Cloud-based fraud prevention startup Simility, Inc. has raised $3.45 million in a seed round led by Accel Partners.
Founded in 2014, Simility offers a cloud-based fraud prevention software solution that combines machine learning with human evaluation on a scalable platform that protects small to medium businesses (SMEs), along with enterprise clients from sophisticated types of fraud and abuse attacks.
The company claims its platform empowers fraud analysts to quickly adapt to fraudsters’ evolving tactics without needing to write code through the ability to create signals, delivering the option to translate every intuition back into the system.
“Through machine learning, the system is continuously evolving based on every decision and rule, refining the detection of anomalous patterns over time,” the company notes.
Ease of use is one strong point the Simility emphasizes, with the ability to deploy new fraud workflows “in minutes” with pre-defined models for combatting the most common types of fraud, combined with a user-friendly interface that enables users to test and quickly adjust their fraud scores and risk thresholds to match the specific profile of your business, ecosystem and customers.
Two of the three founders are ex-Google employees, with Chief Executive Officer Rahul Pangam previously working in a senior role in fraud prevention at the search giant, and Chief Technology Officer Kedar Samant holding a similar role.
“The key to fighting fraud effectively is to find the right combination of machine learning and human analysis techniques,” Pangam said in a statement sent to SiliconANGLE. “Simility’s unique approach allows it to meaningfully address fraud across a wide range of scenarios, well beyond just credit card fraud.”
Always room for more
It might be easy to simply note that Simility is yet-another fraud/security startup in a sea of many, but there is always room for more players in a space that is constantly evolving relative to the ongoing development of new scams and frauds from bad actors targeting all sorts of businesses online.
Over $1 trillion in losses and damages can be attributed to fraud in commerce, healthcare, insurance, occupational, banking sectors according to IBM, and the rapid increase in cloud computing is seeing bad actors focusing on enhancing their online capabilities; in doing so they are often circumventing commonly adopted fraud detection techniques, such as identifying endpoint devices, and checking for IP addresses and transaction velocity that are out of range with what is expected, an area Simility is attempting to deliver coverage of.
The company said it would use the seed round to expand its data science, engineering, marketing and sales teams as it prepares to launch its public product early next year.