YAP funding

YAP, a Mumbai-based API platform, has acquired $10 Mn in a Series B funding round led by Omidyar Network India and Flourish Ventures. This is Flourish Ventures’ first investment in finance infrastructure in India.

Existing investors of the startup 8i Ventures, BEENEXT, and Better Capital also participated in this round.

Ahead of this, YAP had acquired $4.5 Mn in Series A funding round in April 2020 led by Dirk van Quaquebeke at BEENEXT. Alok Mittal from Indigo Technologies, Ashneer Grover from Bharatpe, Amrish Rau from PineLab, Jitendra Gupta from Jupiter, and Abhishant Pant of Fintech Meetup had also participated in the Series A round. The startup has acquired a total of $15 Mn to date over funding rounds.

Founded in 2014 by Madhusudanan R, Muthukumar A, and Prabhu R, the API platform offers solutions to fintech startups for rapidly developing and rolling out payment solutions. The company offers rewards and tools such as issuing gift cards, physical or virtual prepaid cards that its clients can personalize for their user base. Additionally, it offers QR code solutions to payment companies.

It has collaborated with 20 Indian banks such as DCB Bank, Yes Bank, Equitas SFB, and SBM Bank for the API platform that it offers to its 200+ customers. Some of YAP’s API platform clients include Redcarpet, Slice, CRED, Ola, PaisaBazaar, Open, Niyo, among others.

YAP intends to use the acquired funding to enter the international markets and to recruit fresh talent to its team. The startup plans to expand to Saudi Arabia, Bangladesh, Oman, Vietnam, Egypt, and Indonesia. As of now, it serves in India, the United Arab Emirates (UAE), Nepal, New Zealand, Australia, and the Philippines.

In a press statement, Madhusudanan, cofounder at YAP, said, “We are uniquely poised to cater to new cohorts of distributors as more firms embed financial services into their digital platforms. This investment allows us to strengthen our technology teams, build new capabilities as well as reach new markets across Asia.”

In 2020 as the world stepped into a Covid-induced lockdown, India witnessed immense growth in the transactions of mobile payments in terms of value. Transactions worth 660 Mn were made using mobile phones in India, resulting in 2.2% of the world’s digital payments market in 2020.

Between the fiscal year (FY) 2016 and FY2020, the volume of digital payments has grown at a compounded annual growth rate (CAGR) of 55.1%, from 593.61 Cr i March 2016 to 3,434.56 Cr in March 2020. While FY20 saw a huge rise in volumes over the previous year to 3,434.56 Cr. In value terms, it registered a marginal decline of 0.9% to INR 1,623.05 lakh Cr from INR 1,638.52 lakh Cr in FY19.

As the company is expanding, it is also looking for talented professionals to join its team. Currently, there are job openings for the post of Sr. Product Designer, UI Designer, and API Developers based out of Chennai. Applications for these roles can be sent by visiting the careers page on the company’s website.