iProcure, a Kenyan agritech startup founded in 2013, aimed to revolutionize the distribution of agricultural inputs such as fertilizers. Co-founded by Stefano Carcoforo, Nicole Galletta, Patrick Wanjohi, and Bernard Maingi, the Nairobi-based firm connected suppliers and retailers, providing inventory management and credit facility services.
Financial Struggles and Debt Issues
Despite raising an impressive $17.2 million from investors across five funding rounds, iProcure found itself on the brink of collapse. The company’s significant fundraising efforts did not translate into long-term sustainability. A former employee revealed that cashflow issues and a high burn rate were among the challenges faced by the startup.
KPMG Steps In
In a recent development, KPMG Advisory Services appointed Makenzi Muthusi as the administrator to oversee iProcure’s affairs. Muthusi will manage the company’s properties, operations, and handle creditors’ claims. Former directors, including the co-founders, no longer have authority over iProcure matters.
Creditors’ Claims Deadline
KPMG issued a notice stating that parties with claims against iProcure must submit relevant documentation to the administrator by May 14, 2024, for consideration.
Uncertain Future
The exact reasons behind iProcure’s financial woes remain unclear. However, the company’s debt burden and operational challenges have led to this critical situation.