1. Startups

Fintech Startup for Domestic Workers “Jipay” Receives Early Stage Funding from East Ventures

Newly operating in Singapore; has 1.000 domestic workers with spending cards reaching the $1 million mark

Startups fintech for domestic workers (PRT) Jipay announced the acquisition of initial funding of $1,3 million or around 19 billion Rupiah. This round was led by East Ventures, with participation from SHL Capital and several angel investors, including Manila Angel Network and Shivaas Gulati (co-founder remit). This fresh fund will be used for team expansion and product development.

Jipay develop card prepaid and applications for families in managing expenses through their domestic workers. Domestic workers can use the connected Mastercard for shopping and employers can top up accounts via the same app. By simplifying this process, Jipay wants to save employers time while eliminating the additional burden of domestic workers to always carry and ask for cash.

Eliminating domestic workers' financial management friction

This solution was first developed by Dayana Yermolayeva, a citizen of Ukraine, after graduating from a campus in Hong Kong in 2020. In her home country, there is almost no concept of domestic workers which is very inversely related to Asia. Unfortunately, the structure of the domestic worker industry here is irregular, despite their important role in society and the labor industry.

In Hong Kong, domestic workers, especially foreign workers, do not have access to banks, much less to basic financial services, such as remittances, savings and insurance. Meanwhile, families who employ foreign domestic workers have difficulty with financial arrangements because salary payments often have to be made in cash. Managing daily expenses using cash, paper receipts and notebooks is a tedious and tedious way of manual bookkeeping.

“The problem is not simply the inconvenience of managing household expenses in this messy way. The real problem is the lack of trust between their families and domestic workers," Yermolayeva said in an official statement, Thursday (31/3).

From the root of the problem, Jipay was born with the spirit of building trust by embracing employers, domestic workers, and children on one platform. Jipay application helps two groups of users. First, employers can use the app and the connected Mastercard to track household expenses. They can add funds, view transactions, and be informed of weekly spending trends. Thus, employers no longer need to go to an ATM to withdraw cash and read receipts from their household members again.

Second, domestic workers can use the card prepaid Jipay Mastercard to shop for household needs. This card can be used in stores offline, online, and public transportation services. For traditional markets that do not accept cards, domestic workers can use the PayNow feature directly from the Jipay app. They can see balances and time transactions, so they can be more effective in using household budgets.

“Foreign domestic workers who use Jipay admit that Jipay has helped them in relieving the stress and discomfort of managing the cash provided by the employer. They don't have to ask for cash, keep receipts, or carry loose change anymore. With this, domestic workers and employers can build better trust.”

Jipay business plan

Commenting on the funding, Yermolayeva said, “We are very pleased to receive this funding which will accelerate our mission to provide financial independence to domestic workers across Southeast Asia. We started our journey with a product aimed at families who employ domestic workers, which then allowed us to learn more about the financial habits of domestic workers and gain support from their employing families when we offered personal finance features for foreign domestic workers.”

Currently, Jipay claims to have attracted more than 1.000 domestic workers in Singapore to use its application. As for the nominal disbursement via card, (card spending) penetrated the $1 million mark, its transaction volume continued to creep more than 10 times in the last six months. This achievement is claimed to make Jipay as the game changer in bringing household chores into cashless economy.

More Coverage:

“Jipay users from the employer side also help in educating domestic workers about the benefits of Jipay for their personal finances, and this is very important especially during the orientation and early adoption period.”

The company will develop other innovations, such as launching personal finance products for domestic workers; Domestic workers will be able to receive salary payments into their personal Jipay account to send to their families via Jipay Remit and use Jipay Save to set aside money for major expenses, such as property purchases or university fees for their children.

Commenting on the investment, East Ventures Principal Devina Halim said, “We believe Jipay will become an integrated platform that eliminates the problem of access to finance in the domestic work industry. Domestic work is not just an ordinary industry, but has also become an industry that drives labor productivity in many countries in Southeast Asia. We believe Jipay is strategically positioned to increase financial inclusion in this segment.”

Are you sure to continue this transaction?
Yes
No
processing your transactions....
Transaction Failed
try Again

Sign up for our
newsletter

Subscribe Newsletter
Are you sure to continue this transaction?
Yes
No
processing your transactions....
Transaction Failed
try Again