EduFund Mops Up $6 Mn From Cercano, MassMutual

Education-focused fintech startup EduFund has secured $6 Mn (INR 51.8 Cr) in a Series A funding round led by Cercano Management, with participation from existing investor MassMutual Ventures.

The startup plans to deploy the fresh proceeds to launch its customised planning engine that caters to customers’ savings and loan needs tailored to their financial goals, besides expanding its loan offerings and outreach in tier II and III cities.

Founded in 2020 by Eela Dubey and Arindam Sengupta, EduFund offers a full-stack solution to help Indian parents plan, save, and invest in their children’s education. The company claims it works with more than 250K families and has a partner network of over 40 asset‑management firms and more than 15 lending institutions. 

The startup had previously claimed that it enabled parents to plan ahead and save across different asset classes to meet the rising costs over time.

EduFund lets parents invest in mutual funds, US ETF and digital gold. The startup has partnered with Kotak Mahindra Bank, HDFC Bank, ICICI Bank, Navi and other mutual funds and asset management companies for the same.

“With costs rising at home and abroad, the middle‑class Indian parent faces a major challenge. Backed by a community of 250,000 families, we are more committed than ever to solving this problem, and this Series A fundraise is a testament to that commitment,” Dubey said.

Since its inception, the startup has raised $12 Mn from DSP Mutual Fund, CRED’s Kunal Shah and Anchorage Capital Partners.

On the financial side, the company reported an operating revenue of INR 1.17 Cr in the financial year 2022-23, a 930.9% jump from INR 11 Lakh in FY22. Meanwhile, its loss for the same period swelled by 18.3% to INR 4.04 Cr, compared to INR 3.41 Cr in the previous fiscal.

The development comes at a time when there has been a slow-paced growth and interest in the edtech sector. Based on data from Inc42’s Indian Tech Startup Funding Report, H1 2025, edtech has been one of the least funded sectors, securing $188 Mn across 15 deals, in the initial six months of 2025.

On that note, investors are willing to make safe bets on established startups and the innovative tech-based players, as there is an evident slump in demand post the pandemic period. Edtech focussed fintech players are equally impacted by the wider landscape.

Earlier this year, overseas education startup Leap’s student lending arm Leap Finance secured a $100 Mn (INR 870.66 Cr) debt facility to help more students in their pursuit of international education, expand services further in the US and strengthen its presence in India.