Lulalend Secures $35M in Series B Funding Round to Unveil Lula, a Digital Bank for South African SMEs
Lulalend, a digital business lender based in Cape Town, South Africa, raised $35 million in a Series B funding round that was led by Lightrock, a global impact investor.
Other investors included the International Finance Corporation (IFC), Quona Capital, and newcomers DEG, Triodos Investment Management, and Women’s World Banking Asset Management.
Lulalend plans to utilize the money to expand its loan book more quickly, advertise new solutions, invest in digital capabilities, hire more employees, and hasten the release of Lula, a new digital business banking product.
Trevor Gosling, co-founder and CEO of Lulalend, said, “We’re really appreciative for the support and belief these global pioneers in impact investment have placed in our firm. We look forward to unleashing the immense potential we feel lies at Lulalend through our cooperation with them.”
The company wants to connect with South Africa’s more than 2 million formal and informal SMEs, whose financial needs are still woefully unmet. With the additional money, it will be able to meet the growing demand for the quick access to working capital it provides businesses and speed up the launch of Lula, its new digital banking solution for SMEs.
“We think Lula will revolutionize the way small business owners in South Africa handle their cash flow since it gives them access to a single, incredibly user-friendly digital platform. Making their lives easier, saving them time, and enabling them to concentrate on expanding their business,” continued Gosling.
In addition to an AI-driven cash flow management tool and real-time access to capital through its current lending options, Lula will provide a bank account specifically designed for SMEs. Without the need for time-consuming branch visits, account opening may be completed entirely online, and our Customer Experience team will provide the quick, helpful service that is lacking from traditional banks.
