The Australian scale-up fintech Future u (Fu), a lifestyle money management platform empowering consumers with a smarter way to manage, save and spend their money, announced its latest capital raising round to assist the delivery of contracted revenue deals with merchants, as well as a pipeline of over 11 Australian banks and mutuals looking to offer whitelabel cash flow management and financial wellness tools to their customers.
Fu is running a dual track capital raising process by seeking investment from wholesale investors of $1.5m, as well as for the first time, retail investors through a crowdfunding campaign with On Market to raise $1.5m, totalling $3m. Fu is looking to enable its membership base of over 240,000 the opportunity to invest and own part of the company.
The firm has already secured over half of the investment portion from existing shareholders, with Ben Yeo of Moore Partners in Melbourne engaged to assist close the round. The firm’s largest shareholders, Jack Gance and MD, Michael Fredericks have invested in the round.
What is Fu’s market offering?
Fu has attracted a large membership base of over 240,000 people by helping consumers achieve financial wellness with its lifestyle money management platform. Using customer transactional data, machine learning, and proprietary technology, Fu provides members with a holistic forward view of pay cycles to inform smarter cash flow management choices.
This enables smart saving options, real-time insights into customer eligibility for responsible payment smoothing whilst also offering SmartSpend features to provide cash back rewards and switch-and-save options, based on personalised spending insights. Having established consumer demand for the platform, the company’s focus over the last 12 months has been on enabling banking and merchant partners with a customisable whitelabel option.
We are working with some of Australia’s top brands to meet the evolving needs of this new generation of customers in a responsible way that aligns with our partners’ brand values.
Fupay’s financial wellness approach has resulted in a recent growth chapter for the company, with contracted merchant deals, and a growing pipeline of over 11 banks and other fintechs looking to utilise Fupay’s platform, as well as 3 core banking companies working towards upselling our unique features to their customer base of over 100 banks, fintechs and lenders.
What were the executive’s thoughts on the funding?
Founder and Managing Director of Fupay, Michael Fredericks said, “There has never been a greater need for proactive money management and financial wellness tools, than now. The cost of living is spiking. Interest rates are rising. There is some real pain and fear out there.”
“People need to be smart with their money. Budget apps don’t solve this problem and people don’t use them. Consumer credit is broken with credit cards being abandoned and BNPL coming up short. Comparison, switching and cash back products are broken. They don’t know their customer. People want to build wealth but don’t know how and need help putting money aside each pay. Fu was built to meet this growing need.” Michael Fredericks added.
Michael Fredericks further commented “It’s a very exciting time for the firm. We have spent a number of years focussed on building and refining our platform with real clients at scale.”
“A core part of this journey has been developing our data and machine learning capabilities to more intuitively understand and predict consumer behaviour across future paycycles, enabling members with actionable insights and the ability to manage their money, in the one App. We are alone in the market in offering these features as a customisable, whitelabel solution.”
“We are excited to partner with a number of Aussie banks to enhance their app features and financially empower their clients. Building these kinships has been a 2 year journey for us.”