Around half of Nigeria’s 237 million people are connected to the nation’s electricity grid but struggle with severe and frequent outages. Earthbond, a Lagos-headquartered startup that runs a solar marketplace linking solar providers and financiers, has raised $200,000 in pre-seed funding from African early stage incubator Madica Ventures, a spinout of mission-driven venture capital firm Flourish Ventures in San Francisco.

Consumer financing

The startup, launched in 2023 to serve small and midsize enterprises in urban areas across Nigeria, collects bank statements and energy usage details from potential customers to estimate costs and a client’s ability to pay. It then helps clients apply for financing from its four local microfinance partners. Solar panels or battery storage systems can be installed in as little as 4 weeks.

Earthbond plans to offer discounts based on carbon emission reduction. So far, it has facilitated more than 20 megawatt hours of renewable energy. Founder Chidalu Onyenso, who has a Harvard MBA, said last year that the company can generate qualified carbon credits that can further subsidize its business model. The startup raised $100,000 and venture-building support from climate tech investor Catalyst Fund earlier this year.