T40 technologies, a tech startup transforming Nigeria’s intercity transport and logistics, said it has raised an undisclosed pre-seed funding round to expands its service across Africa.
Apart from scaling adoption of services on the continent, the company said it is also building a retail network that will allow Point of Sale (PoS) agents and other merchants to sign-up to sell retail bus and car tickets on the network for a commission.
This round was led by Reflect Ventures with participation from Startup Wise Guys, Rose lake Ventures, and select angel investors.
Founded in 2020, T40 says it creates value in the intercity transport and logistics industry in Nigeria and across Africa by digitally enabling transport companies to sell tickets, manage inventory, and generate revenue.
“T40 is making it easy for people in Africa to book transport or send parcels from city to city to city in Nigeria, and from Nigeria to Ghana, while making it easier for transport companies to sell tickets and manage their business,” said Michael Friedman, Founder of Reflect Ventures.
The co-founders of the company, Folarin Olulana, also CEO and his cofounder entered into the booking intercity transpart segment first as investors and service providers to the difficulty travelers face.
“We quickly understood the challenges for service providers, which brought us full circle in understanding the problems of this industry,” said Olulana. “Our approach takes all stakeholders into account so that we can align the interests of all players in this industry and deliver value.”
Transport companies struggle with high costs and a lack of alternative revenue streams which put a massive strain on profitability. Fixing Africa’s intercity transportation business challenge will help these businesses grow while providing great customer service.
However, in shaping the unique needs of businesses and companies to drive revenue growth the company provided a product platform to gain immediate access to T40’s operations tool to digitize their operations with no setup cost.
With 750 routers already added to its network, T40 system is growing in adoption rapidly in Africa, and more transportation companies can sign up to its network, the company said.