Leap, a two-year-old startup with headquarters in San Francisco and Bangalore that’s serving to college students in India discover the fitting faculty overseas, put together for entrance exams, and in addition safe visas and mortgage, stated on Wednesday it has raised $55 million in a brand new financing spherical from a number of high-profile edtech backers.
Leap stated it has raised $55 million in a brand new financing spherical led by Owl Ventures. The Collection C spherical additionally noticed participation from Harvard Administration Firm, extra popularly identified for being a high-profile LP to enterprise funds. Current traders Sequoia Capital India and Jungle Ventures additionally participated within the spherical, which follows a Collection B funding in March this yr and brings Leap all-time elevate to over $75 million.
Arnav Kumar, co-founder of Leap, informed TechCrunch that the startup sits on the intersection of edtech and fintech. It’s serving to college students in India discover the fitting faculty for admission overseas and in addition guaranteeing that they’ve the visa and capital to review and dwell there.
It’s an enormous market that the startup is tapping.
A whole bunch of hundreds of youngsters and younger adults get on flights annually from India to a overseas land to pursue greater training. “The need for Indian college students to review overseas is stronger than ever,” stated Ashish Agrawal, Managing Director at Sequoia Capital India.
However they face quite a few challenges, together with some that current themselves after they’ve landed within the overseas land.
Since they don’t have a neighborhood credit score historical past, they’ll’t avail a variety of economic companies, together with a mortgage or a bank card — at the least not with out paying a premium for it. For banks and different monetary establishments, there’s an elevated threat once they have interaction with foreigners, so that they cost extra. An Indian scholar learning within the U.S., as an illustration, borrows cash at an rate of interest of over 13%, practically twice of what their native friends are charged.
Leap is addressing the monetary half by granting loans to college students at a good rate of interest by evaluating the info they generated — different and derived — in India itself.
However finance is just one of its choices. The startup has aggressively expanded its choices to supply what it calls a broader infrastructure to allow college students to pursue worldwide greater training.
Leap has developed a neighborhood of over 1 million college students the place they advise one another and discover choices. Leap stated it has helped over 60,000 college students of their research overseas journey over the past 18 months — and simply had its strongest fall season.
Since we last spoke about Leap, the startup has demonstrated robust progress on varied fronts, stated Kumar. Its neighborhood has grown (including 100,000 college students every month), the take a look at preparation app is more and more changing into well-liked, and its core monetary companies has additionally surged, he stated.
On high of this, the startup has expanded its choices to assist college students put together for — and touchdown — internships once they do be a part of a school overseas, fixing one other problem confronted by overseas college students.
Now with the brand new funding, Leap is planning to develop to serve worldwide markets together with Center East and Southeast Asia and assist the scholars pursue greater training in 20 nations, stated Kumar, who beforehand labored as an affiliate vp at enterprise fund Elevation Capital.
“Leap is on the trajectory to grow to be the preeminent research overseas platform for college students. The abroad training market is fragmented the place there isn’t any single one-stop resolution,” stated Amit Patel, Managing Director of Owl Ventures, in a press release.
“It may be very complicated for college students to know the place to start preparation, what faculties they need to goal, and the way they’re going to afford to pay for his or her training. Leap is making a complete platform that addresses all of those preparation and financing wants for college students. Owl Ventures is worked up to deepen our partnership with Vaibhav, Arnav, and the Leap crew to make learning overseas a actuality for as many college students as potential.”