Nigerian startup Traction, a comprehensive business solutions platform designed exclusively for African MSMEs, is planning continental expansion after serving 70,000 customers and banking US$6 million in funding.
Founded in 2020, Traction has developed a comprehensive one-stop platform that enables businesses to accept payments, manage finances, and access essential operational tools. Business owners can accept payments via POS terminals or virtual accounts, use point-of-sale software to record their sales, track inventory, and manage customers through CRM and loyalty solutions.
The platform also offers a range of financial services, including merchant wallets, cash advance loans, savings, and bill payments. Traction obtained a payments solution services license from the Central Bank of Nigeria last year, allowing it to operate as a payment solution provider across various payment categories.
“Our mission is to fuel businesses on their growth journey, providing a suite of solutions, including cutting-edge payment systems, hassle-free loan facilities, and essential business tools,” co-founder Dolapo Adejuyigbe told Disrupt Africa.
Accessible via both web and app, Traction’s platform empowers business owners with innovative tools that streamline their operations and enhance overall efficiency.
“We’re dedicated to being the go-to platform for African MSMEs, providing the resources and support they need to succeed. We’re passionate about fostering a thriving community for African MSMEs. We offer financial education, networking opportunities, and strategic partnerships, empowering businesses to reach their true potential,” said Adejuyigbe.
Traction’s journey began with building business tools to optimise operations, but recognising the untapped potential of MSMEs in Africa, it soon expanded its offerings to include payment solutions, loan facilities, business tools, and community building. Now, it is planning further growth and development, having recently raised a US$6 million seed round of funding.
“Our progress has been remarkable, and we’re proud to announce that we now process a month’s worth of transaction volume in just a single day. In 2022, we achieved remarkable growth with a 7x increase in revenue and an 8x surge in transactions, while serving over 70,000 businesses in Nigeria,” said Adejuyigbe.
“The demand for our services is overwhelming, and we firmly believe that the market has even more potential than we can currently accommodate. With the new funding in place, we are eager to seize the opportunity to expand our reach and cater to customers across different states. We are confident that we can fully capture the market and deliver exceptional value to our clients. “
Currently, Traction is operational in 16 states in Nigeria, but Adejuyigbe said it has plans to expand further within Nigeria and, in the near future, into other African countries.