GetEquity, a Nigerian startup originally built to democratize startup investing, has reached a major milestone: profitability. This achievement comes after a strategic pivot in 2024 that saw the company expand into local debt investments—specifically commercial papers and debt notes—and reduce its workforce by 40% to cut costs and streamline operations.
Founded in 2021 during Africa’s venture capital boom, GetEquity allowed retail investors to purchase stakes in promising startups. However, with global venture funding shrinking by 42% in 2023 (according to Crunchbase data) and liquidity into African startups tightening, retail investors’ appetite shifted toward lower-risk opportunities. Sensing the market shift, GetEquity adapted quickly.
By partnering with licensed asset managers like ARM to offer commercial papers from established Nigerian giants such as Dangote Group, GetEquity tapped into a growing pool of Nigerians eager for stable, local investment options. Since launching the debt investment offering, GetEquity has processed over ₦500 million ($310,000) and reports a 10% monthly growth in transaction volume.
CEO Jude Dike shared that an initial offering featuring Dangote commercial papers exceeded expectations: while the team initially targeted ₦5 million, they received ₦27 million in pledges within three days. This rapid response confirmed a strong demand for safe, high-yield Nigerian investment assets.
The pivot also allowed GetEquity to restructure internally. By relying on asset managers for key tasks like due diligence, auditing, and documentation, GetEquity slimmed down to focus purely on distribution and user engagement. Their business model now combines transaction fees charged to users and commissions earned from asset managers.
Looking ahead, GetEquity is diversifying further. It’s building a secondary market infrastructure to allow users to trade investments peer-to-peer and is working on an investment-backed credit product, which would offer loans secured against users’ existing investments. These innovations could open up significant new revenue streams.
Additionally, GetEquity is in the process of securing an Approval-in-Principle from Nigeria’s Securities and Exchange Commission (SEC) to digitize and distribute already-approved debt products like commercial papers.
Despite some turbulence—including a 2023 police complaint by escrow startup Peppa over a disputed $43,000 payment—GetEquity’s nimble shift to safer, locally trusted investments has not only rescued the business but positioned it for sustainable growth.
