Credrails

Credrails is a Kenyan start up that offers a Software-as-a-Service (SaaS) solution to automate financial reconciliation by consolidating transaction data and flagging discrepancies. This provides customers with revenue assurance and operational efficiency. The company serves a diverse customer base, including banks, microfinance institutions, insurers, corporates, SMEs, and the rapidly growing FinTech sector in Africa, where fragmented financial systems and payment processors often cause inefficiencies.

The company was founded in 2020 by two female entrepreneurs. At a crucial stage in its development, the start-up raised US$3 million in a pre-Series A round, with FMO contributing US$1.5 million through its Ventures Program. FMO’s investment addressed a significant funding gap: across the African VC ecosystem only 2 percent of equity financing was directed to women-led startups in 2024. FMO’s investment has enhanced the company’s governance, operational capacity, and growth potential, positioning it to scale operations, expand market reach, and (potentially) become a leading player in the African open banking space.

Beyond funding, FMO has supported the company in establishing a board of directors and strengthening governance, ensuring long-term stability and strategic direction. FMO’s support aligns with its Gender Smart Criteria, contributing to SDG 5 (Gender Equality) by promoting women-led entrepreneurship and gender diversity in technology roles. As the company plans to expand its workforce significantly, from 23 employees in January 2024 to over 125 by December 2026, it will also contribute to SDG 8 (Decent Work and Economic Growth).

Işık Tarım Türkiye

A family-owned agri-processing company in Türkiye, engaged in an integrated value chain for organic fruit-based food and consumer products was seeking source capital to support its business growth due to permanent working capital requirements. To achieve this, the company required long-term financing, which is typically not available from local commercial banks. A key challenge was securing foreign exchange funding, essential for its supply chain, as local financial institutions do not provide the necessary loan structures. This gap in the market made this long-term financing financially additional.

One of the company’s key success factors is its Happy Village program, which integrates over 4,000 smallholder farmers into an organic production network. The program offers technical assistance, input supplies, organic certification, training in organic farming practices and post-harvest produce purchases, helping the farmers meet high ESG standards that are uncommon in the local market.

To support the company’s growth, FMO provided an US$18 million long-term working capital loan. This loan, with a six-year tenor and one-year grace period, was tailored to the company’s long cash cycle. Local financial institutions in Türkiye do not offer such long-term financing, making this intervention critical for scaling up the company’s supply chain operations.

Beyond the financial aspect, the Happy Village program also ensures farmers benefit from timely payments, organic certification, premium pricing (10-30 percent above conventional rates), and access to better markets, increasing their financial stability. Additionally, the program improves village life, offering facilities such as playgrounds, fitness equipment, and educational opportunities for women and farmers’ families.

The investment supports job creation and income stability in rural Türkiye, contributing to SDG 8 (decent work and economic growth). Additionally, the financing is also eligible for both FMO’s 100 percent Green Label in view of climate mitigation and biodiversity and 100 percent RI Label in view of the company's support for smallholder farmers. This sustainable agribusiness model aligns with FMO's mission, promoting inclusive growth, environmental stewardship, and the potential for further development to bolster local economic activity.