Noida-based Forex solutions provider MyForexEye has secured $220K (INR 1.4 Cr) Pre-Series A funding from a consortium of high-net-worth individuals and senior bankers.
The investment round saw participation from Rahul Dev Kumar, Executive Director – Transaction Banking at Standard Chartered Singapore; Ankit Sharma, MD at KCS Group of Companies; and Rajesh Mahajan, Head – Power Trading of Knowledge Infrastructure Systems.
The startup is looking to use the newly-raised funding to expand operations across India and overseas in the next five years. A portion of the investment will also go into technology development and marketing, aimed at enhancing transparency of transactions and quality of user experience.
The Pre-Series A funding will allow MyForexEye to widen its reach to around 15,000 B2B and 500K B2C customers by the end of 2021.
Related Article: Indian Startup Funding Of The Week [Funding Galore 7 – 12 Aug]
Commenting on the development, MyForexEye founder, Anand Tandon said, “We established MyForexEye with the prime mission of simplifying forex for SMBs, MSMEs, B2B and B2C businesses. We have put our energy and experience in building this unique concept and have been getting an exciting response from the industry. We see a lot of potential for growth in this sector and hence we decided to take on the investment to support our expansion plans.”
Established in 2014 by a former Chief Manager of ICICI Bank, Anand Tandon, MyForexEye is envisioned as a full-service forex company that works towards simplifying the foreign exchange over India-based importers, exporters, and individuals like NRIs and tourists. Since its inception, the startup has serviced more than 1,000 clients spread across 53 banks. Over the years, it has reportedly processed nearly 50,000 forex transactions worth over $2.1 Bn. It claims to have helped businesses and HNIs save around $11.7 Mn (INR 75 Cr).
At the moment, the company’s portfolio of services includes RateAudit, RateCheck, Transaction Process Outsourcing (TPO), money changing, Trade Finance Intermediation and related advisory services.
RateAudit is a free service that allows guests to check forex margins/spreads on past transactions done with their banks.
RateCheck, on the other hand, allows users to check rates in real-time while transacting with their respective banks. The Transaction Process Outsourcing service enables B2B clients to delegate the task of rate booking with banks to MyForexEye’s team.
MyForexEye also serves as an RBI-licensed money changer for clients in Delhi-NCR region. Users can buy or sell foreign exchange online through the Myforexeye portal. The startup is looking to launch the service in 65 cities in India by 2021.
The 30-member team is currently gearing up to open 105 stores in 65 different cities around the country by 2021.
With the $220K Pre-Series A funding, MyForexEye aims to disrupt the $9.4 Bn (INR 60,000 Cr) windfalls currently made by traditional banking institutions by means of information arbitrage. The company competes against DoorStepForex, ExTravelMoney and Gurugram-based BookMyForex, a marketplace for retail-oriented forex that is working alongside MakeMyTrip to help travellers purchase foreign exchange.