Payhippo provides instant short-term loans to Nigerian small and medium-sized enterprises, disbursing funds via mobile phones in under three hours. The company applies its own credit-scoring formula using SME data and banking history to determine loan amounts; average loan size is about $1,300 and the minimum is around $200. Since founding in August 2019 and participating in Y Combinator’s 2021 summer cohort, Payhippo has disbursed roughly 5,000 loans totaling about $1 million, with a 97% repayment rate and $64,000 in revenues. The startup is growing fast (about 25% month-on-month) and plans to hire engineers and data scientists to optimize its technology and scale lending. Payhippo intends to grow its Nigerian customer base before expanding to other countries and aims to serve a much larger share of the country’s nearly 40 million SMEs. Payhippo is a Nigerian fintech that provides short-term, collateral-free loans to small and medium enterprises while helping them build credit histories. The company uses technology to underwrite loans, assess credit readiness, and determine safe loan amounts. Since launching in early 2020, Payhippo reports disbursing over 2,600 loans and achieving 25% month-over-month revenue growth with a 97% repayment rate. It offers flexible repayment at the end of the loan cycle rather than installments, and borrowers can access larger amounts as their credit scores rise. Payhippo plans to use the new funding to expand into more Nigerian cities and to grow its engineering team. The company also intends to hire a Head of Finance to support current growth.

Total raised

$4M

Funding rounds

2

Latest round

Seed

Latest activity

Nov 2021