After launching in 2015, ClearScore has achieved a high-profile exit as Experian has bought the fintech startup for £275m
Entrepreneurs all set out to make an impact. And they’ll know that’s happening as the customer base of their business grows, which can often be a long, hard slog for years or, occasionally, a company can become an overnight success. It seems to be a case of the latter for ClearScore, the personal finance service, which has been acquired for £275m just three years after launching.
Specialising in credit checks for customers and connecting them to financial-service providers, the business has racked up six million users since launching in 2015. Demonstrating even further the significance of ClearScore’s growth, the business is set to achieve revenue of $55m for 2018, up 50% on last year.
Dublin-headquartered Experian, the consumer-credit firm, is responsible for taking ownership of ClearScore, apparently sensing a strategic synergy opportunity. Experian detailed that the complementary offerings from both itself and ClearScore will together generate even better support for the consumers they serve.
Offering reassurance to existing users, Justin Basini, CEO and co-founder of ClearScore, added: “At ClearScore, we are focused on you, our user, and this won’t change. You will always be able to see your credit report and score for free, forever with ClearScore. I believe that this acquisition will allow us to grow faster and develop exciting new innovations that will deliver improved financial well-being to you, our current users, in the UK and South Africa, and hopefully millions more around the world.”
In addition to the benefits consumers are set to receive, ClearScore will have access to Experian data, analytics and reach. Moreover, the big buyer also expects to learn in terms of introducing a more agile culture that the startup knows only too well, which is reassuring for SME owners to know that not all corporates are resistant to change.