Nigerian Fintech Startup Sudo Africa Raises $3.7m For Card-Issuing API Platform
Fintech startup Sudo Africa raised a $3.7M investment in a pre-seed funding round.
Sudo, an Africa startup raised $3.7M in a pre-seed funding round. The funding round was led by Global Founders Capital (GFC) based in San Fransisco. Other investors were African fintech founders like Odun Eweniyi, Ham Serunjogi, and Olugbenga ‘GB’ Agboola.
Sudo Africa offers an open API platform that allows financial companies to manage their financial concerns in an automated manner, build their own features, and coordinate with other services to offer an enhanced experience.
The consequences that give rise to card-issuing API platform
Founders of Sudo Africa Kabir Shittu and Aminu Bakori shared the reason that made them come up with this idea of creating the card-issuing API platform. They shared that they were having a problem with issuing cards at their former startup which was a mobile wallet system that allowed its users to combine their existing financial institutions into a single platform to perform transactions.
“At some point, we wanted to issue cards and worked with one of the local banks in Nigeria,” told CEO Aminu Bakori. Moreover, he also shared that “They got to print up to 1,000 cards, but it took a lot of time and none of them functioned because the bank wasn’t able to provide any APIs for us to either manage the cards or even control the usage of those cards. That was the first time we came around, thinking about how to issue cards.”
Sudo Africa Facilitates Different Sectors
As fintech has become an emerging technology in today’s digital world, different startups are now leveraging benefits from financial software development services to take to take their business to another level.
Kabir Shittu, Sudo Africa COO tells that the company has customers in varying sectors including non-tech enterprises, microfinance banks, government agencies, logistics companies, fintech, e-commerce companies, and commercial banks.
Sudo Africa is making money by charging an interchange fee when the issued cards make an attempt to make a transaction through the web or POS. It also involves authorization charges when spending and location-based controls are made. Sudo collects card production and personalization fees cheaper than incumbents, tells Shittu.
Currently, Sudo Africa is the only startup that is now offering virtual. And physical card service in Nigeria and setting an example for other fintech startups to leverage maximum advantages.