SOSV and Venture Catalysts lead $1.7M pre-Series A round in The Money Club

• ByAyushi Ray     |    September 29, 2021

SOSV and Venture Catalysts lead $1.7M pre-Series A round in The Money Club. The pre-Series A round also saw participation from other investors including Blume Founders’ Fund, LetsVenture, Keiretsu Forum, Rockstud Capital, Astarc Ventures, and LIV Advisors Ltd. Founded by IIT Kharagpur friends, Manuraj Jain and Surajit Ray, The Money Club leverages AI algorithms to effectively underwrite high frequency, micro pooling of funds by studying user behaviours. Acting as an artificially intelligent chit fund cashier in the form of an Android app, the startup claims to deliver a higher value proposition to savers, investors, as well as borrowers — compared to all other available options in the market.

With the fresh infusion of capital, The Money Club aims to disrupt India’s largely unorganised $50 billion chit fund sector and bring greater security and transparency. Manuraj Jain, Founder and CEO of The Money Club, said, “Users have been pooling money for over 700 years and this market has been growing at a 15 percent CAGR for the last 10 years. High onboarding barriers and lack of innovation in savings products has driven 180 million in India to resort to pooling funds illegally in the form of committees, beesi, chitty, and chit funds, and expose themselves to fraud and loss of their hard-earned money.”

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