Waza, a Y Combinator-backed fintech startup, has raised $8 million in seed funding to accelerate its growth in cross-border payments and liquidity management. The investment is divided between $3 million in equity financing from Y Combinator, Byld Ventures, Norrsken Africa, Heirloom VC, Plug and Play Tech Center, and Olive Tree Capital, with $5 million in venture debt provided by Timon Capital. This funding is intended to fuel Waza’s expansion beyond its current operations in Ghana and Nigeria, as well as to develop new trade finance and payment products that meet the needs of large enterprises across various sectors.
Notably, Waza is targeting a global $7 trillion market opportunity, and the funding will support its initiatives to expand internationally and diversify its product offerings. Part of the funds will be directed toward developing a banking product for businesses, similar to Brex or Mercury in the U.S., focusing on B2B payments. Waza’s founders plan to use the investment to further strengthen their infrastructure, ensuring they offer cheaper and faster payment solutions compared to their competitors in the cross-border payments space. They also aim to pilot trade financing solutions, addressing liquidity challenges faced by large enterprises operating in frontier markets.
Why The Investors Invested
The decision by investors to back Waza with $8 million reflects their recognition of both the scale of the problem Waza is solving and the potential for high returns. Cross-border payments and liquidity management are critical pain points for businesses, particularly in Africa, where trade deficits and a shortage of tech solutions exacerbate the challenges for large enterprises and multinationals. By addressing these specific needs, Waza positions itself to capture a significant share of the B2B payments market, which is projected to surpass $250 billion globally by 2027.
Investors were likely drawn to Waza’s rapid growth trajectory. Within five months, the company increased its monthly payment volumes from $280,000 to $70 million, translating to an annualized volume of $700 million. This 20% monthly growth, coupled with its ability to generate revenue through FX spreads and transaction fees, makes it an attractive investment. Moreover, Waza’s control over its payment infrastructure — enabling faster and more affordable solutions — gives it a competitive edge in a crowded market, where fintechs are increasingly challenging traditional banks.
Another critical factor is the team’s experience. Co-founder Maxwell Obi’s deep industry expertise, gained from his time at Sendwave, where he navigated partnerships and regulatory relationships across Africa, Asia, and Latin America, has provided Waza with valuable market insights. This, combined with CTO Emmanuel Igbodudu’s technical leadership from Revolut and experience in fintech, reassures investors of the startup’s ability to execute its ambitious plans. Timon Capital, which provided the venture debt, emphasized the founders’ understanding of cross-border flows and their pursuit of a massive opportunity in emerging markets.
A Look at Waza
Waza was founded in January 2023 by Maxwell Obi and Emmanuel Igbodudu. Both founders bring substantial fintech experience to the table. Obi, a seasoned entrepreneur, previously co-founded Amplify, a Nigerian fintech acquired by Carbon, and held senior roles at Zepz subsidiary Sendwave, where he gained firsthand insights into the complexities of cross-border payments. His experience during Sendwave’s $500 million acquisition by Zepz inspired him to create a solution to the liquidity and payment challenges faced by businesses in Africa.
Igbodudu, Waza’s CTO, comes from Revolut, where he led the Vaults team. He also held engineering positions at prominent Nigerian fintech companies, including Carbon, Moniepoint, and Fairmoney. Their combined technical and operational expertise positions Waza as a formidable player in the fintech space.
Waza’s primary markets are in Africa, specifically Ghana and Nigeria, though the company aims to expand into other regions across six continents. The startup’s core product is a cross-border payments platform that helps businesses manage liquidity and pay suppliers worldwide. Unlike consumer-facing fintechs, Waza focuses on B2B transactions, providing tailored solutions to multinational organizations, importers, traders, and fintech developers. The company’s broader vision includes developing additional trade finance products and banking services for businesses, positioning itself as a key player in Africa’s growing fintech ecosystem.
Through its robust platform, Waza aims to revolutionize cross-border payments by offering faster, more affordable services, while also addressing the broader liquidity needs of businesses operating in frontier markets.