Australian money management app startup Moneysoft has closed a $500,000 follow on funding round that brings its total funds raised to $1.5 million, which will be used to continue its rapid growth in the financial services space.
The BlueChilli backed startup says the funding will assist expanding its reach in the sector.
The platform automatically collates all of its users’ financial data, making it easy to for them to manage their finances.
Moneysoft’s service, which is available for free, is aimed at people aged between 25 and 45 who take an active role in managing their households’ finances.
While it’s not unlike Pocketbook, Moneysoft’s main competitor is Xero Cashbook, which offers a similar service that’s based on a monthly subscription fee.
It monetizes its service by charging partners in the financial services industry a fee to allow them to use it as a tool to offer improved financial advice to their clients.
Moneysoft founder Peter Malekas says the company, which was founded in late 2010, is on target to achieve its goal of 100,000 users, although he kept the specific details of that goal to himself.
“I think what we are all doing as competitors, if you look at the positives of competition, we’re creating awareness around managing your finances and the tools that are available for Australians in general,” Malekas says.
“As opposed to once upon a time, when it was purely just Excel or digging out receipts.”
Malekas says the company already has over 50 partners and is in negotiation with two of Australia’s largest financial advice groups and a number of additional industry funds.
In addition to helping with growth, the funds will also allow Moneysoft to hire key personnel to fulfil specific needs brought about by that growth.
It’s set to expand from eight full-time employees to between 12 and 15.
It’s already made one of those key personnel hires, naming Jon Shaw, formerly of IBM, as its new head of technology and commercial operations.
“Over the past 18 months, I’ve seen first-hand what a great job Peter and the Moneysoft team have done to get this brilliant application built and market-ready,” Shaw says.
“I’m humbled to be invited in as part of the team that will take Moneysoft to the next stage in its evolution.
“It’s rare to have the opportunity to be involved in such a visionary and exciting technology, and we’re all hugely enthusiastic to grow this little Australian company into a great Australian brand.”
Kye began his career at a Fairfax daily on the North-West Coast of Tasmania. He has since taken his belongings, and keen interest in technology, to Melbourne. He has a bachelor of Arts majoring in Political Science from the University of Tasmania and a Graduate Diploma in Journalism from RMIT University.
