Stripe’s former growth lead helps African diaspora invest in startups, real estate

In 2017, Joe Kinvi took the helm of finance at Touchtech Payments, an Irish startup struggling to afford his full salary. To bridge the gap, he negotiated stock options, which ultimately paid off when Stripe acquired the company 18 months later. This pivotal moment enabled Kinvi to leave his job and pursue entrepreneurial ventures, leading to the birth of his startup, Borderless. Borderless is designed to facilitate investment for Africans living abroad, allowing them to collaborate on funding startups and real estate projects back home. Launched in beta last year from the U.K., the platform has already processed over $500,000 in transactions, highlighting a significant shift in how the diaspora can engage with their home countries. "The diaspora sends billions in remittances, but a fraction goes into productive investments," Kinvi noted, emphasizing the platform's mission to connect collective investors with viable opportunities. Kinvi's journey to creating Borderless began during the pandemic in 2020. Teaming up with a group of friends, he founded Hoaq, an investment club aimed at pooling funds from local and diasporan angel investors to support African startups. However, they faced numerous challenges, including difficulty opening a bank account and compliance issues that complicated their investment efforts. To navigate these hurdles, the group enlisted legal help to manage the complex paperwork. As they refined their operations, Hoaq began to implement automation, setting the stage for the creation of Borderless. The club invested in various companies, such as LemFi and Chowdeck, but by 2022, Kinvi had transitioned from Stripe to Paystack, furthering his experience in scaling financial partnerships across Africa. When Kinvi revisited the challenges faced by Hoaq, he developed a comprehensive tool that streamlined the investment process, from onboarding to fund disbursement. This innovative solution garnered interest beyond Hoaq, as other collectives sought access for their own investment endeavors, spanning startups and real estate. Today, Borderless serves as the backbone for diaspora investment groups, enabling them to onboard members, facilitate cross-border payments, and securely allocate funds. Currently, over 100 communities are on the platform's waitlist, and active collectives have already backed more than ten startups and two real estate projects in Kenya. Minimum investments start at $1,000 for startups and $5,000 for property. Operating under U.K. regulations, Borderless markets investment opportunities to diaspora members while adhering to securities laws. Kinvi is optimistic about expanding into additional asset classes, such as film and diaspora bonds. A critical aspect of Borderless is establishing trust among investors, particularly as many have previously faced losses with informal investments through family or friends. "A friend of mine sent €200,000 home for a house that was never built," Kinvi shared, highlighting the need for a more secure investment environment. To mitigate risk, Borderless directs funds to verified sellers, escrow accounts, and legal representatives, ensuring that no money passes through the hands of collective managers. The startup generates revenue through transaction fees, membership dues, and currency exchange spreads, with plans to introduce remittance services, payout fees, and asset management tools in the future. Kinvi believes that unlocking the $30 billion in dormant migrant savings presents a substantial opportunity, noting that while many remittance platforms exist, few focus on long-term investments. With support from investors like DFS Lab, Paystack's CTO Ezra Olubi, and executives from Stripe and Google, Borderless has raised $500,000 in seed funding. For Kinvi, the goal extends beyond financial returns; it is about providing a secure way for the diaspora to invest and eventually return to their roots. "Most Africans abroad want to go back home eventually," he stated. "We are building a platform that enables them to invest confidently and at scale." However, the path to scaling Borderless is not without challenges. The current vetting process heavily relies on established relationships with known collective leaders. As the platform expands, it will require robust identity verification and fraud prevention measures to safeguard against potential threats.