Cameroonian fintech Koree has successfully closed a pre-seed funding round of $200,000, earmarked for the expansion of its merchant base. Founded by Magalie Gauze-Sanga, Koree facilitates the saving of spare cash on cards, offering a unique solution to the challenge of unused change in cash-based economies.
The funding round garnered support from key investors, including Tunde Akinnuwa, co-founder at Duplo, Cameroon Angels Network, Catalytic Africa, Digital Africa, and other private backers. The capital infusion is intended to fuel the growth of Koree’s merchant network, amplify its user base, and ultimately achieve product-market fit.
Koree addresses the spare change dilemma by employing a card and digital wallet system, enabling merchants to return customers’ spare change and create loyalty programs with cashback rewards. In line with its expansion plans, Koree is set to launch a marketplace that will reward users for their everyday purchases across 14 categories, such as bakery, supermarket, fast food, movies, and pharmacy.
Gauze-Sanga highlighted, “Consumers will now earn cash when they shop on the Koree app, and the earned money can be redeemed directly into their mobile money account.” The company plans to collaborate with referenced payment service providers to facilitate cashback redemption for users.
Since its September 2022 launch, Koree has amassed over 13,000 users, processed 50,000 transactions totaling $400,000, and generated 30,000 private wallets. The fintech’s revenue model involves charging merchants a subscription fee and a commission on each transaction. In June 2023, Koree secured victory in the Orange Fab Cameroon challenge, and later in October, it won the Ecobank Fintech Challenge, receiving $50,000 in non-dilutive funding for expansion and hiring in business development and engineering roles.
With a team spanning Cameroon, Côte d’Ivoire, Togo, Nigeria, and Senegal, Koree plans to establish a physical office in Douala, Cameroon, to foster team cohesion and a robust work culture.