Tech in Africa
Uganda asset financing fintech startup Asaak secures $30 million in pre-series A equity and debt financing round. This round drew participation from new and existing investors such as Resolute Ventures, Social Capital, Founders Factory Africa, HOF Capital, Decentralized VC, End Poverty Make Trillions, and several other angel investors.
Asaak primarily offers motor vehicle financing to operators who are often unable to access formal banking institutions due to stringent security requirements. The startup works with partners such as mobility and e-commerce platforms to ease motorcycle ownership for its riders.
Co-founder and Chief Business Officer at Asaak Dylan Terrill alongside other founding members Anthony Leontiev, Kaivan Sattar, and Edward Egwalu are members of the company founding team. Riders are approved for motorcycle financing through behavioral and financial data such as their earnings, their trips completed, and ratings from platforms such as Safeboda, Bolt, Uber, and Jumia.
With the rider data from this platform, Asaak will create a borrower credit score. They can apply through the app or visit the branches to know if they qualify for the financing. Over $1500 in credit has thus far been issued out, payable at a 1% to 4% interest rate as per the credit score.
Source: TechCrunch
