Winich Farms, a Nigerian Agtech startup making the supply chain of farm produce seamless for all stakeholders, has secured US$3 million in pre-series A funding to enhance its technology and optimize its operations. The round is a mix of equity and debt.
The equity funding of US$2.5 million came from Acumen Resilient Agriculture Fund (a East and West Africa focused impact venture capital fund ), Climate Resilient Africa Fund, Marula Square, Plug and Play, and Tekedia Capita. Lagos-based Sahel Capital supplied the $590,000 debt funding.
Since launching in 2020, Winich Farms has built an ecosystem of more than 150,000 users, including farmers, off-takers (small businesses and factories), logistics partners, and collection points agents. The company provides off-takers with inventory management tools that help them order and manage raw materials from farmers across Nigeria.
This is possible through the thousands of farm produce collection points that Winichfarm has accumulated across 30 out of the 36 states in Nigeria.
Back in the day, farmers had to wait for market days — sometimes every two weeks or even once a month — just to sell their produce. It left them in a tough spot, often relying on middlemen who took advantage of their desperation. But now, thanks to this company, they can sell whenever they want.
All they have to do is drop their produce at the nearest collection point, and they get paid within 48 hours. From there, the produce is gathered and shipped to off-takers. With geo-zone technology, Winich Farms ensures orders are fulfilled from the closest collection points, making deliveries quicker. For instance, buyers in Lagos get their orders from farmers in nearby Ogun or Osun states, cutting down delivery time.
The company is also helping smallholder farmers, who don’t have immediate access to the financial system, build their credit worthiness, by tracking and ranking their earnings over time and then connecting them to its financial institution partners.
It recently launched a debit card in partnership with Sterling Bank, allowing farmers to save their funds in the bank with the certainty that they could get it whenever they want.
The company’s GMV has grown 300% from US$10 million in 2022 to US$30 million at the end of the 2023 financial year. Last month, the company expanded into Tanzania to facilitate — not just local supply chains — but exportation into the Middle East and Europe.
Richies Attai, CEO and co-founder, said, “For us, Winich Farms is more than just a profit oriented business, but a cause at heart improving the lives of smallholder farmers, informal processors, and retailers who puts food on our tables daily but have been largely marginalized.
This funding is strategic towards further enhancing our technology infrastructure making it more user friendly, while advancing our data driven approach in enhancing the farmers ability to access financially inclusive services like credit and insurance to increase productivity, while scaling operations to accommodate our expansion plans.”
Tamer El-Raghy, Managing Director of Acumen Resilient Agriculture Fund (ARAF), said: “We are excited to partner with Winich Farms as their solution addresses a critical need for rural farmers in Nigeria by facilitating efficient market access Smallholder farmers face multiple bottlenecks along the value chain, limiting their productivity and access to markets, which in turn hinders their income potential and growth.
Winich’s technology not only connects rural farmers directly to buyers, it also connects them to financial products, towards providing them with access financing to facilitate increased production capacity. Investing in Winich aligns with our goal at ARAF of growing local businesses that support smallholder farmers towards increased productivity, sustainable agricultural development, better livelihoods, and increased food security”
Sherief Kesseba, Partner at Climate Resilient Africa Fund (CRAF), said: “We warmly welcome Winich Farms to CRAF’s portfolio. Winich connects smallholder Nigerian farmers to two things they desperately struggle to access: finance and end-markets. With a tech-enabled, Capex-light model driving efficient growth, we believe Winich will generate growth, and enhance climate resilience for farmers.”
Stefano Olcese, Plug and Play Tech Center, said: “The marketplace category in agtech has attracted the highest levels of capital in developing countries over the past few years. Winich Farms stood out as the top investment opportunity to us, successfully addressing the ‘middlemen problem’ by delivering value to both consumers and smallholder farmers.”
Biola Alabi, Partner at Acacia Ventures, said: “Winich Farms operates at the intersection of agritech and financial inclusion, which is why it perfectly aligns with our investment thesis and why we invested in them” General Partner at Acasia Ventures Biola Alabi says.
“With Riches’ deep-rooted personal connection to smallholder farmers, Chichebem’s technical expertise, and Winner’s operational experience, they offer a powerful combination. Their experience as second-time founders in this space further demonstrates their commitment to overcoming challenges and building a sustainable business.”
Elvira De Jong, Partner at Marula Square, said: “We invested in Winich Farms because of the strength and vision of their exceptional leadership team, whose deep expertise and passion for sustainable agriculture align with our values.
Their innovative approach to modernizing farming practices shows immense impact potential, particularly in improving food security and empowering local farmers. With a scalable business model and growing demand in the markets, Winich Farms offers not only a compelling opportunity to generate meaningful social and environmental change but also substantial financial upside for investors.”
