Liquify: Closing Africa’s Trade Finance Gap
Ghanaian fintech startup Liquify is making significant strides in its quest to bridge Africa’s staggering $120 billion trade finance gap. Recently, they secured $1.5 million in a highly sought-after seed equity round, coupled with additional debt financing. This funding marks a pivotal moment for the company, which is dedicated to helping small and medium-sized exporters across the continent gain access to liquidity through an innovative, fully digital invoice financing marketplace.
Introduction to Liquify
Founded in 2023 by Nadya Yaremenko and Alberta Asafo-Asamoah, Liquify aims to revolutionize the way African exporters connect with global capital. The platform allows small and medium-sized enterprises (SMEs) to turn unpaid invoices into same-day cash, effectively addressing one of the most stubborn liquidity challenges faced by businesses in Africa. This rapid conversion of export invoices into working capital is crucial for companies needing immediate cash flow to operate effectively.
Investors and Financial Support
The recent equity funding round was spearheaded by Future Africa, with backing from various investors including Launch Africa, 54 Collective, Digital Africa, Equitable Ventures, and strategic angel investors. Additionally, Emerald Africa extended a debt facility specifically designed to support Liquify’s expanding user base of SME clients. This diverse backing not only provides financial stability but also signifies investor confidence in Liquify’s business model and growth potential.
Transition from Beta to Breakthrough
Since launching its beta version in late 2024, Liquify has made remarkable progress. The startup financed over 150 transactions, amounting to a combined total of $4 million. By automating critical aspects of the trade finance process—such as onboarding, KYC/AML compliance, credit checks, and settlement—Liquify enables verified export invoices to be financed in mere hours, rather than the weeks typical of traditional systems.
“Our technology strips away the paperwork, delays, and prohibitive costs that have long excluded SMEs from accessing formal trade finance,” explained co-founder and CEO Nadya Yaremenko. Her expertise in managing a $3 billion trade finance portfolio at Citi has equipped her with invaluable insights into the challenges that African SMEs face in securing traditional financing. Co-founder Asafo-Asamoah, with her background in impact investing, recognized that conventional capital tools often failed to be as agile or adaptable as the situation demands.
Expansion Plans
With new funding secured, Liquify is set to amplify its team in Ghana, focusing on roles across product development, technology, and customer success, and will also be making its entry into new markets within both Anglophone and Francophone Africa, starting with Nigeria. The startup is on the fast track to developing AI-powered risk and compliance engines that perform deep due diligence and allow for real-time decision-making—critical for navigating the fragmented and fast-paced export environment.
Benefits for SMEs and Investors
Liquify’s innovative approach has struck a chord with both SMEs and investors alike. Exporters, especially those in sectors like agriculture and light manufacturing, gain from instant liquidity that helps them manage cash flow more effectively. For global investors, Liquify presents an attractive opportunity to invest in short-term, self-liquidating trade assets that are relatively insulated from global market fluctuations.
As the company looks to the future, plans are already in motion to roll out structured investment products and new digital tools aimed at helping exporters manage trade documentation more efficiently.
Transformation of Trade Finance
“We’re not just financing trade—we’re transforming how trade finance works,” Yaremenko emphasized. By building the essential infrastructure needed for African SMEs to thrive, Liquify is committed to enabling faster growth with increased predictability and significantly reduced friction in accessing trade finance.
The fintech landscape in Africa is poised for evolution, with Liquify leading the charge toward a more connected and efficient trade environment.
