Larky, a discount mobile app startup, has secured $1.76 million in a Series A round of seed capital.
A mix of venture capitalists and angel investors have invested in the downtown Ann Arbor-based startup. Leading the round was North Coast Technology Investors. Also participating were the Michigan Angel Fund
, the BlueWater Angels
, and the Pure Michigan Venture Match. Larky raised an additional $650,000 in a seed round last year.
Larky's mobile app helps user maximize the discounts and savings available to them. So it a member of an alumni association can get 10 percent off on their car insurance by using a certain carrier, Larky’s app will them. The 2-year-old startup has already roped in a number of large clients, including the Detroit Regional Chamber and Blue Cross Blue Shield of Michigan.
"The value for end users is still there," says Gregg Hammerman, co-founder of Larky
. "The average Larky's still have nine discounts stored into one space."
Larky plans to use its new round of seed capital to continue to develop it’s technology and advance its marketing. It is also growing its team. The company employs eight people after hiring five staff in software development and sales over the last year. It is also looking to hire another two people.
"We need to get out to more of our customers and continue to evolve our product," Hammerman says.
Source: Gregg Hammerman, co-founder of Larky
Writer: Jon Zemke
Read more about Metro Detroit's growing entrepreneurial ecosystem at SEMichiganStartup.com.