Togolese mobility startup operating in Francophone Africa, Gozem, has announced it raised $5m in a Series A funding round.
Togo and Singapore-based AIC, Thunes (TransferTo), Momentum Ventures (SMRT), Innoport Ventures (Schulte Group), CMC Ventures (National Express), and Liil Ventures (Mobility ADO) all participated in the round.
Gozem was created by Emeka Ajene in 2018. The startup offers users a suite of services, including motorcycle-taxi transport to car-taxi transport, e-commerce to delivery & logistics services, to various financial services.
Gozem offers its drivers an asset finance option, using a lease-to-own model for automobiles and related equipment.
The firm’s founders say the company is also focusing on delivering digital financial services and loans to its users using its network of drivers and merchants as agents. Individuals will also be able to use the Gozem app to trade cash for mobile money in this way.
“I think we have a fantastic differentiator. Generally speaking, our competitors are the telco, which offers mobile money services, and sometimes you have standalone digital wallets as well,” said Costamagna. “What we’re trying to offer is an integrated wallet solution that is included in a suite of different services. And so the key difference in the market is this.
The startup’s conversion into a super app, with a major focus on Fintech services, is also instrumental in deciding the size of the latest investment.
“Where we operate on the continent is kind of what some might call second-tier African markets. But we have an opportunity and believe in the model we’re pursuing. It’s a wide berth where there’s lesser competition, as discussed across all our verticals. While we are operating in four countries, we want to be embedded across the region over the next year,” Ajene said.
Costamagna has stated that the financing will assist Gozem to reach a population of over 200,000 people by 2025.