African businesses pay up to four times the global average to transport goods, increasing prices for the essentials, such as food and medicine. Logistics accounts for 75% of the cost of products in Epirus, according to in the African Bank of Development (AfDB). Many of these businesses are also based on manual logistics, leading to delays.
Logistics software based on the Nairobi-as a Service Provider Stone He wants to change all this. The AI platform powered by AI optimizes delivery routes, monitors real -time missions, rationalize payments and provides businesses with missions.
The start has raised $ 5 million in seed funding to reduce its solution, which says it helps businesses move the goods cheaper and faster across the continent. The European company VC Speedinvest has led the round, with support from the African Investment Fund and African Ecuador, a climate of Africa climate technology.
In November 2022, the launch of Kenya’s supply raised $ 3 million from several local investors, money they used to deepen businesses in its five main markets: Kenya, Nigeria, Uganda, Zambia and Zambia.
Leta’s load and route optimization technology helps its customers reduce costs and improve the efficiency of delivery by reducing the number of vehicles required for distribution, founder and chief executive Nick Joshi.
Leta is directly integrated with ERP, POS and OMS systems, pulling live order data such as SKU, product types, prices and customer details, says Joshi.
From there, the platform selects the best available vehicle for each order and decides whether to load products using first, first out (FIFO) or last, first (Lifo) methods, replacing the Handbook, the intuition -based mission. (FIFO first loads the older stock, while Lifo first loads the latest stock.)
The platform then automates the creation and planning of the event, optimizing the use of vehicles based on regional demand and truck capacity. Finally, the Leta system, which, according to Joshi, is powered by AI, optimizes real -time delivery routes.
“For example, if there is a circular junction where trucks or motorcycles repeatedly fail to complete a turn on this route, AI marks a black list,” the CEO said. “It could be due to floods, police stops, construction or presidential escort. The system is constantly updating the map mattress to reflect these changes.”
Logistics, built -in funding and sustainability games
Leta’s real -time mapping has become a key advantage for Google, one of its investors. Joshi notes that the continuous improvement of the road by Leta and the treatment of data from live customer deliveries will help complete Google Maps in his markets.
“We are creating a much more powerful map and address arrangement, so I think Google has found it interesting,” he explains.
By connecting interested parties to the entire supply chain, Joshi considers financial services as a natural expansion of Leta’s software platform and is already testing some new products. Joshi reports that possible offers include fuel cards for delivery partners, funding of vehicles and devices, and funding of supply chain funding for FMCG traders (rapidly changing goods).
Deepali Nangia, which drives Speedinvest’s investments in Africa and the Middle East, said the company supports Leta because it “exploits the logistics as a gateway and Fintech as a growth guide, unlocking new business opportunities”.
Leta also helps businesses reduce fleet sizes without reducing deliveries, reducing fuel consumption and emissions, explaining equatorial support.
“A company with 70 trucks saves about $ 30,000 per month using Leta,” Joshi claims. “We haven’t started watching carbon emissions yet, but it’s a key goal for the current year.”
The start of Kenya now dominates 35+ large companies, including global brands such as KFC and Diageo, and local giants such as EABL and Gilani, optimizing 10,000+ daily trips to its five markets.
Since 2022 coverage, Leta has seen mass growth: 500,000 deliveries to 4.5 million, from 20,000 tonnes to 150,000 and from management of 2,000 vehicles to 7,400. As a result, Leta’s revenue, which he does on a pricing model per tradition, have increased 5x, says Joshi.
Leta is now aiming to double revenue in the coming months as it is expanding to more countries throughout Africa and the Middle East with customers such as KFC and Diageo.
Worldwide, Leta reflects the Flexport early before shifting to a technology capable platform. In Africa, newly formed logistics companies such as Sendy, Lori (also Google -backed) and Kobo360 took over this approach, gathering trucks and acting as intermediaries. However, this model has struggled, leading to recent closures and layer.
Leta adopts a different approach: just software. Instead of collecting or managing loads, it works with companies that already have fleets, helping them enhance efficiency and optimize use. It’s a Playbook Other World Logistics Technology Companies like BringOnfleet, and Vessel Follow too.
“The first generation of the newly established logistics companies in Africa did hard work with market education and proving what is possible,” says Joshi. “By the time we entered, some came out or tried to redefine their business. So we knew then what the market was looking for and what they needed.”
