FinTech Payments Corporation

paymentssoftware/whitelabel/apis (payments)

FOUNDING YEAR: 2017
LOCATION: United States
Last Update: 01/05/2020

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About

According to the Electronic Transaction Association, contactless payments increased 147% in the last 12 months in the U.K. alone. Commerce is hurtling at rapid pace toward even more payment methods that rely on an underlying credit card. The secret to survival in this new world of transacting is to keep those underlying credit cards approving, so that the continuous stream of commerce flows frictionless and freely. But merchant processing has had no innovation and legacy systems are outdated. The last disruption in payments processing was the patent of the open-ended subscription in 2000. (And we know, because our CTO is on that patent.) Until now. Our patent-pending technology uncovers details that reduce friction and increase completed transactions 100% of the time, and it has increased the profitability of our enterprise merchant clients by $1.7 Billion dollars since 2011 while simultaneously generating additional revenue for those merchants' processors by over $106 million dollars. For the first time, we inject data analytics and machine learning into the payments processing engine, creating a customized strategy that meets each merchant’s unique needs. Using machine learning, we keep those strategies dynamic, optimizing the merchant’s processing on an ongoing basis. More completed transactions means continuous commerce for the merchant, and more transactions through the system mean higher revenue for the processor.

MEDICI Analysis

Frictionless Payments depend on ensuring the continuity of the payment method. When the recurring (subscription) or re-occurring (IoT, mobile, voice) payment method on file declines, the connected commerce experience fails. Our technology uncovers details that reduce friction and increase completed transactions 100% of the time, and it has increased their profitability of our enterprise merchant clients by $1.17 Billion dollars since 2011. It has also increased the revenue of those merchants' processors by over $77 million. It is called STARRS, which stands for Strategic Tool for Assessing Recurring Revenue Streams. Using nontraditional data-analytics such as merchant's operational and business data, STARRS technology creates customized processing logic for every merchant, replacing incumbent legacy systems' uniformly applied logic. Using data to drive the Payments transaction and create industry up-ending value added services, FinTech Payments is bringing technology to payments that is disruptive and innovative.

Focus

PRODUCTS & SERVICES

The first innovation in payments processing in 17 years, FinTech Payments Corp upgrades legacy processing systems with patent-pending data analytics and machine learning. This technology has been tested and proven. Applied to the processing systems of large enterprise merchants since 2011, it has increased those merchants' profitability by $1.7 Billion dollars, and generated additional revenue for those merchants' processors of $106 Million dollars, and has returned improvements 100% of the time. Now, FinTech Payments Corp is making that solution available to processors and acquirers, who will be able to provide those same results for thousands of merchants at once, via API. Always a One-Size-Fits all mechanical exercise, payments processing is now a customizable, data-driven instrumentality. We are adding exponential differentiation to the market for processors who have had nothing but price to help them stand out from their competitors, and delivering merchants the individualized attention they demand.

REVENUE MODEL

Processors pay a per merchant per month fee

PRIMARY PROBLEM SOLVED

Connected commerce won't work if payments methods don't continuously approve. Our Data Analytics tool upgrades recurring and re-occurring payments processing systems with customized logic. When data drives the transaction, more transactions approve with less friction. We keep transactions completing.

INTELLECTUAL PROPERTY

Patent(s) FILED

Traction

TRACTION COMMENT:

We are productizing our patent-pending, proven technology which, as a consulting tool earned our enterprise merchant clients $1.17 Billion in profitability and simultaneously generated over $77 Million dollars in revenue for their processors. STARRS helps processors complete more transactions, and with fewer declines, there is continuous service for merchants in the subscription, mobile, IoT space, making it resistant to an economic downturn, Once being accessed by the processor's system by API, STARRS is not likely to be removed, proving its stickiness.

People

BOARD MEMBERS AND ADVISORS

Patrick Rivenbark

Bijon Mehta

Jennifer Anderson

COMMENT:

We are well respected in the payments industry,well regarded by our clients. We are professionals who have experienced small startups,exits before. What we do is one-of-a-kind in a one-size-fits-all industry.

