Fearless Fund has invested seven figures in the e-commerce platform Zimi after settling a lawsuit with the American Alliance for Equal Rights (AAER).
Zimi offers inventory management, handling and storage, and border logistics to help businesses in emerging markets like Africa sell to the rest of the world. According to its website, the company officially launched in August and already has a few clients.
The new investment will hire more operations and engineering professionals, grow the consumer base, and implement more artificial intelligence.
Meet e-Commerce Platform, Zimi
Audrey Djiya and Peter Nsaka founded Y Combinator-backed Zimi in 2023. The cross-border e-commerce market is estimated to be a $2 trillion opportunity by 2030, with 64% of the market coming from emerging markets across Africa, Asia, and Latin America. However, merchants in these regions face significant challenges like high shipping costs, lengthy delivery times, and complex logistics.
Zimi solves these problems by localizing inventory, handling customs clearance and last-mile delivery, and streamlining the returns process. The Nigerian tech solution provides Amazon Prime-like delivery to exporters in emerging markets.
Zimi brought Fearless Fund on as its lead investor because Simone experienced firsthand the challenge Zimi is trying to fix. They believe that the best investors understand the problem a company is trying to solve.
“Further, Fearless’ experience with working with consumer brands, who we’re building for, and international presence, will be helpful to Zimi in the long run,” Djiya said. “We also really love the team,” she continued.
While Fearless Fund did not disclose the exact investment figure, the deal with Zimi closed in late September. Zimi is also raising additional funding as part of its round, which is expected to close soon.
Fearless Fund Remains Committed To Its Goal After Lawsuit
This move from Fearless Fund marks the firm’s return to normal after its year-long legal battle with AAER. The investment news comes just weeks after Fearless Fund settled the lawsuit.
Related Post: Fearless Fund Drops Grant Program for Black Women in Lawsuit Settlement
The AAER claimed that the Strivers Grant Fearless Fund created for Black women entrepreneurs discriminated against non-Black founders. Fearless Fund spent a year fighting the lawsuit, resulting in a preliminary injunction being upheld against the grant program.
Last month, Fearless Fund and AAER reached a settlement agreement that would end the grant program. This would ensure that the case didn’t go to trial, causing a domino effect that could impact other grant programs that serve marginalized founders.
Arianne Simone told TechCrunch that the firm has been doing well since the settlement and is “investing in companies and continuing our mission of funding entrepreneurs.” She added that the firm has completed “multiple investments this year and is actively diligencing numerous opportunities.”
The venture fund recently announced a $200 million debt fund in partnership with a CDFI to offer loans between $5,000 and $250,000 to overlooked founders. She said that Fearless Fund remains focused on its mission to support women of color founders and is looking to back more fintech, beauty, and companies working in logistics.
Zimi founders Audrey Djiya and Peter Nsaka (main image)
