What We Can Learn from TymeBank’s Recent $109 Million Investment

In late February of 2021, TymeBank, a major player in the South African digital banking space secured investments worth $109 million.

According to its executives, the capital rain came was a proof of trust from major investors from the Philippines and UK. Apis Growth Fund II is a private equity fund run by Apis Partner. Together with JG Summit Holding, they will invest over a $109 within the next 15 months.

In a period when businesses are scrounging for survival and holding onto government support, TymeBank is one of few African startups that have shown that investors aren’t scared of staking their millions in a venture if they can attest to their worthiness.

$109 millions a heck of money. Channeled resourcefully, it will skyrocket TymeBank’s growth and reinforce its dominance as South Africa’s most promising digital bank. But there is a lesson here.

What makes TymeBank unique? I mean, there are tens of digital banking platforms in Africa. Let’s start with the common traits.

Like most FinTech startups, TymeBank is giving South Africa’s 11 million+ unbanked population a fighting chance in a digitized economy. With financial inclusion at the heart of its campaign, it seeks to create easy access and process for South Africa’s underserved. Besides, it keys into the cashless gospel that’s been preached all over Africa for the better part of the last 20 years.

But like most African economies, South Africa is still cash-reliant in many ways. But that’s not a challenge. Not when you can synergize with major retail stores like Boxer and Pick n Pay. Thanks to a flourishing partnership, these stores and their 800+ outlets have served as registration centre for new and existing TymeBank customers all over South Africa.

With easy access and no paperwork required to register, TymeBank gained 50,000+ users in its first quarter and is on track to serve over 3 million users globally by mid-2021.

There is so much we can learn from TymeBank’s 2-year success journey. But one lesson stands out. In the world of business, you cannot scale your support system until you scale your individual success. As the aftershocks of covid-19 lingers into the decade, more investors will only put their money where they see proof of progress.