In the bustling landscape of Africa’s tech ecosystem, a growing number of local talents are finding opportunities with Big Tech firms and global startups, snagging remote jobs that open up a world of possibilities. However, a persistent challenge remains for many of these freelancers and remote workers—they struggle to navigate the complexities of getting paid in a seamless manner. Issues such as opening accounts that accept US dollars, dealing with incompatible payment platforms, and enduring slow invoicing and payment processes plague their financial interactions.
Amidst this backdrop of hurdles, a shining beacon emerges in the form of Raenest, a local fintech company determined to revolutionize the payment landscape. Recently securing a substantial $11 million in Series A funding, with QED Investors at the helm, Raenest is poised to expand its footprint across the African continent. This infusion of capital marks a significant milestone for the company, setting the stage for transformative growth and enhanced services.
Empowering Freelancers and Businesses with Innovative Solutions
At the heart of Raenest’s mission lies Geegpay, a retail product introduced in early 2022 to cater to freelancers seeking virtual USD, GBP, and EUR accounts. These accounts prove to be invaluable for freelancers, enabling them to effortlessly receive payments, manage multi-currency wallets, and seamlessly convert currencies as needed. Moreover, Raenest offers virtual and physical debit cards that readily accept various currencies, including the ubiquitous U.S. dollars.
Expanding its horizons beyond the realm of freelancers, Raenest unveiled Raenest for Business in March, extending its suite of financial services to African businesses. This strategic move equips businesses with the necessary tools to send and receive international payments, fostering smoother transactions and enhanced financial interactions on a global scale.
Evolution of Raenest’s Business Model
Interestingly, Raenest embarked on its journey not with freelancers in mind, but rather as an Employer of Record (EOR), aiming to facilitate compliant payments from foreign companies to African employees. However, a pivotal realization dawned upon the founders, including Victor Alade, Sodruldeen Mustapha, and Richard Oyome—the true challenge lay in individuals grappling to receive payments rather than companies initiating them.
CEO Alade, drawing from his background as a former software engineer at prominent companies like Jumia and Andela, recognized the pressing need to address this pain point. Leveraging their collective experience with African fintechs like LemFi and FairMoney, the Raenest team swiftly pivoted its focus towards developing solutions that catered to the needs of freelancers and businesses alike, marking a crucial turning point in the company’s trajectory.
Amidst a competitive landscape and shifting industry dynamics, Raenest’s strategic decision to pivot towards offering African businesses a robust platform for international payments has proven to be a game-changer. The convergence of market forces and emerging opportunities propelled Raenest into the forefront, providing a much-needed service for local businesses seeking to streamline their cross-border transactions and payment processes.
Scaling new heights to serve a diverse clientele, Raenest has processed over $1 billion in payment volume since its inception, marking a remarkable 160% growth between 2023 and 2024. This impressive feat underscores the company’s commitment to empowering individuals and businesses across the continent, with over 700,000 users benefiting from its services for a myriad of financial needs, including receiving payments from global platforms, online shopping, and subscriptions.
Raenest’s strategic positioning within the fintech landscape sets it apart from its competitors, with a keen focus on delivering tailored solutions for both individuals and businesses. By prioritizing speed, security, reliability, and compliance, Raenest has successfully cultivated a loyal user base that appreciates the seamless experience offered by the platform.
Expanding its horizons beyond cross-border payments, Raenest envisions creating a comprehensive financial ecosystem that empowers Africans to earn, invest, and grow their wealth irrespective of their geographical location. This ambitious vision serves as a guiding principle for the company as it prepares to unveil new products and services in the near future.
Stay tuned as Raenest embarks on its next phase of growth, deepening its roots in Nigeria while setting its sights on expansion into Egypt, Ghana, Kenya, and the U.S. Armed with strategic partnerships and a dedicated team of professionals, Raenest is poised to revolutionize the financial landscape for Africans, bridging the gap between local and global markets with innovative solutions that drive economic empowerment across the continent.
