Los Angeles-based startup Eze has successfully raised $3.7 million in an oversubscribed seed round to transform the B2B electronics trading landscape.
The funding round was led by prominent investors, including The University of Tokyo Edge Capital Partners (UTEC), Right Side Capital, C2 Ventures, Boro Capital, EVPI Investments, Itochu, and several angel investors. The significant investment will enable Eze to enhance its platform and expand its operations globally.
Founded in 2020 by Joshua Nzewi and David Iya, Eze aims to revolutionize B2B electronics trading by connecting global electronic wholesalers and providing them with a seamless platform to trade devices in large quantities.
The marketplace directly links distributors and retail stores of used smartphones, laptops, tablets, and other electronics with a vast network of over a hundred wholesalers and manufacturers.
The used smartphone market is experiencing remarkable growth, with shipments projected to have a compound annual growth rate (CAGR) of 10.3% from 2021 to 2026, reaching a value of $99 billion, according to tech analyst the International Data Corporation (IDC). Eze recognizes the tremendous potential in this market and seeks to address the inefficiencies that currently plague B2B trading, such as poor distribution, pricing fragmentation, quality control issues, and rampant fraud.
CEO Joshua Nzewi highlights the need for a safe and secure platform in the market, stating, “It’s almost every day we see someone getting scammed in one of these group chats where people are doing business. So we knew that a product like ours was essential in the market to keep these individuals safe.” Eze’s mission is to formalize trade in key areas like Lagos’ Computer Village, Nigeria’s busiest electronics market, by connecting retail stores, distributors, telecom companies, and electronics suppliers.
Operating on a user-friendly platform, Eze enables buyers and sellers to submit buy and sell requests, which the platform matches based on compatibility and executes the trade seamlessly. The company has implemented a standardized grading process to assess the originality and functionality of the used gadgets it facilitates the sale of. Customers benefit from a 30-day warranty on products, with options for exchanges, extended warranties, and additional credits.
Eze goes beyond facilitating transactions by providing real-time market prices and acting as an intermediary to ensure competitive pricing, global payment support, net payment financing, and automated logistics. The startup collaborates with renowned logistics provider FedEx for shipments in the U.S., Europe, and Southeast Asia, while leveraging third-party logistics services in Latin American and African markets.
Recognizing the financial needs of businesses, Eze has also introduced Eze Capital, a fintech offering that complements its core transactional services. Through partnerships with banks and merchant financing companies, Eze Capital provides funding options for businesses to finance their purchases, inventory, receivables, and operations. The product has already disbursed $750,000 since its launch, with plans for expansion beyond the U.S.
Since its inception in 2021, Eze has facilitated the sale of over 500,000 devices, establishing itself as a trusted player in the B2B electronics trading space. The startup boasts more than 1,000 business customers across 15 countries, with Mexico being its largest market, followed by Nigeria, South Africa, and Ukraine.
The successful seed round funding reflects investors’ confidence in Eze’s ability to disrupt the secondhand electronics market. Chris Cunningham, Partner at C2 Ventures, explains, “Eze solves these problems via a global marketplace that allows sellers and end buyers to connect directly while providing price transparency, quality control, and fraud prevention.”
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