Bangalore-based Balance Technology Pvt Ltd, which runs fintech app Balance, has raised Rs 1.5 crore (around $233,000) from Rainmatter, a fintech fund and incubator managed by stock broking firm Zerodha, Ankit Kumar, co-founder and chief executive of Balance told VCCircle.
The startup will use the funds for hiring talent and marketing, he added.
“Rainmatter has a corpus of Rs 35 crore, and we have invested around Rs 15 crore so far," said Nithin Kamath, founder and chief executive of Zerodha. This is Balance’s first funding round, he added.
Balance is a savings management app that invests users’ money in debt mutual funds that have zero lock-in and offer returns of up to 8.7% per annum. The startup was founded last year by two IIT-Kanpur graduates, Kumar and Abhishek Malik. It currently has a team of seven employees.
The development was first reported by The Economic Times.
Rainmatter, which was founded by Kamath in 2015, is a startup incubator that provides workspaces, mentorship, and funding between $100,000 and $500,000 to fintech and tech startups. It has previously invested in startups like Neotrade, a stock market data provider and fintech startup TradeLab.
Other startups that provide a platform to manage expenses include Fyle Technologies, which in February this year raised $400,000 (Rs 2.67 crore) in seed funding led by early stage venture firm Pravega Ventures.
In November last year, Gurgaon-based numberz.in raised $650,000 from Kae Capital and Khosla Impact.
In March 2016, Bangalore-based investment management portal Wealthy raised $250,000 (Rs 1.5 crore) from a group of angel investors including Toppr.com co-founder Zishaan Hayath.
In October 2015, Bangalore-based VA Tech Ventures Pvt Ltd, the company behind business expense management tool venture Happay, raised $500,000 (Rs 3.1 crore) from seed-stage VC firm AngelPrime.
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