Egyptian startup Brimore, a social commerce and parallel distribution platform, has raised a US$3.5 million pre-Series A funding round to support its accelerating growth.
Founded in 2017, Brimore has built a platform that leverages the power of individual social networks to enable broad, cost-effective market access. It enables manufacturers to sell their products directly to end consumers through a network of micro-distributors across Egypt.
The startup’s platform, which includes payment and supply chain facilities, serves hundreds of SMEs, which sell thousands of products including packaged foods, personal care, and household goods through tens of thousands of social sellers in all 27 governorates across Egypt.
Brimore has now raised a US$3.5 million pre-Series A round led by Algebra Ventures, with participation from Disruptech, Vision Ventures, and returning investors 500 Startups and Flat6Labs. The latter two took part in Brimore’s US$800,000 seed round, raised last April.
The company plans to use the new funds to support its accelerating growth and strengthen its infrastructure. It will continue to invest in operations, technology and talent. Brimore plans to raise a Series A round within a year.
“I’m proud of the trust our investors are showing in Brimore. We continue to provide unique opportunities to our micro-distributors and suppliers in such a tough time. Our growth strategy was built on strong fundamentals and healthy unit economics which has enabled us to maintain 10X year-on-year growth while facing several challenges, including the COVID-19 pandemic,” said Mohamed Abdulaziz, co-founder and chief executive officer (CEO) of Brimore.
“With this new round of funding, we’ll be able to invest more in product development, operational infrastructure, and our growth momentum.”
Fellow co-founder Ahmed Sheikha said the startup’s current focus was to keep winning “the moment of truth” with its sales champions, suppliers and consumers, both online and offline.
“For the past two years, on-the-ground operations and commercial planning have been the cornerstone of Brimore’s success,” he said. “We are now focusing on technology, data analytics and smart financial solutions to make a solid contribution. This new round of investment will enable us to expand our amazing team of star performers aspiring to transform the retail industry in Egypt.”
Tarek Assaad, Algebra Ventures’ managing partner, said his company believed that the large base of consumers in Egypt was best served through customised technology solutions.
“Brimore is developing world-class technology for our local market which will open up tremendous untapped potential in distribution of goods. Mohamed and Ahmed have led the company through different challenges and delivered exceptional performance since our first investment in the company last year. We are delighted to continue supporting Brimore as it continues to expand its reach and solidify its leading market position,” he said.