OVVY, an online marketplace for household services, has raised S$600,000 in seed funding from Rapzo Capital, a family-funded investment company based in Singapore that invests in early-stage startups.
The funds will be used for extending Ovvy's existing business-to-consumer solutions into the business-to-business sphere. This would allow it to cater to customers such as small and medium enterprises needing services like graphic designers, social media content creators and web developers.
Ovvy was launched in Singapore in June 2018. It connects users with household service providers such as plumbers, painters or electricians. It has recorded 30,000 downloads since June, of whom some 20,000 are active users of the app, including service providers.
Users and service providers are charged a small transaction fee for each service they commission through the app. Once users accept a bid, payment is transferred via PayPal to an escrow account, which only releases it to the service provider once both parties mark the job as completed.
The platform also incorporates safety protocols that allow consumers to verify the identity of service providers entering their homes on jobs.
Ovvy said its strategy has been to penetrate the Singapore market through the target market of expat households.
"Singapore consists of about 1.63 million non-residents, of whom 42 per cent (685,000 customers) fall within Ovvy's initial target market, comprising dependants of citizens, permanent residents, work pass holders, employment pass holders and students," it said.