Global Partners led the round with participation from Ulu Ventures, SV LATAM Capital, Jumpstarter Ventures, Verso Capital and Capital Factory Ventures.
Onuu, pronounced “on you” is focused on low-income consumers. The company will provide life insurance, savings and credit card products along with financial literacy lessons and a personalized digital guide.
The Austin-based company runs a monthly subscription-based model.
Felix W. Ortiz III, a serial entrepreneur, and Ryan Wuerch, who formerly founded DOSH, founded Onuu.
“Far too many Americans are rejected when they apply for financial products because of adverse selection,” Ortiz said in a news release. “The goal of Onuu is to bring them into the financial system fairly and give them a chance to prosper by offering financial security as a product.”
“My late grandparents, Felix and Candi, influenced my life so immensely and ultimately, were the catalysts for Onuu,” Ortiz said. “To turn the financial challenges, they faced into an opportunity to serve millions of people who are in a similar position is not only an honor, it’s a responsibility.”
The majority of Onuu’s VC funders are Latinx-led. It is a majority Hispanic-owned company, with a 20-person staff, 60 percent of whom are minorities or women.
“We believe fintech has entered a new phase of contextual financial services, where companies like Onuu will use AI-driven approaches to provide relevant financial services within the context of their users’ financial lives,” Roman Leal, Managing Partner of Leap Global Partners said in a news release. “Onuu’s vision of providing financial security for the roughly 166 million Americans traditionally left out by financial institutions is well aligned with our mission of challenging the status quo in fintech.”