Abound Raises $14M to Simplify Money Transfers for Indian Americans

Abound Secures $14 Million in Seed Funding

Abound, a remittance application originating as a spin-off from Times Internet in 2023, has successfully completed its initial external funding round, raising $14 million. This capital infusion will be utilized to broaden its reach among Indian expatriates residing in the United States.

Growing Remittance Flows to India

The volume of money sent to India is experiencing a significant increase, coinciding with the expanding global Indian diaspora. According to a recent World Bank report, India received $129.1 billion in remittances during 2024. This represents a 14.3% share of the worldwide market, positioning the nation as the leading recipient.

Abound is strategically positioned to capitalize on this upward trend through its dedicated mobile application.

Understanding the Affluent Indian Expat Market

“Indian immigrants represent one of the largest immigrant communities within the U.S. The typical U.S. household earns approximately $58,000 annually, while the average Indian household income is around $150,000. This disparity highlights the financial strength of Indian expats, who are currently underserved by products and services tailored to their specific needs,” explained Nishkaam Mehta, CEO of Abound, during a recent interview.

From Times Internet Incubation to Independent App

Prior to assuming the role of CEO, Mehta spent over four years at Hulu, leading mobile strategy and growth initiatives. He joined Times Internet in 2019 following a meeting with Vice Chairman Satyan Gajwani, with the goal of developing a comprehensive “super app” designed for nonresident Indians.

The venture initially began as Times Club and was nurtured within the technology division of The Times of India Group.

Abound’s Feature Set and Future Plans

Currently, Abound enables users to transfer funds to India, accumulate rewards, and receive cash back on various services. These include live sports streaming, grocery purchases, and subscriptions to OTT platforms.

The company intends to explore additional features, such as access to high-yield savings accounts, investment opportunities focused on India, and cross-border credit solutions.

Strategic Partnerships with Banks

“As a super app, our vision includes integrating banks directly into the platform,” Mehta conveyed to TechCrunch.

Impressive Growth Metrics

The company reports having facilitated over $150 million in remittances from more than 500,000 active monthly users. Furthermore, revenue has been increasing by 50% month-over-month since the app’s launch.

Abound’s remittance volume has grown by 15% each month, with $110 million to $120 million processed over the last year, according to Mehta.

Revenue Streams and Competitive Advantage

Abound generates revenue through advertising related to rewards programs and the spread on foreign exchange rates during money transfers. The foreign exchange market presents a substantial opportunity for expansion, Mehta noted.

The company also benefits from the extensive reach of The Times of India, with over 50 million monthly online visitors outside of India, aiding in user acquisition and reward offerings.

“Unlike competitors who rely solely on exchange rate advantages for user acquisition, our rewards program, powered by The Times of India and other local advertisers, reduces our customer acquisition costs. This allows us to remain competitive on exchange rates,” Mehta stated.

Seed Round Details

This seed funding round was entirely equity-based and led by NEAR Foundation, with participation from Circle Ventures, Times Internet, and other investors. The funds will be allocated to expanding the company’s presence, enhancing its service offerings, and upgrading its technological infrastructure.

Addressing a Gap in the Market

“U.S. banks typically do not prioritize the financial needs of this demographic due to the lack of dedicated banking products for the NRI population. We recognize this as a significant gap and a substantial opportunity,” Gajwani explained.

Times Internet’s Continued Support

Following the investment, Times Internet will remain the largest stakeholder in Abound. Gajwani confirmed that Times Internet will leverage its strategic assets to accelerate Abound’s growth trajectory.

Competition and Differentiation

The remittance platform market is competitive, featuring established players like Western Union, PayPal, and MoneyGram, alongside newer companies such as Remitly and Wise. However, Mehta believes Abound distinguishes itself by “super serving” users with competitive exchange rates, rewards, and cash back options at approximately 5,000 Indian grocery stores, as well as access to livestreamed cricket.

Team Expansion and Future Markets

Abound currently employs a team of 40 individuals, primarily located in India. The company plans to increase its workforce and establish an executive team in the U.S.

Looking ahead, Abound intends to expand into markets like Canada, Singapore, and the UAE, all of which have significant populations of nonresident Indians. However, the immediate focus remains on solidifying its position in the U.S. market and conducting pilot programs in other international locations.