Antler Investor Memo Series: Social money app Chippit makes saving easier with family & friends

Early stage investment company Antler Australia recently backed a new cohort of startups as part of its ongoing program to build great local tech companies.

Startup Daily is sharing the details of each venture in the “Antler Investor Memos” series, which is designed to give you a quick,  sharp understanding of the startups and people involved, with many seeking follow up capital following Antler’s initial pre-seed investment. 

Company name: Chippit

Formation date: 2022

Stage of business: Pre-Seed

Founder: Eli Muse

Current investors: Antler, Portola and angel investment 

Currently raising: Yes

The business

Over a quarter of a million dollars is the average Australian household debt, growing by 7.3% last financial year, according to the latest data from the Australian Bureau of Statistics (ABS). All while household budgets continue to feel the strain of rising cost of living pressures. 

Social money app, Chippit, is seeking to eliminate the problem of persistent debt to support those typically underbanked to save money and access credit without hidden costs. Rather than a bank account, Chippit is a platform empowering people to save, spend and access no-interest loans from those they trust within their own social network.

The peer-to-peer platform invites everyday savers to create a “savings group” of 3 -10 people, such as trusted family and friends, who collectively make contributions towards a savings goal. Often these groups set up a rotating collection order, where members take turns in receiving funds at an agreed time. This acts as an interest-free loan for those early in the rotation and savings for those members later in the rotation.

All funds transferred via Chippit are securely held by Cuscal, an Australian Deposit Institution (ADI). 

By providing affordable access to capital, Chippit empowers individuals to build stronger financial futures while strengthening the relationships that matter most to them. Unlike other lending models, Chippit is expanding credit accessibility to underbanked demographics, including international students and labour migrants, to create a more inclusive financial system.

Antler investment thesis

“As rising cost of living continues to place pressure on Australians, disproportionately impacting those with limited financial security. Chippit’s peer-to-peer driven approach is an empowering tool to help people reach their savings goals with those they trust,” said Cath Rogers, Antler Australia Partner. 

“Eli combines the lived experience of attempting to access savings and credit products as a migrant, years of financial services consultancy and genuine social motivation as evidenced by his run for local Council. He deeply understands the challenges traditional lending models can have and is a serial entrepreneur with the strategic know-how to develop a platform harnessing the power of collective action.” 

Traction/ milestones, to date

Since Chippit’s official launch last month, the app has secured over 6,000 downloads. Before the app launch, Chippit ranked within the top 50 Australian startups of 2022. 

Beyond its industry recognition, Chipped has established relationships with some of Australia’s biggest banks and has significant corporate partnerships in the works.

The social banking app is currently fundraising with a third of its target secured, including VC commitments. In fact, one of Chippit’s earliest users has become an angel investor in the round.

Latest funding

Pre-Seed from Antler

Use of funds

Antler’s initial investment is supporting Chippit to expand its headcount hiring engineering talent, alongside accelerating the development of key product features. With its expanding waitlist, Chippit is focused on servicing user growth.

Founders say

“People have been using social savings circles to save and access money for centuries across Japan, Indonesia, France, Sweden, India and beyond, said Eli Muse, Founder of Chippit. “Chippit is leveraging the same ethos underpinned by next generation technology.

“The current financial system excludes at least two billion people, while another two billion have limited access to services and often incur high fees or interest rates. In stark contrast to a few who pay significantly lower fees for the same services,” he continued.

“Our vision is to create a financial system that is accessible and equitable for all, where no one is excluded or disadvantaged based on their socio-economic status. Our goal is to empower individuals and communities worldwide to take control of their finances and improve their lives, fostering a more inclusive and sustainable global economy.

“By providing affordable access to capital, Chippit empowers individuals to build stronger financial futures while strengthening the relationships that matter most to them. Unlike other lending models, Chippit is expanding credit accessibility to underbanked demographics, including international students and labour migrants, to create a more inclusive financial system.

“With Antler’s support, Chippit is connected to a global community of early-stage startups and we have access to vetted talent, startup resources and fundraising support.”

What’s next?

Antler, a global early-stage VC, is revealing its latest investments in ambitious Australian founders and startups. With 100 investments in early-stage companies, Chippit is one of its most recent portfolio companies.