Chennai-based fintech startup IppoPay has raised $2.1 million (around Rs 15.7 crore) in seed funding from Coinbase Ventures, Better Capital, and Blume Founders Fund, the company said in a statement on Tuesday.
The round saw participation from Madhu R and Prabhu R, founders of M2P Fintech, Fego CEO Kumar S, - partner at PointOne Capital Archana Priyadarshini, partner at Rocketship VC Sailesh Ramanakrishnan, and Kuberan M – YC Angel Investor.
The fresh capital will be used to further strengthen IppoPay’s technology stack, including its payments engine, as well as power the company’s growth into new regions and market segments, such as small-to-medium-sized businesses. The company is also launching a buy-now-pay-later (BNPL) service, the statement said.
In September, IppoPay had raised an undisclosed amount of pre-seed funding from Better Capital, Prabhu Rangarajan, Co-founder of M2P, and Sailesh Ramakrishnan, Partner at Rocketship VC.
Founded in November 2020 by Mohan K and Jaikumar R, IppoPay is a payment aggregator that allows businesses to gather and accept client payments. It primarily operates in semi-urban India, enabling small enterprises, SMEs, freelancers, and homepreneurs in tier II, III, and rural areas to make digital payments.
The company said it has enabled 50,000 offline merchants and daily income earners in the Indian Tier 2, Tier 3, and rural markets to increase their revenues through the acceptance of online payments.
“Our goal is to help offline merchants increase their sales and profits 10x while reducing friction in the customer experience,” said Mohan K, IppoPay CEO.
Sarita Raichura, Blume Founders Fund said, “Our thesis when it comes to the payments and credit space is that to be successful, companies must have a keen interest in solutions that are concentrated on specific areas. They have focussed on solving problems for Solopreneurs and SMEs in Tier 2/3/4 India and are providing a full-stack payment solution.”
