About 20% of the employees of Nigerian startup Sabi, a B2B marketplace catering to the informal sector in Africa, have been let go as the company shifts its focus to commodity exports.
By providing merchants and resellers with carefully chosen business tools and services that enable them to expand their customer base, enhance cash flow, and simplify logistics, Sabi, which was founded in 2020, is optimizing Africa’s informal trade sector.
After claiming over 300,000 merchants and US$1 billion in annualized GMV, the startup raised US$38 million in Series B funding in 2023. However, it has since faced difficulties, as evidenced by a number of ventures in the African B2B e-commerce market.
Sabi is now undergoing a pivot to focus on the rising demand for traceable, ethically sourced commodities. Sabi last year launched TRACE – Technology Rails for African Commodity Exchange.
“Sabi is entering its next chapter, with a focused commitment to commodity trade and traceability for global customers. We’re doubling down on the part of our business seeing the most demand, built on the strong foundation we’ve laid since 2021 by supporting African merchants and their growth,” the company said in a statement.
About 20% of the company’s roles, or about 50 employees, were affected by the “difficult decision” the company made to restructure some of its team in order to “align with this momentum.”
“This was not an easy call. We are deeply grateful to our departing teammates – their work was instrumental to our journey, and we’re proud of everything we’ve built together. Sabi’s people are among the best in the market, and any company would be lucky to have them,” the company said.
“While tough, this shift positions us for long-term success and ensures we remain focused on building scalable, responsible supply chains. Our mission remains the same – and we’re more committed than ever to transforming how the world sources from Africa.”
