Gullak raises $7.5 million Series A to expand reach, strengthen brand

Gullak, a gold savings app, raised $7.5 million in Series A funding round led by Chiratae Ventures.

 

The round saw participation from White Venture Capital, Samved Ventures, and existing backers Y Combinator, GMO & rebel funds.

 

The fresh capital will be used to strengthen brand presence and marketing, expand reach across Tier-II and Tier-III cities, and deepen partnerships with India’s largest jewellers.

 

“This money is for us to grow towards the next milestone which is $10 million ARR in the next 12 months. We also want to grow to 10 lakh users (during the same period),” Dilip Jain, co-founder, Gullak, told Business Standard.

 

At present, the company has a base of three lakh active transacting users and accrues $2.5 million annual recurring revenue (ARR).

 

The company had raised a $3 million seed round in 2023, Tracxn data shows.

 

Since its launch in 2022, the company claims that users have saved more than 1,000 kgs of gold using the platform.

 

In a statement, the Bengaluru-based company stated that an average of Rs 7,000 is saved per month every user.

 

Through its app, users can set up gold SIP’s starting with Rs 100 per day, or make one-time purchases.

 

The firm has partnered with jewellery chains across 5,000 stores nationwide, allowing users to redeem their invested amount at these outlets.

 

“A user can walk into any of these 5,000 branches all over India, purchase a jewellery of your choice and at the checkout they can use their Gullak gold balance. So for deep integration, they will get a discount on their invoice and the equivalent balance will be debited from Gullak app,” Jain added.

 

He explained that the company planned to focus on remaining a neutral layer for gold savings in the country.

 

This implies that the company partners with multiple jewellery chains where users can redeem their savings instead of building a separate jewellery brand grounds-up.

 

Gullak also provides doorstep delivery of gold coins based on the user’s investment along with direct cash transfers.

 

The company was founded by Naimisha Rao, Dilip Jain and Manthan Shah.