Nigerian bookkeeping and finance startup, Kippa, has announced that it will close its agency banking division, KippaPay.
According to TechCabal, Kippa has let go of 40 employees; dependable sources claim that layoff notices have been distributed and that the affected employees’ last day is November 30.
“Those who will be staying back are directly connected to our other current and developing product lines,” a company representative said of the layoffs.
Kippa secured $8.4 million in September 2022 from international investors, including Goodwater Capital, TEN13 VC, Rocketship VC, Saison Capital, and others, to expand into agency banking, and went ahead to obtain a super agent licence.
The company blamed the shutdown on the devaluation of the naira, which he said ate deeply into their margins.
“Starting November 15, our KippaPay product will no longer be available for use by merchants. For now, the startup will be resolving any pending settlements and helping its merchants and partners transition off the product.” the CEO, Kennedy Ekezie said reacting to the company’s closure.
TechCabal reports that the company will soon discontinue Kippa Start, which enables users to register their small businesses online for 20,000 ($26) and enables small business owners to monitor their daily income and expense transactions, issue invoices, give customers receipts and create marketing materials like business cards. It also records who their debtors are
