EF-Backed Fello App Infuses Gaming and Finance, Captivating Over 800,000 Users

Fello is a savings app that combines gaming and finance, allowing users to grow their money through interactive saving in secure assets. With a strong focus on incentivizing Gen-Z individuals, Fello has experienced exceptional growth under the visionary leadership of its Co-Founder & CEO, Manish Maryada, and Co-Founder & CTO, Shourya Lala. Fello aims to revolutionize the finance industry by infusing excitement, ease, and incentives into saving, garnering the loyalty of over 800,000 users.

Developed as part of Entrepreneur First’s (EF) renowned program, this startup has witnessed exponential progress. With a remarkable track record of investing in over 600 companies globally in the past decade, now collectively valued at over $10 billion, Entrepreneur First has become a prominent force in the startup ecosystem. In India alone, they have nurtured and supported more than 45 startups in their portfolio. Entrepreneur First identifies exceptionally talented individuals who possess unique qualities intrinsic to successful entrepreneurs and invests in them to build impactful tech startups.

Q1. How has EF played a crucial role in supporting Fello’s growth journey?

Answer: Fello was conceived at Entrepreneur First’s second cohort in India in 2020, receiving crucial pre-seed funding and resources from the UK-based talent investment firm. Entrepreneur First has played a pivotal role in fostering Fello’s growth journey. When Manish and I joined EF, our primary objectives were to find a co-founder, receive advisory support for our business, and secure capital. EF provided us with an outstanding platform to collaborate with exceptionally talented individuals. Their advisory team offered invaluable guidance during the initial stages of building our startup. Moreover, EF facilitated introductions to venture capitalists and even led our seed round, enabling us to secure the necessary funding to propel our growth.

Q2. Can you share any mentorship experiences or peer learning opportunities that have helped Fello’s team during their journey?

Answer: We consider ourselves extremely fortunate to have had an exceptional group of mentors and peers who played a pivotal role in supporting us throughout our startup journey.

The mentorship we received from the EF India team in the very beginning of our journey proved to be invaluable. Their guidance and expertise were instrumental in helping us overcome the numerous challenges that we, as founders, encountered along the way. The EF India team not only provided us with guidance but also instilled in us a sense of humility and groundedness, reminding us to stay focused and level-headed, even in the face of success. The entrepreneurs-in-residence associated with EF were particularly influential, offering us their expertise in areas such as product development, technology implementation, and marketing strategies.

We cannot overstate the power of mentorship and peer learning experiences. These experiences have played a significant role in our growth and development as entrepreneurs, shaping our perspectives and equipping us with the necessary skills to navigate the challenges of the startup world.

Q3. How did EF’s global advisory and funding help Fello in realising its potential?

Answer: EF’s global advisory and funding were instrumental in unlocking Fello’s true potential. The belief and investment from Matt Clifford, Co-founder & CEO of Entrepreneur First, and Joseph Ros, Partner at Entrepreneur First, played a pivotal role in our journey. Joe, in particular, has been an unwavering source of guidance, offering both encouragement and constructive criticism to help us overcome challenges and drive our business forward.

EF’s support extended beyond financial backing. They actively assisted us in shaping our funding strategy and facilitated introductions to the right investors. Through a highly beneficial US roadshow, organised by EF, we had the privilege of connecting with leading investors from around the world. This exposure to EF’s extensive global network and their expertise proved invaluable in accelerating Fello’s growth trajectory.

Q4. Could you provide more insights into Fello’s funding journey and plans for scaling and growing the company?

Answer: Fello has successfully raised over $5M through two rounds of funding. Our journey began with a seed round led by EF, a pivotal milestone that validated our product on a large scale. With this validation, our focus shifted towards nationwide expansion and the introduction of more gamified finance products. To fuel this ambitious plan, we raised a fresh round of $4M USD, with Courtside Ventures leading the investment. Throughout our funding journey, we have been incredibly fortunate to receive support from renowned organisations such as Y Combinator, Goodwater Capital, Acequia Capital, as well as notable angel investors including Kunal Shah, Lalit Keshre, Bala Parthasarathy, Charlie Songhurst, and many others. With this capital, our goal is to expand our user base to over 5 million users by the end of this financial year. Additionally, we are working towards introducing a suite of gamified fintech products unlike anything seen before.

Q5. What are some of the lessons learned by Fello’s co-founders as entrepreneurs, and how did EF support them in overcoming any challenges they faced?

Answer: One crucial lesson we learned as entrepreneurs is that as long as consumers are ready to buy a product, no other opinions matter. This valuable insight was shared by our mentor at EF during the initial challenges of building and validating our product, when we faced rejections from venture capitalists. Additionally, our advisor at EF provided us with the right direction to tackle every challenge we encountered. Whether it was addressing simple customer interview challenges or navigating complex legal issues, EF has been a constant source of support, offering guidance and assistance in various aspects of our business.

Q6. Can you explain more about how Fello’s game-based savings and investment application works, and how it differs from traditional savings accounts?

Answer: Fello’s revolutionary game-based savings and investment application transforms the landscape of personal finance. For every Rs. 500 saved, users receive one tombola ticket, granting them access to the weekly tombola game with a chance to win rewards of up to Rs. 1 crore. Even if they don’t win, their money grows by an impressive 12% annually. We firmly believe in making banking an enjoyable and rewarding experience, and this innovative concept, known as prize-linked savings, has seen success in countries like the US, UK, UAE, and Africa. Notable companies such as Yotta, Prizepool, and national banks in the UAE, as well as government bonds in the UK, have already embraced this concept. Fello brings these success stories to the Indian ecosystem, offering a gamified experience that sets us apart from traditional savings accounts.

Q7. How does Fello ensure the security of its users’ funds and personal information while providing its services?

Answer: At Fello, the security and safety of our users’ funds and personal information are paramount. As co-founders, both Manish and Shourya bring a wealth of experience in financial operations, legal compliance, and product security. We have implemented stringent security measures and adhere to best practices to protect consumer information. Our platform incorporates industry-standard encryption and data protection protocols. Moreover, we maintain strict compliance with regulatory requirements, ensuring the utmost level of security and privacy for our users.

Q8. How has EF’s investment during the early stage of setting up a business helped Fello prepare to realise its potential?

Answer: During the early stages of setting up our business, EF’s investment played a vital role in positioning Fello to realise its potential. Early-stage startups require funding to build, validate, and scale their operations, and as a fintech company, capital was crucial for obtaining licences, developing software, and marketing our product. EF’s investment provided us with the necessary financial resources to establish a strong foundation for our business and set us on the path to growth and success.

Q9. What kind of support and guidance has EF provided to startups like Fello to manage cash flows during inflation, pandemic, and demand crunch?

Answer: One of the invaluable pieces of advice we received at EF was the importance of raising capital in a manner that provides us with a minimum runway of 24 months. The experienced advisors at EF guided us in understanding how to navigate through crises, develop contingency plans, and effectively manage our finances. They emphasised the significance of maintaining lean operations, prioritising organic growth, and exploring innovative revenue streams. The guidance we received from EF has played a vital role in enabling us to efficiently manage our capital, overcome financial challenges, and set a solid foundation for sustainable growth.