The Neobank wave is beginning to take shape in Africa, especially in Nigeria. In Nigeria, the new FinTech seeks to undertake legacy banks by offering cheaper and more personalized banking services...
Founded by a former CEO of an incumbent bank in Nigeria, Sparkle is one such fintech and has completed a $ 3.1 million seed round to scale its business.
Nigerians have a love-hate relationship with traditional banks.Nevertheless The number of active bank accounts in the country Over 100 million Many people are distrustful of banking services (from a population of about 200 million), inefficient service delivery, continuous downtime, bad debts and experience issues.
Neobanks are taking the opportunity and are competing for the attention of these banks but unsatisfied customers. Sparkle, like other neobanks on the market, is less common, such as splitting invoices and checking spending breakdowns, in addition to standard features such as savings, invoice payments, charges, requesting or sending funds. We are attracting crowded customers by taking advantage of no features.market..
“We’re in a way quite different because we tried to put financial services together rather than separate them from our lifestyles, especially as we see more people starting to live more digitally driven lives. “, CEO Uzomadoji I told TechCrunch in an interview..
“This means you can’t see your customers in terms of accounts, payments, deposits, or credits, but how can you help them do what they want at a particular time?.. This is Sparkle’s suggestion. To provide Nigerians with financial, lifestyle and business support services.
In April, the company launched Sparkle Business, which attracted a variety of poorly serviced users. It is a small business... Sparkle claims that the new business unit is well suited to this category. This category provides access to inventory and invoice management, tax advice, payroll and employee management services...
These businesses can access these features using their taxpayer number (TIN) and email address. This is the lowest format document on the enterprise market...
The combination of Sparkle, which provides banking services to individuals and businesses on a single platform, is unique. Other neobanks in the country — Hisada, VBank, FairMoney When carbon — — Are known To provide personalized services.At the same time, platforms such as Brass and Prospa are compatible with businesses of all sizes...
“As a small business, I don’t have a bank account on my cell phone. I’m in charge of my business. That’s why we put everything about our business in one place so we can do business wherever we are, “says Dozie. “For individuals, put everything in one place so you can do what you want. simply Wherever you are.. But the bottom line is that it provides the information you need to make voluntary decisions. “
Dozie highlights some of Sparkle’s features that customers may rarely get on other platforms. For example, a customer can see the transaction history with a particular beneficiary without looking at the financial statements, or see where each transaction was made. Schedule payment..
Sparkle’s design is also tailored to the way most Nigerians live offline.Customers can Have got Many You can switch at any time with Sparkle using your account (personal and business).They can use different platforms According to Dozie, a phone with the same enhanced security as other platforms that allow you to log in with one phone.
Since its launch last year, Neobank has more than 40,000 customers and 2,000 companies on the private bank side. Dozie said the company will begin charging individual customers a small fee to keep their accounts operational and will charge companies for most features except tax services...
Like most digital banks in the country, Sparkle is licensed by a microfinance bank. We also have a partnership with Visa to allow users to pay directly or digitally using their Visa card. Other partnerships are with companies such as Network International and PwC Nigeria.
Anyone who knows how Nigerian fintech spaces work knows that it can take some time to secure a license and partnership. Sparkle has been able to do this in less than a year, thanks to the CEO’s extensive experience and connections.
Prior to Sparkle, Dozie was the CEO of Diamond Bank and the last group managing director.he Prior to the merger with Access Bank, he oversaw the bank’s corporate, commercial and retail sectors.Business currently has 29 million strong customers..
Dozie is keen to use Sparkle to expand the capabilities of Nigeria’s banking and retail sector and continues from where it left off at Diamond Bank.As an investor, he involved a Nigerian cast in the seed round — major investors Leadway Assurance, Participant Trium Network, and a few unnamed wealthy people.The investment will be made after Sparkle is closed Friends and family have pre-seeded $ 2 million seed rounds within the past year.
He said he was able to raise money from foreign investors but chose to go with this group of investors to provide Sparkle with the experience and markets it needs to expand in Nigeria. rice field... He was also keen to get high-value individuals to invest in tech companies.
“”CollectivelyAs a group of investors and business builders, we are bullish Nigerians about the opportunities Nigeria and the country offer in terms of Build a global network and community all in one app, “said the CEO in a statement...
CEO told TechCrunch that Sparkle will use the investment for two purposes. Build robotic process automation to support mediocre and iterative processes and hire people across engineering, financial risk, and marketing.
Uzoma Dozie’s Sparkle raises $3.1M for personal, business neobank play in Nigeria – TechCrunch Source link Uzoma Dozie’s Sparkle raises $3.1M for personal, business neobank play in Nigeria – TechCrunch