African entrepreneurial triumph: The creation of Hubtel detailed
In the early 2000s, Africa witnessed a significant adoption and penetration of mobile phones, and Ghana was no exception. Amidst this digital revolution, three entrepreneurs—Alex Bram, Ernest Apenteng, and Leslie Gyimah—saw an opportunity and founded SMSGH in Accra on 12th May 2005. Initially, SMSGH was a business communication tool using Short Messaging System (SMS), designed to help small businesses communicate and reach audiences with a mobile device [1].
The company's early success can be attributed to recognizing the SMS wave and crafting a business model that resonated with their customer base. Leslie Gyimah, one of the co-founders, played a crucial role in this early success [2].
As Africa embraced mobile phones, text messaging emerged as a cost-effective way of communication, growing at a phenomenal rate. In 2009, SMSGH pioneered premium SMS in the form of SMS content messages, leading to personalized services in banking, entertainment, education, and premium notifications [9].
However, by 2016, the growth of SMSGH had slowed, and the team decided to go back to the drawing board and into the market to learn about what the customers were saying. This period of reflection led to a significant transformation for the company [11].
In 2017, SMSGH rebranded as Hubtel, marking a shift towards supporting small businesses with e-commerce solutions and digital payment capabilities [7]. The realization that customers needed to process payments led to the creation of mPOWER, and the company began to build an e-commerce engine from scratch. This transformation allowed Hubtel to stay relevant and competitive as the market changed [1].
Hubtel's food delivery services, launched during the COVID-19 pandemic, was a timely response to market demand and a huge success [10]. As a result of these strategic moves, Hubtel has grown its revenue from $3M to $62M and is on track to become Ghana's first unicorn and a multi-national African tech venture, with almost eight thousand businesses in Ghana using Hubtel to connect to the online community [4].
Ernest, the sales leader, attributes the early profitability of SMSGH to understanding the customer and building strong unit economics from the beginning [3]. The rebranded Hubtel, launched in 2017, features a mobile application for ordering groceries, paying bills, and making seamless payments [7].
The company's contributions to Ghana's digital transformation were not left unnoticed. Hon. Sam George, Minister for Communications, Digitalization, and Innovation, praised Hubtel during its 20th anniversary celebration in Accra in May 2025 [8]. By 2015, Hubtel had 40% market share of Ghana's Value Added Services market, which had about 47 providers nationwide [12]. The company also ventured into Cameroon, Nigeria, and Kenya in 2012 [12].
The founders of Hubtel, Alex Bram, Ernest Apenteng, and the late Leslie Gyimah, are alumni of the Kwame Nkrumah University of Science and Technology [5]. Their journey from a simple SMS communication tool to a thriving e-commerce platform for small businesses is a testament to their vision, adaptability, and commitment to meeting the needs of their customers.
- The3 entrepreneurs, Alex Bram, Ernest Apenteng, and Leslie Gyimah, saw an opportunity in the growing use of mobile technology and investing in a business communication tool, which eventually led to the founding of SMSGH in Accra, Ghana, in 2005 [1].
- As Africa's lifestyle, particularly the use of mobile phones, evolved, SMSGH, under the leadership of Leslie Gyimah, pioneered premium SMS services in banking, entertainment, education, and notifications, enhancing their business model and catering to general-news [9].
- In the modern era of finance, Hubtel, previously SMSGH, transformed into an e-commerce solution and digital payment platform, broadening its services beyond text messaging, and is on track to become Ghana's first unicorn, thanks to the adaptability and vision of its founders [4].
