Nigerian tech-enabled debt collection startup, BFREE, has secured $2.95 million in fresh funding to revolutionize debt collection practices across Africa. The funding round, led by Capria Ventures and supported by investors like Angaza Capital, GreenHouse Capital, Launch Africa, Modus Africa, Axian CVC, and Angel investors, reflects confidence in BFREE’s mission to redefine credit collection in emerging markets.

Founded in 2020 by Julian Flosbach, Chukwudi Enyi, and Moses Nmor, BFREE utilizes AI technology to empower consumers to address debt responsibly while offering effective, customer-centric solutions for lenders. With a focus on risk management in African economies, BFREE aims to contribute to financial market stability by assisting distressed borrowers and providing valuable insights to lenders.

Julian Flosbach, CEO of BFREE, emphasized the company’s commitment to transforming risk management for lenders in Africa. He highlighted the role of AI in developing solutions that not only assist borrowers but also empower lenders to navigate the complex landscape of non-performing loans in emerging markets.

The new funding will enable BFREE to enhance its suite of risk management solutions tailored for banks and lenders. While initially focused on credit collection automation software, BFREE has evolved its approach to include evaluating and structuring portfolio acquisitions in collaboration with third-party investors. These partnerships enable alternative asset managers and hedge funds to capitalize on emerging markets’ credit portfolios as a new asset class.

Since its inception, BFREE has experienced significant growth, serving 4.5 million borrowers across Nigeria, Kenya, and Ghana. The company has forged strategic partnerships with major commercial banks, underscoring its role in driving client development and innovation within the region. With the support of its investors, BFREE is poised to continue making strides in transforming the financial landscape of Africa.