The B2B e-commerce marketplace, Fatura, has closed a $3m pre-series A investment round.
The round was co-led by Sawari Ventures and Arzan VC, with the participation of Egypt Ventures, EFG-EV, The Cairo Angels, as well as Khwarizmi Ventures.
The B2B marketplace was launched in late 2019, and has already crossed the EGP 1bn yearly GMV milestone in the fast moving consumer goods (FMCG) sector alone.
Fatura is a mobile application that connects wholesalers and manufacturers with retailers in different industries. The start-up has been operating in the FMCG industry and it is currently piloting in other industries.
During the past year, the start-up also extended its reach to more than 25,000 retailers and more than 500 wholesalers and manufacturers across 20 governorates, exchanging more than 10,000 SKUs.
Farida has also cracked the surface of financial services by introducing digital lending, with focus on retailers financing, aiming to add more services in that area in the near future.
“Fatura’s existing infrastructure has enabled them to expand their offerings to new customers,” said Hany Al-Sonbaty, Managing Partner at Sawari Ventures, adding, “The team has demonstrated that they have the vision to identify new opportunities and the prowess and agility to implement and deliver. We are excited to become part of their journey.”
Farida CEO Hossam Ali commented on the news saying, “There is a great opportunity in the B2B space in Egypt, that is growing as the players are becoming digitally mature and ready.”
“Collectively, the digital B2B players in the FMCG space capture less than 5% of the market and there is a long way to go,” he added, “Our conviction is to stay asset-light, be inclusive to all the industry stakeholders and to attract the best on-ground acquisition force across the country.”
Fatura has built a strong foundation and infrastructure that enables it to monetize its data and services.
The company’s future plans include new services that support the different players in its ecosystem including manufacturers, wholesalers and retailers. This is in addition to multiple digitisation initiatives, with a focus on digital payments and regional expansion into new markets.
“Being part of Fatura’s success story is exciting for us,” said Hasan Zainak, Managing Partner of Arzan Venture Capital, “The FMCG industry is in need of Fatura’s product, which will solve many challenges faced by small retailers.”
Also, Fatura’s financial technology (fintech) angle complements the core product and enables retailers to scale their business further with less working capital constraints, Zainal said.
This investment will gear Fatura to extend its services beyond e-commerce and digital lending, to optimise the exchange of goods, money, and information in the B2B context. Meanwhile, it will help the company focus on convenience and the different users’ experience.
