Sanlo Raises $3.5M to Empower Apps & Games with Financial Tools

A New Fintech Solution for App and Game Developers: Sanlo

Conceptualizing a successful app or game is only the first step; achieving sustainable business growth presents a distinct challenge. Sanlo, a recently launched fintech startup, is dedicated to assisting developers in navigating this complex landscape.

The company announced today a successful seed funding round exceeding $3.5 million. Sanlo provides small and medium-sized game and app businesses with the necessary financial tools and capital to accelerate their expansion.

Sanlo's Unique Approach to Financing

Unlike traditional investors, Sanlo does not acquire equity in the companies it supports. Instead, it delivers access to technology, analytical tools, and valuable insights. These resources empower businesses to achieve scalable and intelligent growth while maintaining financial stability, even with limited resources.

When Sanlo’s advanced algorithms identify opportunities for strategic capital deployment, the company offers financing options to facilitate further development.

The Founders' Backgrounds

The foundation of Sanlo stems from the expertise of co-founders Olya Caliujnaia and William Liu, both seasoned professionals in the fintech and gaming industries.

Caliujnaia’s career began in venture capital, focusing on mobile technology. She subsequently transitioned to operational roles within prominent companies like EA, Getty Images, and SigFig, before joining XYZ.vc as an Entrepreneur in Residence.

Liu’s experience includes work in gaming at EA, followed by a shift to fintech roles at startups such as Earnest and Branch.

Reconnecting in San Francisco, the co-founders recognized a need to leverage their combined knowledge to assist emerging businesses in determining optimal scaling strategies, investment priorities, and capital requirements.

Addressing the Challenges of App and Game Scaling

Caliujnaia observed the evolution of the app and gaming market, recognizing the increasing difficulties faced by new developers.

“The app economy is experiencing incredible growth, fostering creativity, passion, and a strong desire to build,” she explains. “This is truly exciting.”

While modern companies benefit from improved development tools, broader talent pools, and strong consumer demand, scaling a consumer app or game has become increasingly challenging.

“This difficulty often stems from the dynamics of the free-to-play model – how monetization impacts user acquisition – and the heightened competition for visibility. Ultimately, it often comes down to effective marketing strategies,” Caliujnaia states.

Data-Driven Insights and Capital Access

Many of the decisions companies face are predictable, allowing Sanlo to provide insights without requiring extensive one-on-one consulting.

Sanlo gathers data related to product monetization, customer acquisition, retention, marketing performance, and key financial metrics. Its predictive algorithms then analyze this information to identify growth opportunities and recommend strategic investments.

This approach extends beyond advisory services; Sanlo provides companies with access to non-dilutive capital, meaning it does not take an ownership stake in the businesses it finances.

A Different Approach Than Venture Capital

Caliujnaia believes this model is more effective than returning to the traditional venture capital landscape, due to its potential for broader reach.

“Our focus is on empowering a wider range of developers, rather than solely seeking the next big hit,” she says. “This represents a fundamentally different mindset and target market.”

Sanlo’s competitive landscape includes Silicon Valley Bank and other financial lenders, as well as mobile gaming publishers. However, the publisher model often involves equity ownership, a key differentiator for Sanlo.

Some larger gaming companies also provide debt financing to smaller ones, as seen with Supercell’s recent investment in Metacore.

Empowering Long-Term Sustainability

Caliujnaia emphasizes that many smaller companies lack access to such financing options, which Sanlo aims to address.

“Our goal is to foster a healthier ecosystem of companies capable of long-term survival,” she explains.

This translates to fewer companies facing pressure to aggressively monetize users or rush towards an exit due to financial constraints.

Future Plans and Funding Details

Sanlo is currently piloting its system with a select group of mobile game studios and plans to expand support to consumer apps, which face similar challenges.

Founded in 2020, the San Francisco-based startup has secured $3.5 million in seed funding, co-led by Index Ventures and Initial Capital, with participation from LVP, Portag3 Ventures, and XYZ Venture Capital. Angel investors include Kristian Segestrale, Gokul Rajaram, and Charley Ma.

Ken Lamb of Initial Capital has joined the board of directors, while Mark Goldberg of Index and Ross Fubini of XYZ will serve as board observers.

“Sanlo has unlocked a new approach to help mobile gaming and app companies mature quickly, efficiently, and with strong financial health,” said Goldberg. “They are developing a sophisticated fintech solution that will provide these companies with significant advantages.”

Sanlo intends to utilize the funds to expand its team and product offerings in preparation for a public launch later this year.