OnFinance, a promising financial services Generative AI startup headquartered in Bengaluru, has just raised $1.05 million in seed funding. The investment was led by Silverneedle Ventures and IAN, with enthusiastic participation from a consortium of investors including LetsVenture Fund, SSV Fund, and Kunal Shah, the mastermind behind CRED, alongside other notable angels.
The core focus of OnFinance is to provide cutting-edge Generative AI Software-as-a-Service (SaaS) solutions tailored specifically for the finance industry. At the heart of their offerings lies a groundbreaking financial Large Learning Model (LLM) known as NeoGPT. NeoGPT is designed to furnish AI-driven support to banking institutions, asset management companies, and wealth management firms across various critical functions, including research analysis, relationship management, sales, and customer success.
Anuj Srivastava, the CEO and co-founder of OnFinance.ai, described NeoGPT as akin to having a sophisticated smart assistant. It not only simplifies complex financial data but also empowers internal teams to make smarter and more efficient decisions.
The platform strategically integrates data sources and generates invaluable financial insights, thus streamlining internal processes and enhancing the capability to make data-driven decisions. The fresh funds acquired will be channeled towards expanding the startup's engineering team and extending its solutions to new markets, with a keen interest in the United States. Currently, OnFinance boasts a talented team of eight employees, including co-founders Anuj Srivastava and Priyesh Srivastava.
Padmaja Ruparel, Co-Founder and Founding Partner at IAN, commented on the transformative potential of Generative AI in the financial sector. She believes that NeoGPT is set to revolutionize how banks and wealth management firms streamline their complex internal processes, marking a pivotal shift towards greater efficiency and data-driven decision-making.
According to the startup, the global financial sector allocates a staggering $2.5 billion annually to embrace AI-based solutions, with applications ranging from financial reporting to rating adjustments, portfolio management, disclosures, and customer interaction.
Ajay Jain, Founder & Managing Partner at Silverneedle Ventures, emphasized the exceptional promise of NeoGPT. The platform has already secured a roster of prestigious clients and is poised for further growth, driven by the wealth of data available for model refinement.
In a broader context, the SaaS market has experienced remarkable growth. According to Statista Market Insights for 2023, the market's revenue reached $213.9 billion in 2022. Projections indicate that it will surge to $253.9 billion in 2023 and is anticipated to reach a staggering $344.0 billion by 2027. OnFinance's innovative approach and NeoGPT technology position them favorably to contribute to this burgeoning industry.
