Security ratings firm SecurityScorecard Inc. today disclosed that it recently acquired HyperComply Inc., a Canadian startup that offers an artificial intelligence-powered platform for security questionnaire automation and compliance management, for an undisclosed sum.

Founded in 2019, HyperComply offers a platform that helps both sales and security teams respond to security questionnaires. The system combines machine learning and AI-assisted drafting with human verification to ensure answers are accurate while reducing the work and time needed.

HyperComply’s AI-powered platform automates security questionnaire responses, centralizes a company’s compliance knowledge base and enables proactive evidence sharing via trust portals and secure data rooms. The company’s “RespondAI” technology, backed by human verification, ensures questionnaire accuracy while dramatically reducing the workload for both suppliers and their customers by 92%.

The platform includes tools like a knowledge base, workflows, templates and browser extensions to speed up completing questionnaires.

HyperComply also offers support for third-party risk management and due diligence. It provides features for procurement and risk teams to review vendors, manage the history of vendor security assessments, and store and combine evidence and documentation in secure shared venues, allowing organizations to onboard partners more quickly and with greater confidence.

The company tries to build continuous trust by keeping compliance information up to date rather than having vendors fill in long static spreadsheets or questionnaires. That makes it easier to reuse evidence, share data and maintain security confidence over time.

SecurityScorecard plans to combine its trusted security ratings and continuous third- and fourth-party risk visibility with HyperComply’s intelligent automation capabilities to make it possible for customers to stop the slow, manual process of conducting vendor security reviews and instead get a complete, real-time picture of their entire supply chain’s security.

“Security and compliance teams spend hours responding to vendor questionnaires, often at the expense of innovation. Together, we are making this process 10 times faster through automation and accuracy,” said SecurityScorecard co-founder and Chief Executive Dr. Aleksandr Yampolskiy. “By bringing HyperComply into SecurityScorecard, we can eliminate a barrier to efficiency for suppliers while accelerating trust across the entire supply chain.”

The acquisition closed earlier this month and will, with time, see SecurityScorecard’s global scale and ecosystem combined with HyperComply’s AI innovation. Customers can expect to see integrated offerings later this year, with SecurityScorecard aiming to establish continuous, automated trust operations across the entire enterprise supply chain.

“We started HyperComply to free teams from the bottlenecks of manual questionnaires,” said HyperComply co-founder and CEO Amar Chahal. “Together with SecurityScorecard, we can expand our reach, accelerate innovation and deliver a future where supplier assurance is continuous, collaborative and AI-driven.”

Coming into its acquisition, HyperComply had raised $6.4 million in funding in one round, according to data from Tracxn. Investors in the company included Golden Ventures and FirstMark Capital.

Photo: HyperComply