Momentum

FUNDED

NO

LISTED

NO

EXIT STRATEGY

Market for users are processors with customers whose revenue is <$100 Million per year. Moving for acquisition by a larger processor or acquirer within 3-5 years for both the IP (technology) and book of business (processors/acquirers using the tech)

For Investors

FUNDING NEEDED:

$850 K

USES OF FUNDS RAISED:

1. pay engineers who are coding product

2. fund business development to sign inaugural users

3. fund engineers to complete development and testing, and oversee user integration

4. fund E&O insurance, legal and other admin expenses

EXIT STRATEGY

We consulted on the recurring system Vantiv acquired from Litle for $342M, and we built part of the system AmDocs acquired from Vindicia for <$300M. Our current technology is much more comprehensive and is capable of upgrading unlimited processing systems. We plan to move for acquisition within 3-5 years for both the IP (technology) and book of business (contracts with processors/acquirers using the tech). Possibly partner with processors, acquirers and CRMs to be acquired as a package. Conversations have already begun with Private Equity, Issuers, Internet companies, and software/technology providers.

MONTHS LEFT WITH CURRENT CASH BURN RATE:

6 months from 16 Sep, 2017

COMPETITORS:

IBM Watson Analytics

vantiv

BASICS

FOUNDING YEAR:

2017

LOCATION:

United States

Views:

68 VISITORS | 175 VIEWS

About

According to the Electronic Transaction Association, contactless payments increased 147% in the last 12 months in the U.K. alone. Commerce is hurtling at rapid pace toward even more payment methods that rely on an underlying credit card. The secret to survival in this new world of transacting is to keep those underlying credit cards approving, so that the continuous stream of commerce flows frictionless and freely. But merchant processing has had no innovation and legacy systems are outdated. The last disruption in payments processing was the patent of the open-ended subscription in 2000. (And we know, because our CTO is on that patent.) Until now. Our patent-pending technology uncovers details that reduce friction and increase completed transactions 100% of the time, and it has increased the profitability of our enterprise merchant clients by $1.7 Billion dollars since 2011 while simultaneously generating additional revenue for those merchants' processors by over $106 million dollars. For the first time, we inject data analytics and machine learning into the payments processing engine, creating a customized strategy that meets each merchant’s unique needs. Using machine learning, we keep those strategies dynamic, optimizing the merchant’s processing on an ongoing basis. More completed transactions means continuous commerce for the merchant, and more transactions through the system mean higher revenue for the processor.

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MEDICI Analysis

Frictionless Payments depend on ensuring the continuity of the payment method. When the recurring (subscription) or re-occurring (IoT, mobile, voice) payment method on file declines, the connected commerce experience fails. Our technology uncovers details that reduce friction and increase completed transactions 100% of the time, and it has increased their profitability of our enterprise merchant clients by $1.17 Billion dollars since 2011. It has also increased the revenue of those merchants' processors by over $77 million. It is called STARRS, which stands for Strategic Tool for Assessing Recurring Revenue Streams. Using nontraditional data-analytics such as merchant's operational and business data, STARRS technology creates customized processing logic for every merchant, replacing incumbent legacy systems' uniformly applied logic. Using data to drive the Payments transaction and create industry up-ending value added services, FinTech Payments is bringing technology to payments that is disruptive and innovative.

Focus+
Momentum+
Traction+
People+
For Investors+
Other+

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FinTech Payments Corporation

About

According to the Electronic Transaction Association, contactless payments increased 147% in the last 12 months in the U.K. alone. Commerce is hurtling at rapid pace toward even more payment methods that rely on an underlying credit card. The secret to survival in this new world of transacting is to keep those underlying credit cards approving, so that the continuous stream of commerce flows frictionless and freely. But merchant processing has had no innovation and legacy systems are outdated. The last disruption in payments processing was the patent of the open-ended subscription in 2000. (And we know, because our CTO is on that patent.) Until now. Our patent-pending technology uncovers details that reduce friction and increase completed transactions 100% of the time, and it has increased the profitability of our enterprise merchant clients by $1.7 Billion dollars since 2011 while simultaneously generating additional revenue for those merchants' processors by over $106 million dollars. For the first time, we inject data analytics and machine learning into the payments processing engine, creating a customized strategy that meets each merchant’s unique needs. Using machine learning, we keep those strategies dynamic, optimizing the merchant’s processing on an ongoing basis. More completed transactions means continuous commerce for the merchant, and more transactions through the system mean higher revenue for the processor.

