Bengaluru-based Gullak, a startup that operates a saving and investment app, has raised $3 million in a Seed funding round led by Y Combinator, Rebel Partners, and Better Capital.
The round also saw participation from other investors, including Good Water Capital, GMO Fintech Fund, TRTL Ventures and angels such as Kunal Shah(Cred), Akshay Mehrotra and Ashish Goyal (EarlySalary), and Kevin Moore.
Prior to this round, Gullak raised $1.3 million as part of its pre-seed round led by Better capital and a couple of angel investors, including Vimal Kumar and Sheetal Lalwani (Co-founders at JusPay), and Ramanathan RV (Co-founder at Hyperface), among others.
The startup plans to use the raised capital to increase average revenue per unit (ARPU) by offering unique financial products, strengthening the current product and expanding its user base. It also plans to invest in building a strong community and spreading financial awareness.
Founded in 2022 by former JusPay executives Manthan Shah, Dilip Jain, and Naimisha Rao, Gullak is a platform that helps automate savings.
The app allows users to save small amounts regularly and automatically invest that in digital Gold. It also allows users to lease their Gold to get extra 5% returns every year on top of the annual Gold returns through its latest offering Gullak Gold+.
With this, Gullak becomes the first B2C app in India to give users an extra 5% return, the statement said.
“We are driven by our vision to democratise wealth creation while working on all the 3 pillars of a sustainable business – Acquisition, retention and monetization – at the same time. All our initiatives have this as the underlying core. For instance, our recent offering Gullak Gold+ has allowed us to move to a 4 digit ARPU which has been a struggle for most companies in this space. We have also doubled our GTV after the launch of Gold+ with 0 marketing dollars and are hoping to see great retention numbers as well through this offering. We have just begun and the journey ahead seems exciting” said Manthan Shah, Co-founder of Gullak.
Commenting on the investment, Vaibhav Domkundwar of Better Capital said, “A classic representation of a founding team that we love at Better – product, engineering and growth co-founders who are obsessively focussed on rapid iteration to unlock PMF. We are excited to be founding stage investors in Gullak as they make wealth creation easy for 200M Indians and have been thrilled to see the quality of traction already.”