Nigerian fintech Okra has shut down, but not because it ran out of money. In a rare move for a startup, the company is returning three years’ worth of runway to its investors.
Speaking with Techpoint Africa, CEO Fara Ashiru explained that the decision was intentional. “Moving forward would have meant raising more capital and extending our timeline significantly — something I didn’t feel was responsible without stronger commercial pull,” she said.
Okra had raised a total of $16.5 million since its launch. Based on typical startup burn rates, the company likely spent around $11 to $12.5 million over five years. That leaves an estimated $4 to $5 million unspent funds that will now be returned to backers.
This kind of move is unusual in Africa’s startup scene, where companies often shut down after burning through all their funding. In 2024, another fintech, Thepeer, also announced a shutdown and promised to return funds. But that process became messy when investors questioned the amount being returned.
Okra’s approach has been more deliberate and transparent. Ashiru noted the company provided generous severance packages to staff. Some long-time employees received up to six months’ salary, plus bonuses.
A significant part of Okra’s final phase involved wrapping up Nebula, its cloud infrastructure productNebula, its cloud infrastructure product. Nebula showed early promise, but adoption was slow. Few companies were using it for mission-critical tasks, which made its growth path uncertain.
Rather than continue operating with limited traction, Okra chose to exit cleanly. It’s a strategic move — not a failure — and shows a level of accountability not often seen in the startup world.
Ashiru has since joined KernelAshiru has since joined Kernel, a UK startup, as Head of Engineering. She emphasized that she only returned to the job market after fully winding down Okra’s operations.
By returning unused capital, Okra has set a new bar for how startups can exit responsibly — even when things don’t go as planned.
