Australian startup Credit Clear has opened a series A capital raising round with a goal to bring in $10 million to fuel its overseas expansion plans.
The company’s system, only launched in July, allows consumer-facing organisations like telecommunications providers, utilities and real estate agents to bill out their invoice through SMS, email or instant messaging, depending on customer behaviour, in the customer’s preferred language.
The customer then has options for “one click” payment to pay off the invoice immediately, at a future date or set up a payment plan.
The Melbourne company is led by managing director Simon Scalzo, who departed buy-now-pay-later startup Openpay in July after just 9 months as the chief executive.
“The idea behind our smart payment plans system was to speak to people’s values, rather than wielding a big stick. Our technology does this by delivering a seamless, non-invasive service, allowing the users to create a payment arrangement that suits their financial needs,” he said.
Credit Clear was founded by property developer Mark Casey and entrepreneur Lewis Romano, who was behind the jobs website SpotJobs. The advisory committee has recruited Google Asia-Pacific head of Chrome & Android for Work, Neal French.
The startup claims a 500% increase compared to traditional collection methods and up to 200 times return-on-investment for its system. The capital raising drive comes after “major contracts” with “leading financial institutions”, although Credit Clear declined to name any of them.
“Our artificial intelligence technology is being used to maximise payments by understanding the behaviour and attributes of our customers. The systems intelligence also extends to automatically translating communications into the user’s default language, generating some very powerful results, as English isn’t everyone’s first language,” said Scalzo.
The machine learning engine is being refined by the experience of 1 million end users, according to the company, who have already used the Credit Clear payments facilities.
Credit Clear has intentions to expand into the US, UK and Asian markets, which the company said was the reason behind the series A capital raising round.