Nigerian-based logistics startup, Kobo360 has raised up to $1.2 million in a pre-seed funding round after being accepted into the YCombinator class of 2018. The round which was led by Western Technology Investment and Nigeria’s Verod Capital Management.
The startup intends to use the funds to pay drivers online immediately after completing a successful haul.
Kobo360 developed an Uber-like app that connects Nigerian truckers to companies with freight needs. In 2016, Kobo360 co-founder Obi predicted that Kobo would surpass FedEx, UPS, and DHL to become Nigeria’s largest and most innovative logistics platform, a dream the company is working hard to realize.
Within just 4 months since their launch, Kobo360 reportedly processed orders worth an estimated $2.8 million. The company reportedly coordinates 5,000 trips a month, has served 324 businesses and moved north of 37 million kilograms of cargo since 2017. It currently has 5,480 active drivers using the platform.
Kobo360 is looking to launch its app in Hausa and Pidgin by August this year. It also plans to add 20,000 trucks on its platform and expand to Togo, Cote d’Ivoire, Ghana, and Senegal.
Kobo360 is also launching the Kobo Wealth Investment Network, or KoboWIN — a crowd-invest, vehicle financing program. Through it, Kobo drivers can finance new trucks through citizen investors and pay them back directly (with interest) over a 60-month period.