Sycamore is raising ₦1 billion to complete $1.5 million debt funding round
- Sycamore is raising ₦1 billion ($628,000) to complete a $1.5 million debt funding round.
- The company secured ₦1.5 billion ($943,000) debt from Cascador, a Nigerian entrepreneurship accelerator.
- Sycamore disbursed over $5.5 million in loans in 2024 and generated over $3.5 million in revenue.
Sycamore's approach to raising local debt amidst economic challenges reflects a strategic pivot that could inspire other startups in Nigeria and beyond. As the trend of leveraging local debt financing grows, it raises questions about the sustainability and scalability of such models in volatile economic environments. A deeper analysis of the impact of local currency fluctuations on startup valuations and returns could provide valuable insights for investors.
