding.
Dauda asserted that it was in the middle of concluding new agreements with several of the industry’s most prominent e-commerce enterprises. Everything that is presented here is geared toward expanding acceptance and entering new markets.
We think this trend will encourage the usage of credit cards beyond the scope of individual consumers. It will lead to an improvement in the overall picture of credit transactions in the country.
Shortly, we hope to export this solution all around Africa; however, in the meantime, our primary focus is on establishing trust in their usage of our CAAS and BNPL solutions throughout Nigeria.
