Bringing Financial Inclusion to Immigrant Communities
LemFi, a trailblazing fintech platform dedicated to revolutionizing financial services for immigrants, has announced an impressive achievement in its journey. The company has successfully raised $33 million in its Series A funding round, with the lead investor being Left Lane Capital. Joining forces with LemFi on this exciting venture are prominent names like Y-Combinator, Zrosk, Global Founders Capital, and Olive Tree.
For countless individuals, migrating to a new country in pursuit of a better life is a monumental decision, but it often comes with its own set of challenges. Access to reliable and efficient financial services tops the list of these challenges, creating a barrier for immigrants seeking to establish themselves in their new homes. Founded in 2020 by Ridwan Olalere and Rian Cochran, LemFi emerged with a mission to dismantle these barriers and empower the next generation of immigrants.
Olalere and Cochran’s paths converged during their tenure at OPay, a successful African fintech platform. Drawing from their combined wealth of experience in navigating the complexities of cross-border payments in emerging markets, they set out to create LemFi as a solution that would change the landscape for immigrants.
As a first-generation immigrant himself, Olalere, who now serves as LemFi’s CEO, understands the unique struggles immigrants face. He shared, “Our vision stems from personal experiences of living on different continents and leading diverse teams. We’re driven by the idea of a world where financial services are universally accessible. While we’ve already enhanced the lives of over half a million people, we’re only scratching the surface.”
Today, LemFi has streamlined the process for immigrants to access essential financial services. Within minutes of settling in their new country, users can onboard with LemFi and utilize its multi-currency capabilities to send, receive, hold, convert, and save funds in both their country of origin and their new residence. Moreover, LemFi offers instant international transfers with competitive exchange rates, all without imposing fees for transfers or account maintenance.
Ridwan Olalere elaborated, “Our product is transformative because it addresses the limitations of traditional banks and other fintech platforms, which often shy away from dealing with less common or volatile currencies. This has forced immigrants to resort to risky informal channels or cobble together multiple services to fulfill their basic financial needs—until now.”
In 2020, LemFi made its debut in Canada, focusing on facilitating low-cost remittance payments to countries such as Nigeria, Ghana, and Kenya. Swiftly expanding its footprint, the company extended its services to the UK in 2021, simultaneously enhancing its offerings with the inclusion of 10 new African remittance corridors.
The acquisition of UK-based Rightcard Payment Services in late 2021 marked a strategic milestone for LemFi. This move enabled LemFi to secure an Electronic Money Institution (EMI) license from the UK’s Financial Conduct Authority. This license expanded the platform’s capabilities, providing users with higher transaction limits, e-money accounts, and more.
Matthew Miller, Principal at Left Lane Capital and now a member of LemFi’s Board of Directors, commented, “LemFi’s strategic approach to acquiring licenses and forming partnerships with financial institutions is a testament to their dedication. They’re poised to make a significant impact in cross-border payments for immigrant communities on a global scale.”
In 2023, LemFi reached another pivotal juncture by securing an International Money Transfer Operator (IMTO) license from the Central Bank of Nigeria through its subsidiary, Rightcard Payment Services. This license allows LemFi to collaborate directly with Nigerian banks, eliminating intermediaries and empowering users. The Central Bank of Nigeria’s Acting Governor, Folashodun Shonubi, acknowledged LemFi’s alignment with the bank’s objectives of enhancing foreign exchange availability and ensuring exchange rate stability.
Committed to serving migrant communities worldwide, LemFi’s journey is far from over. With the successful completion of its latest funding round, the company sets its sights on expanding its reach to the United States, Europe, the Middle East, and Asia. LemFi recently entered into Kenya, partnering with Pesa Swap, a local online and mobile payment solutions provider to help Kenyans send money into the country. LemFi’s vision is to continually innovate its product offerings to cater to the evolving needs of its diverse user base.
