Goodwell Investments acquires minority stake in Musoni Services
Goodwell Investments, a company which provides early stage growth capital, has acquired a significant minority stake in Musoni Services, a Dutch micro-finance software company that supports micro-finance institutions (MFIs) with its cloud-based core banking software.
Cameron Goldie-Scot (pictured far right), CEO of Musoni, said:
"Goodwell brings extensive experience of the microfinance industry, especially in West Africa, and a proven track record of investing in innovative financial services companies. They are an ideal investor for Musoni. The funds and relationships from Goodwell will be used to drive expansion into new markets and continue the company's rapid expansion."
A solid core banking system is essential for MFIs. However, large system-providers are much too expensive for most MFIs. Moreover, MFIs often struggle with high operational expenses related to IT. The rise of cloud-based computing and the concept of Software-As-A-Service ('SAAS') is drastically changing this landscape. Musoni Services is one of the first companies to leverage cloud computing and Software-As-A-Service to dramatically change the landscape of financial services in Africa.
Els Boerhof, partner at Goodwell Investments, said:
"Unfortunately, most MFIs can hardly afford, maintain or develop their IT systems. Musoni uses technology that supports MFIs in reducing their costs while expanding their outreach."
Musoni's platform integrates seamlessly with mobile money technology, uses tablets and SMS messages for field-based data capture and direct communication with clients, and takes advantage of the rise in internet connectivity to reduce hosting costs for MFIs. By end 2015, the Musoni System was licensed to 39 MFIs across eight African countries and one MFI in Myanmar.