Payday Raises $3 Million Seed Funding After Hitting 330,000 Users

Payday has raised a $3 million seed round led by Moniepoint Inc. Additional investors joined Techstars, Ingressive Capital, HoaQ, and DFS Lab in the round. Dare Okoudjou, CEO of MFS Africa, and Tola Onayemi, CEO of Norebase, were also present.

Payday, which was founded in 2021, allows its customers to send and receive money in over 20 different currencies. Its most popular feature is its cross-border payment option, which allows Africans to receive funds from outside the continent through accounts denominated in USD, GBP, and EUR. Another useful feature for many Nigerians who struggle to obtain foreign currency for payments is the production of virtual dollar cards that customers can use for international transactions.

Starlink launched in Nigeria in January 2023, with Payday as one of the primary beneficiaries. It was able to capitalise on Starlink’s debut by providing Nigerians with payment options and establishing itself as the country’s leading provider of cross-border payment services.

While Starlink’s popularity appears to be dwindling, Payday’s appeal has grown, and the company now has over 300,000 customers and claims to have processed over $1 million in Starlink payments. It had fewer than 100,000 users three months ago. It also handles 40,000 transactions per month totaling more than $25 million.