Flux closes oversubscribed seed round as it scales up its mission to improve financial literacy
Flux has closed an oversubscribed $800,000 seed round as the Australian fintech and edtech scales up its mission to improve financial literacy with new ‘Flux At Work’ product.
The A$800,000 seed round, led by founder of Kogan.com Ruslan Kogan and co-founders of Catch Group Hezi and Gabby Leibovich, will enable Flux’s founders Brett Joffe, Justin Joffe and Gustavo Hoirisch to help more young Aussies improve their financial literacy as well as launch their first B2B product, Flux At Work.
After launching in early 2020, Flux’s app will this month surpass 50,000 active users. Approximately 80% are under the age of 35. Flux’s daily podcast What The Flux is now Australia’s number one business podcast with over 1.5m downloads over the last 6 months, and over 225,ooo unique listeners this year.
“The rapid uptake in our consumer app and podcast demonstrates young Australians’ appetite for financial content that is both educational and engaging, which is why we’re confident the time is right to launch Flux At Work to further improve our reach and impact,” said Brett Joffe.
Flux At Work will see Flux partner with employers with the goal of reducing financial stress among their staff and enhance their financial literacy. Employees gain access to Flux’s subscription-tier app at no cost and employers are able to extend their employee wellbeing programs to encompass financial wellbeing.
According to PwC’s Annual Financial Wellness survey, 60% of employees say finances are their number one source of stress, and 63% say their financial stress has increased since the start of COVID-19.
“We understand financial stress has a direct impact on employee wellbeing, productivity and retention — and therefore a company’s bottom-line and from our early discussions with employers we know this is an issue they are seeking to address,” said Joffe.
“We’re taking the insights from our consumer offering to help employees reduce financial stress and boost financial confidence. Ultimately, this leads to happier employees who stay longer in their jobs and do their best work,” he continues.
Hezi Leibovich says Flux is tapping into an emerging cohort of young Aussies for whom the issue of financial independence has come into sharper focus over the past 18 months.
“The pandemic has changed the conversation around money for millennial and Gen Z Australians, who are now looking for ways to get ahead. Flux is at the forefront of this shift and is leading the way in Australia. They’re making financial education feel less like a chore and more like a game, which actually helps people achieve their goals,” said Leibovich.
