4G Capital raises $2m for onward lending to SMEs in East Africa

4G Capital has raised a $2 million debt facility from Ceniarth LLC for lending to SMEs in East Africa. The investment, which is its second round of fundraising, brings the total raised to $4million.

4G Capital will use the investment for onward lending to its growing customer base of informal micro, small and medium-sized enterprises across Kenya and Uganda.

According to Wayne Hennessy-Barrett, CEO and Founder of 4G Capital:  “We have surpassed all key performance targets for 2019, and Ceniarth’s investment will help us meet the demands of our growing customer base and continue our positive impact into the future – a fantastic way to end a great year.”

Since its inception in 2013, the firm lent over 750,000 loans valued at $90m.  Over the last 12 months, revenue has increased by 97% and it has supported over 60,000 MSMEs.  By the end of this year, the firm would have lent $43.6m, surpassing all expectations.  Repayment rates remain above national averages, at over 94% (without refinancing).”>

“With this expansion comes great responsibility to ensure that customers understand and benefit from these services and are not exploited by providers focused more on growth than client impact.  We are proud to support 4G Capital as a best-in-class financial lender that listens to the needs of the communities that it serves,” Diane Isenberg, Founder of Ceniarth said.

The firm and the investor share a fierce passion for improving conditions for the underserved and neglected businesses of the African economy by providing financial services that sustainably unlock potential and help communities.

4G Capital understands that small businesses benefit from a level of continuous support when handling credit.  Therefore, the company offers customers a curriculum of enterprise and financial literacy training blended with appropriately sized working capital loans.  This approach has seen 4G Capital’s customers increase their revenue by an average of 82% year on year.

Previous articleHotels.ng hires former Cars45 executive as new CFO
Next article5 African startups set to pitch at the Migration Challenge 2020
Gbenga Ajao
Gbenga Ajao is a journalist. He has garnered experience in print, electronic and new media. He is passionate about mobile and web technology.

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.