Oolka is new to the financial technology arena and has already raised $7 million in a seed round. Two major investors, Z47 and Lightspeed India Partners, led this important financial boost. Other investors that participated in the funding round are 8i Ventures and several angel investors. Among the prominent angel investors are Vidit Aatrey and Sanjeev Barnwal, who are the co-founders of Meesho, and Madhusudanan R of M2P.

Development of AI and expansion of engineering and data science teams

Oolka is an Indian startup that was established in 2024 by Utkrishta Kumar, who previously worked as an executive at Meesho. Oolka is in the process of launching the first agentic AI credit management platform in India, a pioneer solution that aims to address the credit management requirements of people. The new capital will be used in various strategic projects that are important to the growth of the company.

A large part of the money will be spent on increasing the engineering and data science staff, a decision that is critical to creating a strong and advanced AI-driven platform. The investment will be made into designing new AI tools, such as voice-based services, that will make the platform more accessible and user-friendly. Oolka can establish itself as a leader in the agentic AI market in the financial services sector by investing in talent acquisition and technology development.

The use of the platform Oolka, which is in use by approximately two million individuals, has already shown real outcomes. According to the company, its platform has already settled more than ₹100 crore worth of repayments, and it is nearly hitting the target of $1 million of annual recurring revenue. The platform is centred on the AI that serves as an active financial companion. This AI tool will track the credit profile of a user, provide improvement recommendations, and, with the express permission of the user, will also act on behalf of the user.

The Founder of Oolka, Utkrishta Kumar, said, “In the long run, what we see is a mega opportunity to build a true AI distribution play and then cross-sell different products just like any fintech distribution arm that has been there in the country.” 

Quotation Source: YourStory 

Revenue and proactive tasks 

The AI tool by Oolka is not restricted to basic advising functions. It is also capable of doing various proactive activities, including rectification of mistakes in credit bureau information, handling conflicts on outstanding repayments, as well as upgrading credit cards. The AI will be able to write and send correspondence, and accept applications, thus making some of the most difficult financial processes easy for the users. The founder, Utkrishna Kumar, stressed that the service is aimed at making every Indian have a 24/7 credit consultant who not only consults but also takes action on their behalf (an exclusive value proposition in the market).

Oolka has a different revenue model; it operates based on the distribution and selling of financial products, unlike traditional credit repair services. The company is in the process of distributing loans with several Non-Banking Financial Companies (NBFCs) that have already collaborated with large banks (IDFC, AU Bank, and Yes Bank) to distribute credit cards. There are also more startups launching with tools to assist consumers in managing their finances, such as Svalbard, created by CRED, and the AI credit card helper CheQ, as examples of this trend. 

Conclusion

Oolka raised a successful seed round of $7 million with Lightspeed and Z47 as lead investors is a strong indication that the company has an innovative way of managing credit. The proactive investment of the new capital to increase its teams and create new AI tools, along with the fact that it depends on the distribution of financial products as the basis of the revenue model, predisposes Oolka to robust growth.