TUNL Secures $1M in Initial Funding Round

TUNL, a parcel shipping platform based in South Africa, has successfully raised $1 million in pre-seed funding. Key investors in this round include Founders Factory Africa, Digital Africa Ventures, E4E Africa, and Jozi Angels.

Founded in 2022 by Matthew Davey as CEO and Craig Lowman as COO, TUNL emerged from Davey’s prior role as the managing director of a Dutch company. In this capacity, he recognized a significant obstacle in importing engineering goods from South Africa to Europe, leading him to establish TUNL.

With this funding, TUNL aims to amplify its footprint within South Africa, its primary market, while also setting sights on expanding into other notable African markets. The platform claims that by leveraging its services, e-commerce businesses can slash international shipping expenses by 50% to 80%.

Craig Lowman’s representative highlighted, “We’ve designed our pricing structure to be transparent and inclusive. Our mission revolves around leveling the playing field so that businesses of all sizes can minimize shipping costs, thereby enhancing their international sales potential.”

Matthew Davey elaborated on the importance of affordable shipping, stating, “A high shipping cost at the final checkout can deter customers, leading them to abandon their shopping carts or grudgingly accept additional charges.” Since its inception, TUNL has seen an impressive 35% month-over-month growth, attracting 700 merchants to its shipping program. In 2023 alone, South African merchants using TUNL exported products worth R24 million (~$1.3 million), dispatching more than 11,000 international parcels. Furthermore, TUNL is strategizing collaborations with platforms like ANKA from Ivory Coast and the global shipping giant, DHL.

Operating for two years, TUNL generates revenue by taking a percentage from each transaction. Its product range is diverse, encompassing items like backpacks, fashionable footwear, DIY tools, books, advanced materials such as nanofibers, industrial springs, furniture, musical instruments, and non-perishable goods like beauty products.

The fresh capital infusion is set to reinforce TUNL’s operations within South Africa and pave the way for its debut in other vital African markets. These funds will be instrumental in refining sales strategies and streamlining the merchant onboarding experience.