Sylvia Duruson
Innovative AI-powered fintech startup BFREE has secured $2.95 million in fresh funding led by Capria Ventures, a VC firm investing in applied generative AI solutions across emerging markets.
This is a major milestone for the Nigerian company pioneering customer-centric solutions for both borrowers and lenders on the continent.
Founded in 2020 by Julian Flosbach, Chukwudi Enyi, and Moses Nmor, BFREE initially focused on automating credit collections through AI-powered software. However, their ambitions have since evolved into a comprehensive platform that evaluates and acquires non-performing loan portfolios from banks and fintechs. By structuring these as alternative investment assets, BFREE has opened new avenues for global funds looking to tap Africa’s budding credit markets.
The fresh funding will allow BFREE to significantly enhance its suite of tailored risk management solutions for financial institutions across the region. Susana García-Robles, Managing Partner at Capria Ventures, highlighted BFREE’s potential, stating, “The advent of Generative AI enables more efficient scaling, allowing the company to expand across Africa at reduced costs. BFREE is well-positioned to drive financial inclusion by improving accessibility while mitigating risks for lenders.”
Notably, BFREE has already facilitated over 4.5 million loan restructuring plans in Nigeria, Kenya and Ghana to date. Securing major banking partnerships underscores their ability to navigate the nuanced collections landscape using ethical AI solutions.
For co-investor Angaza Capital’s Olivier Munyeshyaka, BFREE’s tech-driven approach stood out: “Having witnessed collections challenges firsthand, we’re confident this partnership will catalyze positive change by unlocking new opportunities across the continent.”
The diverse investor pool spanning Capria, Angaza, GreenHouse Capital, Launch Africa, Modus Africa, Axian CVC and angel investors signals widespread confidence in BFREE’s ethical value proposition for transforming Africa’s credit markets.
According to CEO Julian Flosbach, evolving from collections software to a holistic credit platform was a strategic shift. “Our AI solutions empower distressed borrowers to regain financial stability while promoting security for creditors. With this substantial funding, our ability to drive positive impact will accelerate rapidly across Africa.”
As internet and smartphone adoption rises, seamless access to credit could catalyze greater financial inclusion for millions. By leveraging strategic investment alongside ethical AI technologies, BFREE is positioning itself as a pacesetter in responsible lending practices benefiting both borrowers and financiers.
In Africa’s rapidly evolving fintech landscape, BFREE exemplifies how the latest technologies can be leveraged innovatively to solve long-standing systemic challenges and forge a more inclusive financial future for the continent’s population.
