Anchor, a fintech firm, has acquired $2.4 million in a seed round to increase the scope of its product line.
This comes a year after the banking-as-a-service (BaaS) provider had received over $3.4 million in total, including over $1 million in a pre-seed round.
The latest investment round was led by Goat Capital and had participation from FoundersX, Rebel Fund, and some existing investors, including Y Combinator and Byld Ventures.
Anchor’s co-founder and CEO, Segun Adeyemi, in a press statement, said the company had learned some lessons in the industry in the last one year, which include determining proper pricing, developing revenue sources positively affecting customers’ bottom line, and re-engineering its compliance processes. With the latest funding, he said the company will double focus in those areas.
“We want to improve our end-to-end compliance system, invest in value-added products like our ledger system, and onboard more customers,” he added.
Partner at lead investor Goat Capital, Justin Kan, added, “The embedded finance market in Africa is nascent but growing fast at over 30% CAGR. Anchor’s growth rate is impressive and showing signs of becoming the category leader, which is something we look out for in our portfolio companies.”