Cameroonian fintech Koree has successfully closed a pre-seed funding round of $200,000, marking a significant milestone in its mission to reshape the financial landscape. The funds will be strategically utilized to expand its merchant base, scale its user network, and achieve product-market fit.
Koree, backed by Ecobank, is at the forefront of fintech innovation in Cameroon. The platform addresses the challenge of spare change in cash-based economies by providing a solution that allows customers to save their spare cash (change) on their cards.
Key Investors and Backers
The pre-seed round received support from notable backers, including Tunde Akinnuwa (co-founder at Duplo), Cameroon Angels Network, Catalytic Africa, Digital Africa, and other private investors. This strong backing is a testament to the potential and significance of Koree's innovative approach.
Koree's unique offering enables merchants to return customers' spare change using a card and digital wallet. Moreover, the platform empowers merchants to create loyalty programs, allowing customers to earn cashback rewards.
The Marketplace Expansion
To leverage the pre-seed funding, Koree is set to launch a new marketplace. This marketplace is designed to provide users with rewards for their everyday purchases across various categories such as bakery, supermarket, fast food, movies, pharmacy, and more. Customers earn cash as they shop on the Koree app, with the flexibility to redeem their earnings directly into their mobile money accounts.
Collaborative Redemption Process
Koree has strategically partnered with customers' referenced payment service providers to facilitate the seamless redemption of cashback. This collaborative approach ensures a user-friendly and efficient process for customers to enjoy the benefits of their earnings.
Achievements and Recognition
Since its inception in September 2022, Koree has registered over 13,000 users, processing more than 50,000 cash-based transactions worth $400,000. The fintech's success is further underscored by its revenue model, which involves charging merchants a subscription fee alongside a commission on each transaction.
Accolades and Acceleration Programs
Koree's innovative approach has garnered recognition in the form of awards and participation in notable acceleration programs. In June 2023, the fintech emerged victorious in the Orange Fab Cameroon challenge, followed by winning the Ecobank Fintech Challenge in October, securing $50,000 in non-dilutive funding. These achievements have positioned Koree for expansion, especially within francophone Africa.
Future Plans: Building a Strong Work Culture
As Koree looks to expand its operations across the continent, including countries like Cameroon, Côte d’Ivoire, Togo, Nigeria, and Senegal, the fintech company emphasizes the importance of a physical office in Douala, Cameroon. This strategic move aims to foster team cohesion and create a robust work culture.