Rentoza, a South African on-demand subscription platform, will see an increase in growth after receiving R20 million from the MIC Khulisani Ventures funds.
Rentoza is on the mission to disrupt traditional ownership South African consumers are well aware of the subscription model. It allows access at affordable rates and flexible terms for essential items such as appliances and baby products.
A Black investment company, Mineworkers Investment Company (MIC), noticed the start-up and provided Rentoza with a capital allocation of R20m through its MIC Khulisani Ventures fund.
The R150 million early stage investment vehicle is targeted at high-growth, black-owned businesses in South Africa. MIC Khulisani Ventures received over 722 applications to fund companies. They sought out companies that have demonstrated the ability to scale, innovate, and disrupt industry norms.
Rentoza’s chief market officer Mishaan Rahan believes that Rentoza can unlock its collective vision through a strategic partnership with MIC. “Throughout the interaction with MIC, we realised that this partnership is well-positioned in both our minds and hearts. This is going to deliver real impact to a country hungry for access and growth on both a personal and business level.”
Rentoza an attractive investment
MIC impact investment manager, Thato Ntseare says Rentoza’s focus on creating alternative means of accessing devices that play such a big role in our daily lives was the drawcard that attracted us to the business.
“Their growth rate from the onset showed that they are well organised, extensively experienced, and a very capable enterprise. It is critical that we provide funding for businesses of this nature especially since they are developing solutions that speak to specific needs of consumers,” says Ntseare.
Ratan believes that Rentoza will be able to capitalize on its momentum and continue to deliver accelerated growth. He also plans to introduce a new model to the market, which he believes will change the way that everyone interacts and relates with products.
“The MIC pedigree is unmistakeable and we are honoured to be counted among the likes of Firstrand, who MIC was one of the first to invest in and are still actively invested in that business. This long-term outlook shows belief in the impact that our model can offer South Africa,” says Ratan.
Ratan mentions that MIC Khulisani Ventures offers a base subscription option for miners and their families.
“Our whole mission is to give access to a lifestyle that many people never dreamed would be theirs. We would be proud to be able to demonstrate the impact of our subscription model to those who deserve it the most,” says Ratan.
Ratan believes Rentoza with the funding will be able expand its reach to unlock its potential. “We will endeavour to prove our worth and show our investors that their decision not only grew a successful business but shaped a country,” concludes Ratan.