Lipa Later
“Can African BNPL survive on debt capital alone when consumer credit losses outrun unit economics?”
Founded2018
HQNairobi, Kenya
FoundersEric Muli
Total raised~$25M+ (equity + debt)
Latest round$9.88M (late 2024)
IndustryFintech / Lending
The story
Founded 2018 in Nairobi as a tech-led consumer credit / BNPL platform serving Kenya, Uganda, Rwanda. Expanded across East Africa and into Nigeria, building merchant-funded installment lending plus a working-capital product. Despite raising $12M pre-Series A in 2022 and successive debt rounds, the company entered administration in March 2025 after months of unpaid salaries, missed supplier payments, and failed fundraising. Co-founder Eric Muli's post-administration attempt to raise a $5M facility against invoice receivables underscored the cash crunch.
Product timeline
2018
Founded as BNPL/consumer credit platform in Kenya· launch
2022
Raised $12M pre-Series A; expansion plans to Tanzania, Ghana, Nigeria· expansion
2022
Partnered with Lami Technologies to embed credit insurance on all BNPL purchases· insurance
2023
Closed $3.4M privately placed debt issuance· debt
2024
Closed KES 500M privately placed debt issue; targeted KES 2BN raise· debt
2025
Entered administration in March 2025; Joy Vipinchandra Bhatt of Moore JVB Consulting appointed administrator· distress
2025
Co-founder sought $5M from UK lender Advanced Global Capital two weeks after administration· distress
The stack
1 layer disclosed in Lipa Later’s embedded-finance stack
Lending
Lipa Later (in-house)Lipa Later BNPL (2/3/6-month consumer installments, up to KES 500,000)Merchant working capitalInvoice factoring (referenced in 2025 AGC term sheet)e-Commerce merchant solutions
Accounting gap: significant