London-based Nigerian financial services platform focused on serving immigrants LemFi is poised to expand its operations and reach more markets globally with $53 million in new funding.
Founded in 2020 by Ridwan Olalere and Rian Cochran, LemFi has grown rapidly by helping diaspora communities in North America and Europe send money to emerging markets across Africa, Asia, and Latin America.
The platform now boasts over one million active users who rely on its multi-currency accounts to transfer money to 20 countries, including Nigeria, Kenya, India, China, and Pakistan.
Last year, LemFi recorded over $2 billion in annual transaction volume. Today, the platform processes $1 billion monthly, with $160 million coming from its fast-growing Asian corridor, where transaction volumes are increasing 30% month-on-month.
LemFi recently expanded into Europe, partnering with embedded finance provider Modulr. This partnership will enable the company to launch operations until it secures its license in the Republic of Ireland next month. Once fully operational, LemFi will serve 27 send-from markets and 20 send-to countries.
The company’s revenue model relies on transaction fees and foreign exchange spreads. A strong focus on fraud prevention has allowed LemFi to keep costs low, offering competitive pricing. “Fraud can significantly drive up costs,” said Olalere in an interview with TechCrunch. “We’ve managed to keep our fraud rate extremely low, allowing us to offer customers the best possible prices.”
LemFi’s Series B funding round, led by Highland Europe, attracted significant interest and closed in just four months. Existing investors like Left Lane Capital, Palm Drive Capital, and Y Combinator participated, along with new investors such as Endeavor Catalyst. The round brings LemFi’s total funding to $85 million.
The new funding will be used to extend LemFi’s services, scale its payment network and partnerships, and recruit talent to support its next growth phase. The company, which employs over 300 people across four continents, aims to deliver hyper-localized services in key immigrant markets.
