FamPay, a family-friendly digital payment app where parents can send money to their children just like they send a photo or text chat, andd which despite being not too well known is backed by Y Combinator and WeWork Labs, is in talks with VC firms Sequoia and Lightspeed Venture Partners is looking to raise $8 million in funding.
The company is founded by Kush Taneja and Sambhav Jain, who recently completed their engineering from IIT Roorkee. Jain served as a part of the product team at Hotstar and AEON Learning while Taneja has worked as a product designer and interned at popular startups such as ShareChat, Bolo and PhonePe.
_________________________________________________________________________ Join India’s first startup directory catering to all the stakeholders of India’s startup ecosystem, REGISTER YOURSELF HERE NOW! __________________________________________________________________
FamPay allows users to pay online and in-store throug the mobile app, debit card and UPI, while it aims to grow the future of banking and finance for children in India. It was a part of Y-Combinator’s Summer batch 2019 and the startup targets 250 million teenagers aged below 18, who aren’t able to access digital payments and often bound to take physical cash from their parents.
In a close group or family, FamPay can be a nifty tool to split bills and send money without any paperwork, hidden charges or conditions for minimum balance. In short, it’s a shared account for the entire family, just like a family plan offered by telecom companies. Adults can use it individually.
FamPay comes with a simple UI/UX to suit the audience using any payment app for the first time. It is also launching FamPay card powered by Visa soon.
To get premium access, users have to invite their family members/friends and get them signed up to join the waitlist.
Users can also refer the app to earn virtual coins to avail offers, deals and rewards.
The company being less than 6 months old now, is about to get investments from Sequoia Capital and several angels including former WhatsApp Business Chief Neeraj Arora.
Sequoia would be investing about $4 million while remaining $1 million will come from angels.
Lightspeed is also in conversation to invest around $3 million in the company. If Lightspeed also joins, the round can go up to $8 million.
Listen to the third Episode of our podcast series : ‘Success Decoded’ here!