Billboxx Raises $1.6 Million In Pre-Seed Funding To Empower Nigerian SMEs

Nigerian fintech startup Billboxx has secured $1.6 million in pre-seed funding to address the cash flow challenges faced by small and medium-sized enterprises (SMEs) in Nigeria. The funding, which combines debt and equity, comes from prominent investors including Norrsken Accelerator, Kaleo Ventures, 54 Collective, P2Vest, and Afrinovation Ventures.

Launched in 2023 by founders Justus Obaoye and Abdulazeez Ogunjobi, Billboxx aims to alleviate the common issue of delayed payments between SMEs and their larger enterprise clients. The company offers an invoice financing service, enabling SMEs to receive early payments before their clients pay up. This service, however, requires approval from the enterprise partner and comes with a financing fee of up to 5%, in addition to a 1.5% transaction fee for payments processed through the platform.

Billboxx’s impact is already evident, with the startup processing ₦1 billion monthly and maintaining a perfect track record of zero defaults. The company’s platform provides SMEs with financial tools to streamline billing and cash flow management, moving away from manual processes such as Excel spreadsheets.

What sets Billboxx apart is its approach to customer acquisition through partnerships with large enterprises. The company has already secured business relationships with major players like Monument Distillers and the International Institute of Tropical Agriculture (IITA), distinguishing itself from competitors that focus on mid-market businesses. By providing tailored financial solutions for SMEs, Billboxx is carving out a niche in an underserved market.

With its latest funding, Billboxx is set to expand its operations, grow its team, and introduce new features. While the company remains tight-lipped about its upcoming product innovations, one new feature will focus on helping SMEs tap into corporate ecosystems, further strengthening their market position. The company’s long-term vision is clear: to become the financial backbone for SMEs across Africa.