South African-based shipping platform TUNL has secured an undisclosed amount in its seed funding round, a move aimed at bolstering its marketing efforts for over 1,300 small and medium-sized enterprises (SMEs) across Africa. The funding round was led by venture capital firm E4E Africa, with additional participation from key investors, including Jonathan Smit, Jozi Angels, and Utopia Capital Management.
TUNL, which leverages AI-powered classification technology and automated tax tools to streamline logistics and reduce costs for SMEs and e-commerce exporters, has already made significant strides in lowering shipping expenses. The company claims to save its clients between 50% and 80% on shipping costs, a crucial factor for African SMEs looking to access international markets.
This seed round follows TUNL’s pre-seed funding in December 2023, where the startup raised $1 million from investors, including Founders Factory Africa (now known as 54 Collective), Digital Africa Ventures, E4E Africa, and Jozi Angels. The fresh capital will support TUNL’s mission to scale its marketing and operational capabilities to empower SMEs, particularly in e-commerce, to compete globally.
Tatenda Nyamuda, partner at E4E Africa, emphasized the platform’s potential to reshape the landscape for African SMEs. “We’re proud to support TUNL’s mission to empower African SMEs to compete on a global stage. Their platform is a game-changer, levelling the playing field and enabling e-commerce merchants and other SMEs across the continent to access new markets, solving the significant cost-logistics barrier.”
Since its inception, TUNL has demonstrated notable progress. The platform has been instrumental in facilitating international sales for South African brands, including boosting Bambalam’s sales of dungarees by tenfold and reducing Versus Socks’ operational costs by 30%.
Craig Lowman, co-founder of TUNL, highlighted the company’s vision to democratize access to global markets. “We want to ensure that every business, large or small, can have an equal chance to convert overseas sales. To do this, we are reducing the costs and frictions of international shipping via our platform and tools.”
Sam Sturm, co-founder at 54 Collective, also expressed optimism about TUNL’s trajectory. “We invested early in TUNL because we’ve always thought that the problems they’re solving for South African merchants are global problems. We’re deep believers in what they’ve built so far and are excited for what’s next.”
With over 1,300 SMEs already onboard, TUNL’s platform aims to continue driving growth for African businesses looking to expand their reach beyond local markets. The company’s next steps include expanding its technology stack and deepening its marketing capabilities, ensuring that more SMEs can navigate the complexities of international shipping and export logistics.
As African e-commerce continues to grow, platforms like TUNL are positioned to play a vital role in overcoming the logistical challenges faced by SMEs, particularly in the cost-heavy world of cross-border shipping.