Some large names are investing in meals stamps — specifically in Propel, a startup that helps meals stamp recipients handle their advantages.
Propel is saying that it has raised $ 4 million in seed funding from Andreessen Horowitz, Omidyar community, Kevin Durant’s The Durant company and Max Levchin’s SciFi VC, in addition to previous investors Jay Borenstein, WinWin and the monetary solutions Lab at the heart for financial services Innovation.
“We’re excited to prove that mission-backed startups can responsibly deal with social concerns, too,” founder and CEO Jimmy Chen informed me by means of e-mail. “In our trade variation, the best way to extend our impact is to grow our business, by getting more customers on the platform or with the aid of finding them more savings on groceries.”
Propel has created a free app known as recent EBT — the EBT refers the Electronics benefits transfer card, which is how members in the Supplemental nutrition assistance software (the meals stamp program) receive their benefits. it seems that using the EBT card usually requires folks to name a hotline and store their grocery receipts. With fresh EBT, however, people can test their card steadiness from their smartphone, browse neighborhood deals, see which outlets settle for SNAP and create a procuring checklist.
The startup says more than 250,000 folks use recent EBT at the least as soon as per week. the final word intention is to lend a hand users get admission to plenty of different services, not simply food stamps/SNAP, and to create “a extra consumer-friendly security internet.”
asked whether future increase is dependent upon the broader political landscape and on government funding for these programs, Chen mentioned that SNAP hasn’t been significantly littered with the Trump administration — at the least no longer but.
“extra greatly, if public sector service develop into less dependable throughout this administration, 20 million American families will nonetheless stay meals insecure,” he mentioned. “At Propel, our constitution is to continue to lend a hand these americans put food on the table. As a privately funded group, we be capable to persist regardless of political tendencies and to serve low-income americans instantly with the aid of combining the perfect public sector, private sector, and nonprofit sector packages to create a simpler security net.”
Featured image: Propel
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