Littlefish Secures Seed Funding to Strengthen SME-Bank Relationships in South Africa

Littlefish, a South African fintech startup, has successfully raised seed funding, led by TLcom Capital and co-invested by Flourish Ventures. This marks TLcom Capital’s first investment in South Africa, expanding its focus from East and West Africa into the southern African fintech landscape.

The capital injection will support Littlefish’s mission of improving the way banks serve small and medium-sized enterprises (SMEs) in South Africa. Using fintech solutions, Littlefish aims to help banks offer better, more tailored services to the SME sector, which is often underserved by traditional financial institutions.

For TLcom Capital, investing in Littlefish represents a strategic step into South Africa’s growing fintech industry, part of the firm’s broader plan to diversify investments across key African markets. This move follows TLcom’s recent announcement of closing its $154 million TIDE Africa Fund II, aimed at supporting early-stage startups across the continent. TLcom’s investment portfolio includes prominent African companies such as Andela, Twiga Foods, and Kobo360.

Founded in 2021 by Brandon Roberts and Miod Davith Kahwa, Littlefish offers a digital platform that helps banks, insurers, and fintechs better serve Africa’s 80 million SMEs. By streamlining financial operations, enhancing digital payments, and improving access to credit, Littlefish empowers banks to expand their SME customer base.

Despite their vital role in economic growth, many African SMEs remain underbanked. Littlefish addresses this gap by offering targeted financial tools that help SMEs thrive. CEO Brandon Roberts’ deep expertise in enterprise software and fintech played a significant role in attracting TLcom’s investment. TLcom was particularly drawn to Littlefish’s clear vision and ability to execute its plans effectively.

Littlefish is poised to be a key player in strengthening SME-bank relationships and fostering economic growth in South Africa and beyond.

Source: Innovation Village