Gokada Inc., a Nigerian-based transportation and logistics startup, filed for Chapter 11 bankruptcy in the United States Bankruptcy Court for the District of Delaware.
Filed in 2024, the company pointed to accumulating financial challenges, including liabilities surpassing $5.4 million and limited assets valued at just over $564,000.
Details of the Filing
According to court documents, Gokada listed its principal assets as its 100% ownership in Gokada Rides Limited, an operational entity in Nigeria valued at $500,000, and $64,132.56 in cash held in a Silicon Valley Bank account.
The company’s liabilities included $5.3 million in nonpriority unsecured claims and $150,000 in secured debts tied to a loan from Deplacer LLC.
The filing reveals the company’s struggle to maintain its financial footing. CEO Olutosin Oni, who signed the bankruptcy petition, stated: “I have examined the information in this petition and have a reasonable belief that the information is true and correct.”
Revenue Decline
Court documents also revealed a decline in the company’s revenue. Gokada reported earnings of $268,779 in 2023, which fell to $118,988 in 2024 before its bankruptcy filing.
These financial setbacks, coupled with operational challenges in Nigeria’s highly competitive and regulated transportation market, pushed the company into insolvency.
Creditors and Claims
Among Gokada’s largest unsecured creditors are:
- Rise Capital Gokada Holdings LLC: $1.2 million
- Rise Capital III LP: $880,101
- Amar Imam and Bashir Imam (Abu Dhabi Investment Authority): $286,504
- Casper Johansen: $244,624
Smaller creditors include former vendors, legal counsel, and individual investors based in Nigeria, the U.S., and the United Arab Emirates.
Legal Representation
Gokada is represented by Gregory Hauswirth of Carothers & Hauswirth LLP. The filing indicates that legal expenses amounting to $73,262 were paid to Carothers & Hauswirth and Leech Tishman Robinson Brog PLLC in the lead-up to the bankruptcy.
Founded in 2018, Gokada aimed to enhance transportation and logistics in Nigeria but faced numerous limitations, including regulatory bans on motorcycles in Lagos.
These challenges forced the company to pivot to delivery and logistics services, which ultimately failed to generate sufficient revenue.