Focus

PRODUCTS & SERVICES

The first innovation in payments processing in 17 years, FinTech Payments Corp upgrades legacy processing systems with patent-pending data analytics and machine learning. This technology has been tested and proven. Applied to the processing systems of large enterprise merchants since 2011, it has increased those merchants' profitability by $1.7 Billion dollars, and generated additional revenue for those merchants' processors of $106 Million dollars, and has returned improvements 100% of the time. Now, FinTech Payments Corp is making that solution available to processors and acquirers, who will be able to provide those same results for thousands of merchants at once, via API. Always a One-Size-Fits all mechanical exercise, payments processing is now a customizable, data-driven instrumentality. We are adding exponential differentiation to the market for processors who have had nothing but price to help them stand out from their competitors, and delivering merchants the individualized attention they are demanding.

REVENUE MODEL

Processors pay a per merchant per month fee

TOP PROBLEM SOLVED

We solve the three largest merchant pain points faced by processors and upgrade legacy systems to meet the urgent need for modernization in the face of a market flooded by contactless payments. Merchants demand three things from their payments processors: 1) more individualized attention; 2) better functionality and reporting; 3) to pay less in fees. The payments space has been flooded with more card not present transactions in the last 12 months than ever before, thanks to a spike in contactless payments which rose 147% since this time last year in the UK alone. Whether subscription, IoT, in-app, voice, or mobile, these payments rely on an underlying credit card for commerce to flow freely. Eliminating merchant pain points and upgrading legacy technology to meet the need for fewer card declines has been aggressively solved by our technology.

PRODUCT DEVELOPMENT STAGE

PROTOTYPE

PRODUCT DEVELOPMENT COMMENT

Engineers are hired and begin working on coding the MVP in May. The MVP will be ready for: - Demonstration by October 2017; - Launch February 2018; - Initial users signing in Q3 and Q42017.

KEY DIFFERENTIATORS

1. FPC’s technology allows processor/acquirers to customize their processing for each one of their merchants, optimizing the merchants’ payments results. That is disruptive in payments, and any processor who has this capability will stand out as technologically advanced. 2. But over and above that, the technology in its fully functioning form has multiple variations within that customization where the processors can tailor their offerings to further differentiate themselves from other processors who are also using the product. These include: level of analytics granularity, Value added services to offer, revenue model (whether to offer the service automatically or as a premium offering, choosing which of the modules to implement: the core product, the core product plus Decline Rehab™, or the core product, value added services, and the additional Decline Rehabilitation product. 3. FPC’s technology analyzes operational and merchant business data to create custom processing logic. 4. The "Big Data" FPC uses is actually driving the transaction, and not just creating marketing, or customer acquisition campaigns. 5. Visa and MasterCard Rules/Regulations and industry Best Practices, are built into the technology. 6. FPC technology prevents and mitigates both fraud related and non-fraud related chargebacks. 7. Case Studies demonstrate successes as high as 73% decline in chargebacks in 45 days; 22% increase in approvals; 2-3 more pieces of products sold per subscriber per month 8. In addition to the core product value added services will be rolled out that cover: Customer Friction, Customer Retention, Product Fulfillment, Customer Operations, and Chargeback Prevention.

PRIMARY CUSTOMER TYPE

Enterprise - Banks or Financial Institutions

Enterprise - Others

Small And Medium Business - Other

PRODUCT ATTRIBUTES

SaaS

White label

Other

People

KEY EMPLOYEES:

CEO: Michele Tivey

CTO: Scott Tivey

CMO: Michele Tivey

COO: Michele Tivey

CRO: Scott Tivey

TEAM COMMENT:

We are well respected in the payments industry,well regarded by our clients. We are professionals who have experienced small startups,exits before. What we do is one-of-a-kind in a one-size-fits-all industry.

BOARD MEMBERS AND ADVISORS:

Patrick Rivenbark, Bijon Mehta, Jennifer Anderson

Momentum

FUNDED

NO

TOTAL FUNDING:

$1 M

FUNDING COMPLETED

NO

LISTED

NO

FUNDING SERIES
Seed Comment on Seed round still open

Comment on Valuation

valuation based on proven returns from the technology as implemented since 2011, customer signed, first investor committed, and industry recognition.