Local fintech startup Leja has said it processed $2 billion (Sh258.79 billion) in business-to-business (B2B) payments during the ending year, a first since the launch of its services three years ago.
Leja is a cash management and bookkeeping mobile application that enables micro, small and medium enterprises (MSMEs) to manage their financial transactions, including sending money to other M-Pesa users, paying bills, purchasing M-Pesa float at affordable transaction rates, and buying airtime.
B2B is a type of commerce that involves the exchange of products, services or information between businesses, rather than from a business to a consumer (B2C). A B2B transaction is conducted between two companies, such as a wholesaler and an online retailer.
Leja said it has onboarded more than 1.4 million MSMEs since its inception three years ago, with nearly 60 percent of its clients being women and youth-led businesses.
“We’re proud to address the challenges MSMEs face, including limited access to affordable payment options and working capital financing. Many MSMEs previously relied on costly and inconvenient methods like cash, which impacted their operations,” Tekwane Mwendwa, co-founder and chief executive officer of Leja said.
The official said that currently, only 10 percent of Leja’s users utilise the B2B payment feature though they target to grow the user base to 50 percent to unlock significant transaction volume and revenue potential.
“On the lending side, we plan to expand our reach from five percent to 20 percent by partnering with financial institutions and non-governmental organisations to bridge the MSME credit gap,” Mr Mwendwa said.
Leja said it also plans to expand into two additional East African markets by the second quarter of 2025 as part of a strategy to drive revenue growth.
“Our mission is to close the substantial credit gap that hinders MSME growth, enabling micro-SMEs across Africa to thrive. We’re committed to delivering accessible and scalable solutions, while providing strong returns for our investors,” Mr Mwendwa added.
