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    Home»News»How Midddleman Is Revolutionising China–Africa Procurement for Growing SMEs
    News

    How Midddleman Is Revolutionising China–Africa Procurement for Growing SMEs

    Victor OlayiwolaBy Victor OlayiwolaNovember 28, 2025No Comments5 Mins Read
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    For years, African entrepreneurs have depended on popular mass-market platforms like AliExpress and, more recently, Temu to source low-cost goods from China. While these apps revolutionised access to affordable imports, they were never designed to meet the needs of small and medium-sized businesses that require factory-level pricing, consistent supply chains, and customised manufacturing. That gap has created an opportunity for Midddleman, a Nigerian tradetech startup that now serves as a bridge between African SMEs and Chinese manufacturers—offering a structured, secure, and cost-efficient alternative for cross-border procurement.

    Nigeria’s long-standing commercial relationship with China illustrates the sheer potential of this market. In 2023, trade between both countries rose to approximately $22.6 billion, with manufactured goods representing up to 90% of Nigeria’s imports—from electronics and machinery to steel products and household items. With Nigerian importers driving much of this volume, the need for a specialised platform designed for business-grade sourcing has never been clearer.

    From Hustling in Lagos to a Breakthrough Insight

    Midddleman’s origin story started far from its current scale. In 2018, fresh graduates Omolara Sanni and Adeola Owosho left Abeokuta for Lagos, attending tech meetups and looking for a business path. Their exposure to China–Nigeria trade came during an event hosted by a well-known entrepreneur, which inspired them to test the “buy-from-China, sell-online” model that was gaining traction among young Nigerians.

    With just ₦100,000 (about $68), they placed their first order from Alibaba and began selling various small items—skincare products, gadgets, and household accessories—primarily through Instagram.
    Yet, their biggest obstacle wasn’t the sourcing; it was building trust with customers.

    Buyers were skeptical of paying upfront, especially outside Lagos. Some never picked up their orders, while others vanished after reserving items. These setbacks revealed a deeper challenge: the average Nigerian did not trust online transactions, and sellers suffered the consequences.

    A Failed Product That Revealed the Real Problem

    In 2023, the pair introduced an escrow service—also called Midddleman—to bridge this trust gap. Their platform allowed the company to hold payments until both buyer and seller confirmed satisfaction. Technologically, it functioned as intended. Commercially, it struggled.

    Customers doubted vendors, yet many were equally hesitant to trust a new platform with their money. Building the kind of brand credibility required would take more resources than the founders had at the time.

    Meanwhile, a much bigger crisis was unfolding: paying Chinese suppliers had become nearly impossible.

    The Pivot That Changed Everything

    Around 2020, Nigerian bank cards were restricted from making dollar transactions. Importers nationwide were suddenly unable to pay international vendors. To keep their own business alive, Omolara and Adeola turned to 1688, a wholesale-focused Chinese marketplace, and used Alipay to make payments in yuan.

    They soon realised they weren’t alone—SMEs everywhere were struggling with the same issues: navigating Mandarin-only sites, paying suppliers, verifying quality, and handling logistics.

    This insight redefined the company. Midddleman pivoted into a China-Africa procurement and payment platform tailored for African importers. Almost immediately, demand surged.

    “Within days of announcing it, people simply started paying through us,” Sanni recalled.
    This shift helped the company process nearly ₦2 billion ($1.38 million) in transactions by 2025.

    Why Importers Outgrew Retail Shopping Apps

    Most Midddleman users no longer found retail-based platforms like Temu or AliExpress practical. Business owners needed factory access, not retail storefronts, alongside support with:

    • bulk pricing

    • supplier verification

    • currency payments

    • logistics and consolidation

    • customised production

    As Sanni explained, “Temu works if you’re buying a few personal items. But businesses can’t thrive on those margins. They need production partners, not retail carts.”

    Procurement Agents on Ground in China

    One of Midddleman’s strongest advantages is its physical presence in China.
    To reduce the fear of receiving poor-quality or incorrect items, the company deploys procurement agents who:

    • visit factories

    • inspect products

    • negotiate prices

    • verify orders

    • consolidate shipments

    • repackage goods to lower costs

    This structure ensures that what SMEs order is exactly what they receive.

    Many clients attest to the reliability of this system. The CEO of Congent Paint, a long-term user, praised Midddleman for consistent support and professionalism.

    Sanni also challenges the widespread belief that China primarily exports low-quality goods. She notes that the quality of items depends on customer specifications and pricing—many of the world’s biggest brands source high-grade products from the same factories.

    Using AI to Break Language Barriers

    One of the longest-standing challenges African importers face is navigating Mandarin-only platforms like 1688. Previously, traders relied on messy screenshots and translation apps.

    Midddleman solved this with an AI-powered sourcing tool. With a single pasted 1688 link, users get:

    • an English-translated product page

    • prices automatically converted to Naira

    • answers to product-specific questions

    • estimated logistics costs

    The tool has become so essential that users now purchase AI credits to access it.

    A Lean Startup Achieving Big Results

    Although Midddleman raised only $46,000, mainly from family and friends, the company has processed nearly ₦2 billion in transactions. Smart partnerships, community support, and deliberate resource management helped the startup scale rapidly despite limited funding.

    After facing challenges with outsourced development, the founders internalised their technology processes. CTO Abiodun Arigbede played a pivotal role in building a solid MVP capable of handling real-world procurement needs.

    Looking Beyond Africa

    While the platform’s strongest traction is within African markets today, Midddleman plans to expand internationally.
    According to Sanni, “Everyone buys from China—not just Africans. Our vision is to build a global platform, a billion-dollar company born in Africa.”

    Midddleman’s story is ultimately one of resilience, reinvention, and the bold belief that small businesses across the continent deserve direct, trustworthy access to global supply chains.

    AfricanEntrepreneurs ChinaAfricaTrade
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    Victor Olayiwola
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    I am Victor Olayiwola, a tech writer for Africa Entrepreneur and a strategic forex trader. I share stories on innovation and entrepreneurship in Africa while breaking down markets with precision. Always learning and creating, i blend tech and trade to inspire the next wave of young hustlers.

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