HelloFlow, a Danish fintech startup, has completed an early stage funding round led by PreSeed Ventures and Seedcamp with a raise of approximately €1.3 million.
The startup was launched in 2020 by the founders Mikkel Skarnager and Ciprian Florescu.
The firm has discovered new ways to create client onboarding solutions and identity verification tools in the financial industry with a no-code platform, integrating with ID authentication services in the local market.
According to the co-founder and CEO of HelloFlow, Mikkel Skarnager,
“Using the platform, you can set up a proper, sleek, and compliant onboarding process and share it with the clients, all inside a single day. This makes it possible to launch your service in new markets across the world within 10 minutes”.
After a series of international scandals and fines against financial institutions last year, the finance industry is increasingly focusing on anti-money laundering (AML).
The trend also creates a rapid increase of regulatory requirements and compliance standards for onboarding new clients to banks, investment accounts and trading platforms, crypto broker services, or sports betting sites.
In the wake of these changes, finance businesses are seeking new onboarding solutions.
According to HelloFlow, since available international services are cost-intensive and have low conversion rates, its onboarding setup may reduce operational costs by up to 90%.
The process of integrating with local regulatory services takes months of developing customized IT systems which is more effective as almost every country has its own solution such as NemID, BankID, MyInfo, or BeID.
The founder & CEO Mikkel Skarnage worked to build the onboarding and customer identity verification (KYC) setup for the Danish bank and trading platform Saxo Bank, where he developed the ID authentication service NemID for Nets Group.
Meanwhile, his co-founder and CTO at HelloFlow, Ciprian Florescu, also has in-depth knowledge of how regulatory services are built.
The Danish startup is set to expand the functionalities of the platform by speeding up its product development and it also wants to move beyond the financial industry and offer a complete onboarding solution for legal services and accounting.