Senegalese e-commerce startup raises USD 3.2M to transform retail sector

SENEGAL – Senegalese e-commerce logistics startup, Maad, has successfully raised USD 3.2 million in a seed funding round, aiming to transform the informal retail landscape in Francophone Africa.

This round saw participation from Ventures Platform, Seedstars International Ventures, Reflect Ventures, OuiCapital, Launch Africa, Voltron Capital, and Alumni Ventures, along with debt financing from Proparco and local banks.

Maad’s innovative platform connects suppliers with small retailers of Fast-Moving Consumer Goods (FMCG), providing a tech-driven solution that allows retailers to order products from a single source.

The service promises reliable delivery, competitive prices, and access to working capital loans. “Among startups operating in this space, Maad benefits from a clear first-mover advantage in Sub-Saharan Francophone Africa,” said Sidy Niang, co-founder, and CEO of Maad.

The newly secured funds will help Maad expand its operations within Senegal and introduce new financial services such as Buy Now, Pay Later through a digital wallet.

The company also plans to launch operations in another Francophone African country. Jessica Long, co-founder and COO, added, “Small retailers are central to neighborhood life and to Senegal’s economy. Maad builds scalable digital technology and core logistics infrastructure so that these retailers can make every day-need product consistently available to people who make less than USD 5 a day.”

Maad’s strength lies in its technology, which includes a fully in-house ERP system for managing orders, delivery, and warehouse operations. This system enhances efficiency throughout the logistics chain.

The startup also collects data points on products and retailers, which is processed and used to provide insights to suppliers, enabling them to make better decisions.

Maad’s innovative approach to digitizing the informal retail sector has the potential to significantly impact small business owners and consumers in Francophone Africa.

“Maad’s innovative approach to digitizing the informal retail sector in Francophone Africa has the potential to create a significant impact on the lives of small business owners and consumers,” said Dotun Oloworopoku, Managing Partner at Ventures Platform.

Investors are optimistic about Maad’s future. According to Charlie Graham-Brown, Seedstars International Ventures Partner, what sets Maad apart is their ability to navigate the complexities of the informal retail sector while maintaining a sustainable business model.

Their focus on profitability and efficient use of capital, combined with their first-mover advantage in a largely untapped market, makes them an attractive investment opportunity.

For all the latest fresh produce industry news updates from Africa, the Middle East, and the World, subscribe to our NEWSLETTER, follow us on Twitter and LinkedIn, like us on Facebook, and subscribe to our YouTube channel.