PredictAP – a machine-learning-enabled invoice ingestion and coding solution for real estate accounts payable (AP) – recently announced the closing of its $8-million series A financing round. The funding round was led by leading real estate technology venture capital firm RET Ventures, with additional participation from Wise Ventures.
Launched in 2020 by David Stifter and Russell Franks, PredictAP was developed as a fintech solution to automate the ingestion and coding of invoices for real estate accounting departments. Large real estate companies receive thousands of invoices every month, each of which has to be coded through a several-minute process that requires manual data entry. And PredictAP developed an AI-based solution that leverages historical invoice data to code new invoices with accuracy and efficiency, after which an accounting professional confirms the information in a matter of seconds.
As the only automated AP solution that performs both invoice ingestion and coding, PredictAP reduces the amount of time needed to process each invoice by 80-90%. And PredictAP’s machine learning-powered solution also improves the accuracy and consistency of invoice coding. This platform integrates easily with Yardi (the largest property management software), providing users with an end-to-end AP workflow automation solution that results in significant time and cost savings for the AP process.
Since launching, PredictAP has rapidly grown its user base, with the company now supporting over 50 real estate companies, who jointly process about over 2 million invoices per year. And the fintech solution is utilized by major real estate companies including Bridge Investment Group, Garden Homes, The RMR Group, Starwood, and CA Ventures.
KEY QUOTES:
“Manual data entry for invoice ingestion and coding takes time away from higher value work for busy accounting departments and property management offices. For most real estate firms, the institutional knowledge needed to code invoices correctly is not captured in an institutional way, making this work hard to delegate and even harder to scale. Downstream issues like missed or duplicate payments, frequent reclassifications, and no visibility into spend turn into big headaches for controllers and CFOs,” he added. “The market offered no good solution that also catered to real estate or could be easily implemented. We built PredictAP to solve this specific issue while offering seamless implementation to offer maximum impact with minimal effort.”
– David Stifter, CEO and founder of PredictAP
“As PredictAP reaches an inflection point, with rapidly accelerating customer growth in 2023, this raise will facilitate our expansion into new regions with our Yardi integration while growing our integration roster with other real estate focused platforms like Nexus, RealPage, and Entrata. After proving ourselves with customers across all asset classes, we’re eager to deliver the same time savings and rapid time to value to new markets.”
– Russell Franks, president and co-founder of PredictAP
“PredictAP’s powerful technology is one of the most successful uses of artificial intelligence that we’ve seen in the real estate sector, and the impact it is already having is immediately apparent to its users. The company was an exceptional investment opportunity because of its accelerated sales cycle; the firm goes through the sales process, closing and technology deployment as quickly as any company we’ve seen. With approximately a billion invoices being processed globally each year, PredictAP is still in the early stages of its growth trajectory, and we’re excited to support the company as it scales in the years ahead.”
– RET Ventures Partner John Helm
