Socure Raises $30M in Additional Financing to Identify the Human Race
NEW YORK--(BUSINESS WIRE)--Socure, the leading provider of identity verification and fraud prevention services, today announced it has raised $30 million in Series C funding led by Scale Venture Partners. Previous investors participating in the round include Commerce Ventures, Flint Capital, Two Sigma Ventures and Synchrony, as well as new investor Sorenson Capital. The company announced that Rory O’Driscoll, partner at Scale Venture Partners, is joining its board of directors. This investment brings Socure's total funding to $57.5 million.
Last year, Socure was named a Cloud 100 Rising Star by Forbes, an Innovator for Identity Proofing by research firm International Data Corporation (IDC) and a Red Herring 100 North America Winner. The company will use the new funding to accelerate its market expansion through new investments in sales, marketing, research & development and customer support initiatives. Socure’s vision is to identify the human race and eliminate 3rd party identity fraud. Socure’s mission is to become the single trusted source of identity verification.
“This funding will enable us to grow our footprint in new strategic US market sectors that are in need of accurate, automated identity verification technology, including healthcare and the public sector,” said Tom Thimot, CEO of Socure. “We will invest in the talent required to continue innovating and expanding our machine learning-based predictive analytics platform.”
Socure’s solutions continue to displace legacy identity verification systems at consumer-facing organizations across the US. In 2018, revenue grew more than 300% year-over-year fueled by growing demand for its analytics-based platform which dramatically reduces the need for human intervention associated with traditional digital identity verification techniques. Customers include 2 of the top 5 US banks, 6 of the top 10 US card issuers, 2 of the top 5 global remittance providers, a top 5 online retailer as well as digital banks, lenders and insurers.
Funding caps off tremendous client growth and platform expansion in 2018
- Annual revenue grew by over 300% as production volume increased to nearly 50 million calls
- Deployments grew to 100+ leading digital banks, lenders, brokers and payments providers
- Launched Socure Sigma Fraud Scores - industry-specific, consortium-based machine learning models with industry-leading identity fraud and risk prediction results
- Launched a fully integrated Document Verification service that validates the authenticity of physical identity documents and correlates the ID data to the form and selfie
- Launched version 3.0 of Socure ID+ which features a modular design and includes several new risk, know your customer (KYC) and anti-money laundering (AML) capabilities available through a single API to handle digital to physical identity verification
- Customers consistently realized average fraud rate reductions of 80%, increased Customer Identification Program (CIP) auto-acceptance rates an average of 30%, while KBA/Manual review rates declined by an average of 70%
- Relocated to larger office near New York’s Penn Station as team nearly doubled
"Companies from banks to insurance carriers to healthcare providers struggle with just how slow, expensive, and inaccurate today's identity verification services can be. Socure offers them better accuracy and fraud detection, delivered through an easy-to-implement API connection,” said Rory O’Driscoll, partner at Scale Venture Partners. "It's a compelling proposition and explains why this company has been so successful so fast."
About Scale Venture Partners
Scale Venture Partners (@scalevp) invests in software companies that are transforming the future of work. Investments include: Box (BOX), Chef, Cloudhealth, DataStax, Demandbase, DocuSign (DOCU), ExactTarget (ET), HubSpot (HUBS), JFrog, Lever, and WalkMe. ScaleVP partners with entrepreneurs to support accelerated growth from the first customer to market leadership. Founded in 2000, ScaleVP has more than $1 billion under management and is located in Silicon Valley. For more information, visit www.scalevp.com.