Nigeria Fintech Startup Cleva Raises $1.5 Million Pre-Seed Funding
Y-combinator-backed Nigerian fintech startup Cleva raises $1.5 million pre-seed funding.
The round was led by 1984 Ventures, an early-stage venture capital firm based in San Francisco. Other participants include The Raba Partnership, Byld Ventures, FirstCheck Africa, and several angel investors.
Partner at 1984 Ventures, Aaron Michael noted that Cleva’s product provides a means for Africans to navigate hyperinflation challenges, which he describes as a massive opportunity.
In his words,
“The team is uniquely qualified to address this given their experience building banking products at Stripe and robust platforms at AWS. The impressive early growth is a testament to the team’s unique capacity to execute across Africa and the U.S”.
Speaking on what Cleva is trying to solve, the company’s CEO Tolu Alabi said,
“The problem that we’re trying to solve, which is enabling people to receive international payments, is not a Nigerian problem nor an African one. It’s a global problem; people in Latin America, Asia, and even Canada need to receive dollars for their work and service. We’re starting with Nigeria because we know the market and it’s also a big market. But we feel like because of our backgrounds, we’re very well positioned to solve this problem at a global scale.”
Tolu added that the startup has initially launched its services to Nigerians, allowing users to open USD accounts, with onboarding requiring a Bank Verification Number (BVN) and a government-issued ID.
On its website, Cleva has several upcoming products in its pipeline to diversify revenue streams, which include
USD card
Users will get to Instantly create a virtual USD card that they can rely on for online payments anytime and any day.
Create professional invoices
Users will be able to send clients customized invoices with a brand name or logo and receive payment directly into their Cleva USD account. Track paid and unpaid invoices and even send out automated reminders.
Send USD across the world
Users will be able to send ACH or domestic wires to bank accounts in the US and send SWIFT internationally at a much better price than the typical bank rate.
