Ivorian fintech startup Cauridor has raised $3.5 million in seed funding to continue building its payment rails, which facilitate faster and more affordable cross-border transactions in Africa. The company's platform supports mobile wallets, bank transfers, and cash pickups through a network of over 25,000 agents across Guinea, Senegal, Ivory Coast, Sierra Leone, and Liberia.

The need for efficient cross-border payment solutions in Africa is pressing, particularly in underserved regions like Francophone Africa. The majority of people and businesses in these areas still rely on outdated agent networks or struggle with mobile wallet integrations, resulting in high fees and slow transactions. Cauridor's founders, Oumar Rafiou Barry and Abdoulaye Bah, experienced these challenges firsthand when studying in Canada and trying to send money back home to Guinea.

In 2019, Barry and Bah launched BNB CashApp, a consumer-focused remittance platform that integrated directly with banks, mobile wallets, and an agent network. However, as the platform grew, the founders realized that Africa's fragmented and inefficient payment infrastructure was a major obstacle. They pivoted in 2022 to build payment rails for the region, eventually merging their consumer remittance business and B2B payment infrastructure under the Cauridor brand.

Today, over 90% of Cauridor's revenue comes from its payment rails business. In 2023, the company processed 2 million transactions and recorded a total payment volume (TPV) of $300 million, which grew to $500 million in 2024. Cauridor's hybrid approach, combining cash networks with digital infrastructure, has enabled it to operate remittance corridors to key markets like Ghana and Nigeria, and establish group-level contracts with major players such as Ria, MoneyGram, and Western Union.

Cauridor faces competition from other fintechs in the region, including Onafriq and Thunes. However, the company's strong local presence and hands-on customer service have helped it retain customers. Cauridor provides customer support to resolve common issues like rejected mobile money transactions due to incomplete KYC, and its ability to secure better forex margins has attracted major clients like MoneyGram.

Interestingly, competition in the cross-border payments space does not rule out collaboration. Some of Cauridor's competitors rely on its infrastructure in specific regions, just as it partners with companies like Thunes for a global reach. With the fresh funding, Cauridor plans to expand into new markets, including Mali and Nigeria, and boost its marketing efforts. The company is also preparing for a Series A round and exploring blockchain integration to streamline settlements and tap into the growing adoption of stablecoins in Africa's cross-border payment space.

The seed round was led by pan-African VC firm Oui Capital, with participation from Rally Cap, BKR Capital, and some angel investors. Cauridor's success has significant implications for the future of cross-border payments in Africa, and its innovative approach could pave the way for more efficient and affordable transactions across the continent.