A young Indian startup that is betting that wage access solutions will be earned in the South Asian nation said on Wednesday that it has closed a new round from high-profile investors.
Bengaluru-based refinery on Wednesday said it has raised $16 million in Series A funding from partners DST Global and RTP Global. The startup also revealed that it raised a $4.1 million seed round in December from Ara VC and QED Investors and XYZ Capital, all of whom also participated in the new round.
ClearTips reported last month that Refin was in talks with RTP Global to raise money.
Refyne works with employers to provide their employees with real-time access to their earned pay. For example, an employee can see how much he has earned in a week and can withdraw a portion of it whenever he wants.
Chitresh Sharma, co-founder and CEO of Refines, explained that the idea is that many individuals in India run out of cash by the end of the month and then some take out loans on favorable terms to meet their needs. Huh. “An employee should have the option of accessing their earnings at any time,” ClearTips said in an interview.
It is a concept that has taken off in many markets, but is yet to be tested in India. Earlier on Monday, Indonesian startup Wegley announced a $5.5 million fundraising to test the idea in the Southeast Asian market.
Third-time founder Sharma said Refine’s plug-and-play software is for all types of employers, and the platform can benefit blue-collar as well as white-collar workers.
“The need for financial inclusion today is more important than ever. As the first company in India to provide earned pay access, Refyne could revolutionize the way millions of workers manage their money. By providing a genuine, affordable alternative to payday loans, Refyne will not only improve an individual’s financial health, but it will add control for the consumer and dramatically reduce the stress on those who are unable to meet their financial obligations. concerns,” said QED Investors Managing Partner and Co-Founder Nigel Morris in a statement. This is QED’s first investment in India.
More than 100 companies in India are already using Refyne’s platform, serving over 300,000 employees. Some of the clients include Rebel Foods, Cafe Coffee Day, Heera Group and Chai Point.
This is a developing story. More to follow…