SMEs and Ventures

Lagos based Omnibiz raises $15 million for expansion

There is a growing number of startups across Africa that are helping to connect manufacturers with wholesalers and retailers.

Nigeria’s Ombibiz is among them and has been acknowledged for connecting fast-moving consumer goods (FMCGs) manufacturers to retailers through digitized supply processes. The platform makes use of a mobile app, a WhatsApp channel and a phone number to facilitate retailers in restocking their shops.

Omnibiz was founded in 2019 by Deepankar Rustagi and takes advantage of asset-light retail distribution. Once a retailer places an order on the Omnibiz platform, the goods are requested from partner distributors who can better their services by concentrating on warehousing.

The company has raised $15 million pre-Series A round ($5 million equity and $10 million debt) led by Timon Capital, Ventures Platform, Lofty Inc, Chapel Hill Denham, Chandaria Capital and Musha Ventures.

“We think the future of modern retail in Africa will be the savvy informal retailer, not shopping centres. We will empower shops to deliver excellent merchandising at an accessible price point to win their customers’ trust by offering the resources, equipment, and logistics.” Rustagi said.

“With the help of this finance, we will be able to treble the profitability of our retailers, establish a scalable and lucrative company, and move a step closer to revolutionizing African retail, according to Rustagi.”

He added that this round of funding will be essential in making the business scalable and lucrative. Last year, the company, raised $3 million to expand into new markets.

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