B2B auto dealers marketplace, Shekel Mobility has successfully secured over $7 million in funding, comprising $3.2 million in equity and over $4 million in debt. Benjamen Oladokun, Co-founder, emphasized the pivotal role these funds will play in quadrupling the startup’s current ARR (Annual Recurring Revenue) of slightly over $2 million. The infusion of capital aims to fuel momentum as the company gears up for its next round of funding. In January, the startup announced a $1.95 million pre-seed investment led by Ventures Platform, with contributions from Y Combinator, Voltron Capital, and Zedcrest.

Ventures Platform co-led the subsequent seed round along with MaC Venture Capital. Other notable investors included Y Combinator, Rebel Fund, Unpopular Ventures, Maiora Capital, PageOne Lab Inc., Phoenix Investment Club, Heirloom VC, Pioneer Ventures, and several angel investors. Additionally, financial institutions like Zedvance, VFD Microfinance Bank, Zenith Bank, and Fluna extended the debt component, with some utilizing Shekel Mobility’s platform to finance auto dealerships.

Founded by Benjamen Oladokun and Sanmi Olukanmi, Shekel Mobility draws from their collective experience in the automotive industry, including the successful launch and exit of Eazypapers Technologies, a digital vehicle documentation platform catering to FMCG, mobility, and logistics companies.

Functioning as a mobility fintech, Shekel Mobility aids car dealers in sourcing, financing, and selling vehicles within the $30 billion African used car market. With aspirations to become the leading platform for launching and growing car dealerships, both locally and virtually, the company aims to achieve annual transactions totalling $10 billion by 2025. Presently, the auto dealer marketplace has facilitated transactions worth over $56 million, contributing to the growth of more than 1,400 auto dealers and spanning across 7,000 cars.

Central to the startup's growth strategy is its flagship product, Shekel Credit, which offers immediate financing access to auto dealers. The credit limits extend up to $200,000 for vehicle purchases, primarily falling within the $5,000 to $20,000 range. Shekel contributes 70% of the total cost as a loan to the dealer, with the dealer contributing the remaining 30%. Upon the sale of the vehicle to the end customer within a three-month period, the dealer repays Shekel, covering the loan interest and associated transaction fees.

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This business model, overseeing the end-to-end buying and selling process through dealerships, ensures a 0% default rate for Shekel Mobility. Oladokun emphasized the significance of Shekel Mobility's cautious approach in financing only auto dealers deemed to have long-term sustainability.

Building upon its success with the credit product, Shekel Mobility plans to introduce Shekel Business, designed to digitize informal trading processes within the auto dealership vertical. This suite of tools aims to assist dealers not only in inventory financing but also in streamlining sales processes. Oladokun highlighted the fundamental shift from solely lending to dealerships to providing additional digital tools and physical infrastructure, ultimately reducing the overall cost of owning car dealerships.

Kola Aina, Ventures Platform's founding partner, praised Shekel for its innovation in creating a pivotal market and expanding Nigeria and Africa's automotive industry. Marlon Nichols, MaC Venture Capital's founder and managing partner, acknowledged Shekel Mobility's potential to revolutionize Africa's automotive sector by empowering small businesses with essential financing, thus enabling the movement of millions of dollars within the Nigerian economy while providing affordable automobiles to locals.