- TUNL, a South African shipping platform for eCommerce exporters, has completed a priced seed round to increase marketing support for small and medium-sized enterprises (SMEs).
- The funding round was led by venture capital firm E4E Africa, with participation from investors, including Jonathan Smit, Jozi Angels, and Utopia Capital Management.
- This move comes ten months after the startup announced its $1 million pre-seed funding to accelerate its expansion within its primary market, South Africa, and break into other key African and emerging markets.
The new funding will support the startup’s rapid growth in the South African market, including product expansion into international payments and improved marketing support for SMEs.
Craig Lowman, co-founder at TUNL, said, “We want to ensure that every business, large or small, can have an equal chance to convert overseas sales. To do this, we are reducing the costs and friction of international shipping via our platform and tools. ”
Founded in 2021 by Matthew Davey and Craig Lowman, TUNL addresses inefficiency and high shipping costs issues faced by small and medium-sized enterprises (SMEs). It supports SMEs to export more.
The startup offers 50% to 80% savings on international shipping costs by leveraging AI product classification technology, novel global duty and tax tools, and excellent customer service to provide SMEs with a streamlined and automated export shipping experience.
Since its last funding round in 2023, TUNL has witnessed improved monthly revenue and parcel volumes, supporting over 1,350 SMEs across various sectors. It has collaborated with South African brands, including Versus Socks, a South African premium sportswear brand, and Bambalam, a dungaree brand, to drive significant international sales growth.
According to Sam Sturm, Chief Portfolio Officer and Co-founder of 54 Collective, the VC’s early investment in TUNL stemmed from the belief that the challenges the startup is addressing for South African merchants are global.
Also, E4E’s Tatenda Nyamuda acknowledged that the startup allows eCommerce merchants and other SMEs across the continent to access new markets, addressing the significant cost-logistics barrier.
“We’re confident that this investment will fuel their growth and have a demonstrable impact on African SME competitiveness and job creation, ” he concluded.