Fintech Start-Up GroMo Raises $11 Million

Updated on: 7 September 2022 10:16 pm

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Fintech company GroMo has raised $11 million (about Rs 88 crore) in a funding round led by SIG Venture Capital, the company said on Tuesday.

The other key investors include Y-Combinator, Das Capital, Goodwater Capital, Beyond Next Ventures, Soma Capital, Ace & Company, and Hauz Khas Ventures.

The company has also received funding from prominent angel investors like Kunal Shah (Cred), Niraj Singh (Spinny), Ramakant Sharma (Livspace), Alok Mittal (Indifi), Utsav Somani (iSeed, AngelList India), Ashish (Innoven), Abhishek Goyal (Tracxn) and Nitin Gupta (Uni Cards).

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The company plans to utilize the capital to scale up hiring across senior managers in technology, product, marketing, business, category management, and HR functions. And it plans to double the headcount in the coming 6-12 months, GroMo said in a statement.

It will also use the funding to enter new business partnerships, especially with BFSI players (Insurance companies, Credit Card companies, Banks, Stockbrokers, NBFCs, etc) to help them expand their reach.

Founded by IIT Delhi alumni Ankit Khandelwal and Darpan Khurana, GroMo provides access to over 100 financial products in Tier 2-and-beyond cities.

The company claims to have a network of over 1.2 million agents on its platform.

GroMo CEO and co-founder Khandelwal said that as per Sebi’s recent report, only 27 per cent of India's population is financially literate, which highlights the need for increased customer support, especially in Tier 2 and 3 cities and beyond.

"Our vision is to drive financial inclusion in underserved markets by bridging this gap through face-to-face interaction, handholding by our agents, and after-sales support. Any financial brand can expand their customer acquisition footprint through our base of trained agents, who are able to earn significant income by leveraging their social network," Khandelwal said.