UXR Technologies Private Limited, which runs software-as-a-service (SaaS) startup UserStudy, on Wednesday said it has secured pre-seed funding of $1 million (around Rs 7.5 crore) led by Better Capital.
The round also saw participation from Sparrow VC, Maninder Gulati (global chief strategy officer at Oyo) and Good Capital, with angel investors including Gojek, Microsoft, Meta, Oyo, FlexiLoans and UpGrad.
The Bengaluru-based firm plans to use the fresh funds for team expansion and product development.
Founded by Anshul Divakar and Nitin Matiyali this year, UserStudy is a startup that automates user research for product teams. It claims to help companies get insights from users within a day. Product managers, designers and founders can leverage the platform to quickly validate concepts, prototypes, or live apps.
“Our vision is to build a one stop SaaS for all research needs of product teams globally. While product and design leaders understand the importance of user research, most teams cannot do enough because conducting research is challenging and time-consuming. With UserStudy, it becomes effortless to do research. Insights are generated in a matter of hours, not weeks,” said Divakar.
“Our view is that user research is too complex and too laborious and products and experiences are suffering at scale due this challenge. UserStudy fixes this by making user research 10X easier for product teams globally”, said Vaibhav Domkundwar of Better Capital.
Founded in 2018 by Silicon Valley entrepreneur Domkundwar, Better Capital invests in businesses. It plans to invest in 35-40 companies from this fund in the pre-seed and seed rounds across sectors with the median check size being $300,000. In November last, the venture firm raised its maiden fund of $15.2 million to scale its pre-seed and seed investment strategy backing early-stage startups.
Several SaaS based startups across categories have managed to raise funding in the recent past.
Last month, SaaS company Emitrr raised $4 million in a pre-Series A round of funding led by existing investors Chiratae Ventures, Venture Highway, FortyTwo VC, and Axilor Ventures.
In mid-July, artificial intelligence-based SaaS startup Detect Technologies raised $28 million in a Series B round led by Prosus Ventures along with existing investors Accel, Elevation Capital, Shell Ventures, Bharat Innovation Fund and Blue Hill Capital.
Among equity deals, one large transaction was Toplyne Labs Pte. Ltd, which runs an eponymous software-as-a-service (SaaS) platform. It raised $15 million in its series A funding round co-led by Tiger Global and Sequoia Capital India.
