RegTechInvestment

A SaaS RegTech platform automating financial crime and compliance processes has raised £11.7 million investment.

PassFort says the Series A funding will fuel global growth plans and its ambition to be the category leader in compliance automation for regulated businesses.

The round was led by the US growth equity fund Level Equity, with participation from PassFort’s existing investors OpenOcean, Episode 1 and Entrepreneur First. 

£2.1m worth of venture debt was also provided by Shard Credit Partners, with PassFort being the first investment from its newly launched UK tech-focused venture debt strategy.

The funding round follows major customer wins for PassFort, including Curve and WorldRemit, and recent senior hires in its sales and marketing functions. The company is now set for a scaleup in the implementation of its RegTech solution worldwide. 

“We are excited to have secured this substantial new funding so quickly,” said Donald Gillies, PassFort CEO and co-founder. “PassFort is currently capitalising on significant growth across the digital economy and the need for our automated compliance solutions, designed to make access to our customers’ products compliant and crime-free.

“It is a testament to the efforts of our team and company culture to have come through the last 12 months in a position where our products and our customer base are growing so rapidly. 

“This helped generate the high investor demand to partner with PassFort on this next phase of growth.”

Charles Chen, partner at Level Equity, will join PassFort’s board of directors. 

“Over the last few years, financial institutions and organisations have experienced exponential growth in business volumes and data, which has only increased the complexity in staying compliant with ever-evolving regulatory laws,” he said. 

“In parallel, we’ve experienced an unprecedented rise in sophisticated financial crime activity as channels into financial systems have been digitised. This has underscored the importance of compliance matters such as AML/KYC, yet companies often have to weigh the trade-offs between speed, compliance and automation. 

“PassFort has solved this challenge by providing a next-generation RegTech software solution that enables customers to offer a seamless customer onboarding experience, maintain best-in-class monitoring capabilities, and balance automation vs. human touch via its intelligent orchestration engine.”