Senegal’s Tech Startup Chargel Raises $2.5M in Initial Investment
Moustapha and Alioune Ndoye, brothers from Senegal, entered the trucking industry after selling their hotel tech firm Teranga in 2018. At the time, they were considering their next move. They quickly realized, however, that fleet management is a significant difficulty that significantly affects the level of income that truck owners may expect to make.
They were fully aware of the degree of the trucking industry’s inefficiencies through some market research, which was notably detrimental to owner-operators’ ability to earn more money. And Chargel, their logistics tech firm, was founded in this manner.
“We realized that there were so many inefficiencies, and that the logistics sector in Senegal was so fragmented, but we felt that technology could help. So, we decided to be drivers for a few months to understand how the sector works, its real challenges and where the opportunity was, before building something,” Moustapha said.
Chargel connects shippers and carriers, digitizing procedures that were primarily offline before it came out of stealth last year. Maersk and Grimaldi, two of the biggest shipping corporations in the world, are among the startup’s early customers as it grows quickly.
As it only had restricted access to 10 organizations, it is expanding its customer base in its next stage of growth. A $2.5 million seed investment led by Logos Ventures will support the company’s investigation of fresh growth opportunities. The funding round, which included a $500,000 loan component, also featured participation from Ventures Platform, Foundation Botnar, DFS Labs, and Seedstars. The financing includes the $750,000 that was previously disclosed.
“This year, we’re letting more Senegalese shippers use the platform. Additionally, we are considering expanding to another Francophone African nation,” added Moustapha, who for a brief period of time oversaw business solutions as a senior product manager at Senegalese unicorn Wave.
Senegalese chargel carriers convey goods to Mauritania, Guinea, and Mali, which are close by. According to Moustapha, expanding operations into another nation will broaden their regional reach and alleviate a number of other road freight-related problems.
“The demand is not just in Senegal; some of the clients we work with, like Maersk for example, serve nine countries out of the Senegalese office. Of course, they want us to be in those countries,” he added.
How Chargel Works
Chargel is a logistics tech startup that offers a comprehensive platform to simplify the logistics process for businesses of all sizes. The platform is designed to streamline the entire supply chain, from warehousing and inventory management to transportation and delivery.
Here is a breakdown of how Chargel works:
- Warehousing and inventory management: Chargel provides warehousing facilities for businesses to store their products. The platform enables businesses to manage their inventory levels in real-time, ensuring that they always have the right amount of stock on hand to meet customer demand.
- Transportation: Chargel provides a range of transportation options, including electric delivery vehicles, to minimize the environmental impact of logistics operations. The platform also uses optimized routing algorithms to minimize fuel consumption and ensure that shipments are delivered on time.
- Delivery: Chargel’s platform allows businesses to track their shipments in real-time, providing complete visibility into the logistics process. The platform also offers a range of delivery options, including same-day and next-day delivery, to meet the needs of businesses and their customers.
- Sustainability: Chargel is committed to sustainability and environmental responsibility. The platform uses eco-friendly packaging materials and promotes the use of electric vehicles to reduce carbon emissions.
- User-friendly interface: Chargel’s platform is designed to be intuitive and easy to use, with a range of tools and features that enable businesses to manage their logistics operations with ease.
In summary, Chargel’s platform provides businesses with a one-stop-shop for their logistics needs, enabling them to streamline their supply chains and focus on their core operations. With its commitment to sustainability and user-friendly interface, Chargel is poised to become a major player in the logistics tech space in Senegal and beyond.
