Delhi-based mobile payment company Beam Money is eyeing to raise $20 million from the second round of investor funding. “We have just started talks for second round of funding and are expecting to raise $20 million from the same,” Anand Shrivastav, Chairman & Managing Director of Beam Money told Light Reading India.
Established in December 2009, Gray Ghost Ventures and Doon Foundation backed Beam Money that raised around $10 million in the same year. The mobile wallet provider claims to have more than 14 million customers and 60,000 channel partners in the country. Beam Money is presently involved in the execution of over one million transactions every month.
The company offers a cashless mobile payment system that allows customers to transact with anyone, anywhere, anytime through SMS, WAP, Web, interactive voice. Beam Money is authorized by RBI and its services include telecom/DTH recharges, utility bill payments, travel bookings, e-commerce shopping, domestic money transfers and cinema bookings among others.
Shrivastav said that the company earned revenues of over Rs 100 crore last year and aims 100 per cent growth in revenues for the ongoing fiscal year. Shrivastav estimates that the company will be serving to 100 million customers by 2017 with 6,00,000 franchises nationally.
The company has also extended its partnership with India Post to provide ticket-booking facility in two Indian states—Uttaranchal and Haryana. Last year, Beam Money rolled out its Air Ticket booking service in 100 Post Offices across Tamil Nadu. Through this partnership with India Post, the company is enabling customers to book rail and air tickets at the nearest Post Office.
Shrivastav said that Beam Money will take this partnership with India Post to nationwide level by 2014. Very recently, the company also teamed up with MasterCard Worldwide to launch a prepaid card that will allow Beam’s mobile wallet users to transact at ATMs, physical merchants and online shops.
Speaking on the challenges, Shrivastav said mobile payment is an unknown category to a larger chunk of Indian population. “There is a need to spread awareness about this category. Additionally, there are regulatory challenges that the company is witnessing in the country,” Shrivastav added.
In the Indian mobile payment segment, the company competes with a number of telecom operators and private players such as ItzCash.
In January, Beam Money launched mobile wallet application for Apple users and is now preparing to introduce an Android app in coming weeks.