Verifacto, a technology solutions company focused on improving the ways lenders and borrowers connect with information and innovative solutions to mitigate insurance, collateral, compliance and credit risk, said it successfully closed its Series A round of financing.
Terms were not disclosed, but Verifacto, a Signature company of the Advanced Technology Development Center, said the funds will be used to aggressively accelerate sales, marketing efforts and to execute its product roadmap. Doug Spear and Ross Berger from Nelson Mullins Riley & Scarborough LLP represented the company in the transaction.
“We’re only scratching the surface of our potential. However, with this investment and the addition of a highly sophisticated investor group, Verifacto will be able to charge ahead in full throttle,” said Baruch Pappo, Verifacto’s co-founder and president.
Separately, the company said Oded Sela, a partner at the law firm of Silbershatz, Sela and Brandes will join Verifacto’s board of directors, representing the investors who are some of the most respected Israeli leaders and experts in the insurance, telematics and financial markets. A graduate of Tel Aviv University Faculty of Law in 1993, Sela’s fields of expertise include insurance law, special risk insurance, and compliance.
“Verifacto is well-timed and positioned to take advantage of the transformation that is occurring in the distribution of enterprise and consumer risk solutions,”Sela said in a statement. “We were very impressed with the company’s founding team, what they have accomplished thus far, their innovative thinking, solution and technology as well as their ability to execute. We see an unprecedented opportunity in expanding Verifacto’s solutions into other horizontal markets and expanding its vertical depth in each market.”
While the insurance industry is a mature in terms of products, carriers realize information technology can drive their businesses forward.
“The carriers are huge and very traditional. However, the smarter ones are finally coming to the realization that Information technology is here to stay,” said Hezi Moore, Verifacto’s CEO. It’s about time they use it to their advantage and Verifacto is here to help them transition into a more efficient business model. Our ability to service our clients with innovative technology that enables them to minimize their business risk and increase profitability continues to fuel our triple digit growth in the last 12 months.”