Tech in Africa
MoneyFellows, a Cairo-based fintech raised $4 million in a Serie A round. The source of funds was a Paris-based global VC fund such as Partech and Sawari Ventures of Egypt. The announcement was disclosed to Menabytes. Investment into MoneyFellows has raised over $1 million from a pre-Series A round attracting over 500 Startups, Phoenician Fund managers, and Dubai Angel Investors.
Ahmed Wadi is the founder of the MoneyFellows in 2016, which digitized the concept of gam’eya (otherwise known as money circles) throughout Egypt and other Arab majority countries.
The money circles concept (ROSCAs) is popular for people invested in saving money globally. It allows family and friends to contribute a certain fixed installment into a pool with one member taking the entire pool as payout every month. The circle ends when everyone receives their payout and can be repeated again if everyone is willing.
MoneyFellows has over 150,000 users thus far. Their mobile-based platform digitizes the entire process, while a scoring model adds to an offline segment, ensuring the technology is safe, efficient, and scalable. To participate in the platform a user assessment algorithm must verify your position. MoneyFellows is in use by several corporates in Egypt, to enable their employees to participate in the circular savings model.
Ahmed Wadi is the founder/CEO of MoneyFellows, pointed out the strategic significance of their relationship with Sawari Ventures and Partech – two investment funds of international repute, and equipped with the technological expertise that will guide them through best industry practices.
Note: MoneyFellows was one of the graduates of Flat6Lab’s 2016 cohort.
