Klump

Klump, a Nigerian financial technology company headquartered in Lagos, was established in 2021 to address the low credit accessibility in Africa. The company operates as a Buy Now, Pay Later (BNPL) platform, enabling customers to acquire goods and services and pay for them over a period of time. The founders, Celestine Omin (CEO & CTO) and Olufunbi Falayi (COO & CPO), possess combined experience from prominent technology and e-commerce companies including Paystack, Konga, Andela, Amazon, and H-E-B.

The firm's core market is the African e-commerce sector, where credit card penetration remains significantly low. Klump targets both individual consumers and businesses, providing a payment solution for online and in-store checkouts. The business model centers on offering installment payment plans to consumers, while merchants receive full payment for the transaction on the next business day. Revenue is generated through small interest rates applied to the customer's outstanding balance. Klump's services are being adopted across various sectors, including retail, education, travel, and healthcare.

The primary product is the "Pay with Klump" checkout option, which allows customers to split their purchase cost into four equal installments over three months. An initial payment of 25% is required at the point of sale. A key feature is Klump's proprietary credit eligibility and fraud detection engine, which assesses a customer's creditworthiness in under three minutes, a significant reduction from the typical industry standard in Nigeria. This technology facilitates responsible lending by evaluating a customer's ability to repay. In March 2022, Klump secured $780,000 in a pre-seed funding round led by Seedcamp, with participation from numerous venture capital firms and notable angel investors. This capital is being utilized to enhance its credit decision engine, expand its team, and forge new merchant partnerships.

Keywords: Buy Now Pay Later, BNPL, financial technology, consumer finance, point-of-sale financing, e-commerce payments, installment payments, Nigerian fintech, Lagos startup, Celestine Omin, Olufunbi Falayi, Seedcamp, credit access Africa, merchant payment solutions, online checkout, retail financing, flexible payments, digital lending, fraud detection engine, responsible lending