LAGOS, NIGERIA – Haul247, an end-to-end logistics tech platform connecting businesses to haulage and warehousing assets, has raised $3 million in a seed funding round. Haul247 will use the investment to increase its market share in Nigeria, expand to other African markets, recruit talent, and develop its technology.
Alitheia Capital led the $3 million seed funding round via its uMunthu Fund, while Investment One participated. This follows a pre-seed funding round in 2021 by Khafid Gbadamosi and Horsham Gates. More recently, the company was selected as one of the recipients of the 2022 Google for Startups Black Founders Fund.
With over a thousand trucks on its roster and about 151,000 sqm of warehouse space available across various locations, Haul247 provides a unique platform for businesses to seamlessly book trucks and warehouses across multiple geo-locations in Africa using real-time technology.
Africa’s logistics industry remains fragmented, with over 80% of the market being operated by informal carriers that own one to three vehicles.
“Africa’s logistics sector continues to be hampered by a lack of supporting infrastructure, bottlenecks in service delivery, and a widespread informal approach to logistics business,” says Sehinde Afolayan, CEO of Haul247. “Haul247 was founded to address the supply-demand mismatch in the ecosystem and optimize logistics service delivery in key African markets.”
Afolayan, who has over a decade’s experience in the African supply chain business, believes that solutions to logistics in Africa that do not solve warehousing challenges will be more costly, inefficient, and risky.
“Our platform connects businesses with reliable and efficient haulage and warehousing assets, making the movement of goods across the continent easier and faster. With the support of our investors, we will expand to new markets, recruit more talent and develop our technology to make logistics even more accessible and efficient for businesses in Africa”, he says. Afolayan believes this funding round will help Haul247 cement its position as Africa’s Airbnb for trucks and warehouses.
Tokunboh Ishmael, Managing Partner at Alitheia Capital, adds, “We are excited to be at the forefront of optimising logistics service delivery in key African markets, as trade and commerce is a key lever for driving development. Our investment further enables Haul247 to provide a seamless logistics solution for transporting and storing goods across the continent in a way that unlocks value and amplifies impact for individuals and companies throughout the value chain”.
Haul247’s proprietary software enables individuals, enterprises, manufacturers, and FMCGs to book logistics services in three simple steps quickly. The software takes an order request from a shipper, attaches a quote, and then matches the request with the most suitable truck and warehouse for efficient fulfillment.
Companies looking for warehouse facilities can also use the same process, making it an efficient and versatile platform for all logistics needs. Additionally, the system allows shippers to track the status of their goods until they reach their destination.
The founders of Haul247, Sehinde Afolayan, Tobi Obasa and Akindele Philips, believe the company is well-positioned to unlock Africa’s commercial potential while delivering value to clients and partners.
Experts globally have identified logistics as critical to The African Continental Free Trade Area’s (AFCFTA) success. According to the World Economic Forum, demand for intra-African freight will see a 28% increase by 2030, bringing benefits and transformation to the continent’s broader economy.