raises $85 million in equity, debt to new savings super app


In the current inflationary environment we are all looking for ways to cut costs and save some money., formerly Snapcommerce, launched its cashback card last October, allowing card users to build credit, and has grown to 5 million customers worldwide, who have saved more than $150 million to date, according to CEO Hussain Fazal. It now has a vision of helping “everyday Americans” find deals and savings in a variety of categories, including travel and shopping, through its super app.

Fazal told TechCrunch that is bringing together more and more features from big companies like PayPal, Uber and DoorDash under one app. Some, like Hive, are helping people save more. However, Fazal is shaping his superapp after WeChat, with his company breaking into verticals like travel and fintech. WeChat has managed to increase its user base to billion.

“Unlike other super apps, we’re trying to have a theme that our customers are drawn to, and we think savings is that theme,” Fazal said. “Also, we’re seeing high sales volumes of people buying one product and now buying another. That won’t always be the case.”

Helping the app grow is an $85 million investment, which includes $60 million in equity and $25 million in a debt facility. This gives the company a total of about $200 million, Fazal said.

Innovia Capital led the round and was joined by new investors including Shopify President Harley Finkelstein. CEO Deb Liu; Alan Shim, former CFO of Slack; Golden State Warriors CFO Josh Proctor; Substack CEO Chris Best; Whudat CTO Nhna Neklub Mike Lee, co-founder of MyFitnessPal; dash capital; EDC and Plaza Ventures. Existing investors, Telstra Ventures, Acrew, Lion Capital and NBA superstar Steph Karim participated.

Fazal last raised funds in 2018. .

“There is a lot of focus on unit economic trends and what the business is like,” Fazal said. “Investors are now questioning whether they will give this round if the company has enough money to become a standalone business.”

For him, he thinks is on its way to becoming one of those independent businesses. The company grew double digits last year and is on track to surpass $1 billion in gross merchandise volume and $100 million in net income by 2023.

Fazal said it is focused on top-line revenue and unit economics in this fundraising environment, which has managed to close the round on a positive note, raising expectations to nearly double revenue by 2021.

It intends to deploy the new funding into product and engineering resources to develop new features for SuperCash and the app as a whole. The company is also R&D on more ways to offer savings, such as essentials like gas and groceries that have been hit hard by current inflation.

“We’ve seen incredible growth in users and transactions, triple-digit growth per month, by talking to more customers to get data-driven research so we’re building what someone wants,” Fazal said. “Now we’re building America’s first savings app so our customers can think of us for every purchase, whether they’re booking travel or buying groceries.”


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