FinTech startup Previse has closed a £2m Seed round led by Hambro Perks alongside Founders Factory.
The startup, which has developed a proprietary AI solution designed to support instant payments between corporates and SMEs, also drew investment from high-net-worth Angel investors.
Based in London, Previse leverages artificial intelligence and hundreds of millions of data points to score the likelihood that a corporate customer will pay a suppliers’ invoice. Once this is done, Previse shares the scores with funders, which pay the supplier on the buyer’s behalf and suppliers offer a small discount.
Paul Christensen, previously global co-head of Goldman Sachs’ principal strategic investments team; said: “SMEs are the backbone of the world economy, generating the majority of growth, employment and innovation. Yet, most of them are consistently paid late by corporate buyers. It is an unsustainable position which damages the entire economy.
“Previse’s AI technology ensures we no longer have to accept this situation. Instant, frictionless and efficient payments can become the new standard for B2B payments. The prize is 50,000 more small businesses kept open in the UK alone, corporates able to exceed their obligations to suppliers and a new £2.4tn global market for funders.”
The firm’s chief data scientist and co-founder Philipp Schoenbucher commented on how payment decision were the perfect candidate to apply machine learning.
“Our advanced proprietary machine learning algorithms were developed using data sets of multiple billion dollars of corporate spending, building upon state of the art binary classifiers and highly innovative domain-specific feature engineering methods.”