Kora CFO Outlines Key Metrics for Assessing Fintech Startups

Chief Financial Officer at Kora, Ayodeji Solomon Osisami, has urged investors to take a more cautious and deliberate approach when putting money into Nigeria’s fast-growing fintech space, noting that strong growth does not guarantee survival for all startups.

He spoke at the Nairametrics Money Fair tagged WISE 1.0, held on March 18, 2026, at the Landmark Event Centre in Lagos, during a panel session themed “Investing in Nigeria in 2026: Asset Classes, Timing Windows, Digital Tools, and Risk Navigation in a Reformed Economy.”

Osisami emphasized that the first and most important factor in evaluating a fintech investment is the founding team, stressing that investors are essentially backing people rather than just products or platforms.

Read Also:

Dangote Signs $4.2bn Gas Deal with GCL for Ethiopia Fertiliser Plant

TotalEnergies Plans 5MW Solar Plant for Ubeta Gas Project

“As with any investment, when you are doing an investment, you are not investing in anything. The core thing you are investing in is the person. So you look at the founding team, the CEO and the management team, it’s very important. What lifestyle are they living? How are they structured? What is their track record? That’s the first thing you look at,” he said.

He added that the background, discipline, and leadership capacity of founders and management teams play a decisive role in determining long-term success.

The second factor, he said, is financial strength and business performance, advising investors not to be swayed by large transaction volumes alone but to assess real earnings and value retention.

“It’s not only about the companies transacting in the billions. How much are they making from that? How much are they keeping from that? Because that speaks to operational efficiency. The thing about Nigeria is, we are growing, investments are coming in, but the market is not so liquid like that. If you are not profitable in a short while, you will go down. So you need to look at those key things, you know, when doing an investment,” he said.

Osisami also identified niche focus as the third key consideration, warning against fintech firms trying to operate broadly without mastering a specific segment of the market.

“Has that fintech covered a particular market? So, you know, the market is broad, but there are niches in the market. If you want to invest in any fintech, you have to be sure that they have covered it. Even if it’s payment, you know, everybody’s doing payment, but there must be a niche they have mastered before you do an investment, that will guarantee you consistency. It also implies the business is on a sustainable path,” he said.

On sector risks, he cautioned that weak planning remains one of the biggest threats to fintech survival, noting that the ease of launching startups has encouraged many ventures without proper structure or long-term direction.

He also pointed out that many founders are driven by opportunity rather than a clear business model, increasing the likelihood of failure in a competitive environment.

According to him, startups that fail to present a clear business plan struggle to attract investors, as such plans are necessary for evaluating direction, scalability, and sustainability.

Osisami further warned that fintech companies that continue to burn cash without a defined path to profitability are especially vulnerable, particularly in Nigeria, where access to funding can tighten quickly.