A fintech startup FypMoney founded in January 2021 by Ex ITC employee Kapil Banwari will be utilizing the funds for product development, team building and executing marketing and growth plan.
The Angel Investors including Liberatha Kallat, Mukesh Yadav, and Dinesh Nagpal took part in this funding.
FypMoney is owned and operated by Pockket Payment Technologies Pvt Ltd, the company’s goal is to increase the usage of digital money transactions for teenagers and is set to launch its new mobile app in June 2021 for teenagers.
Founder of FypMoney, Kapil Banwari said “We are at the stage of product development and we will use this funds in making the product better, hiring new and talented employees, marketing and growth plan. We are aiming to have one million users by the end of this financial year and in the next three years the plan is to acquire five million users. We would be raising another round of investment by the end of the year to achieve our five million user goal.”
One of the angel investors, Liberatha Kallat said,”we like the idea of capturing the untapped market with the teenager segment and we see huge potential in it.The platform will help teenagers learn and find aspects of personal finance, empowering teenagers with their own accounts will create a new segment of users and open opportunities in the market. Once we see the penetration and usage, we plan to invest further to develop and enhance additional features in the platform”
The key product features are easy online prepaid account opening and online KYC in 3-5 minutes; issuance of virtual debit card instantly with an option to order physical cards for offline payments and above all easy UPI transactions.
Explaining about the product, Kapil said,”Indian parents mainly focus towards child’s academic literacy, however they often ignore or don’t realize the need of financial education and literacy. With this FypMoney App we wish to fill the gap and help parents to teach the financial literacy and importance of wise savings, money management and financial discipline at an early age to their kids. With the help of this card, which is specially designed and is adapted as per teenagers’ requirements, children don’t have to depend on their parents for digital payments anymore ”
According to the startup, India has around 250 million population in the age group of 11- 19 years with an estimated 15-20 percent mobile phone users, which is rapidly increasing. While the need for such a service was always there, Kapil Banwari asserts that the shift in behavior in the COVID months elevated it.
The FypMoney app claims to be working to establish itself on four main pillars: earning, wise spending, saving, and investing. The overall product development is happening keeping in mind all the financial aspects are covered to give complete financial literacy exposure to the teenagers.