INSUBCONTINENT EXCLUSIVE:
background checks, but not of people; rather, the startup helps companies identify business and regulatory risk in their customer base
Founded by two early employees of another YC graduate, Checkr, which automates the pre-employment background check process for companies,
Middesk chief executive officer Kyle Mack and chief technology officer Kurt Ruppel wanted to apply their learnings to a business identity
venture funds Accel and Sequoia on board has made a big difference for the company
This is particularly interesting, given the round comes at a time in which competition for early-stage deals is greater than ever
More and more billion-dollar funds are moving downstream to purchase stakes in promising companies as early as possible, beating out seed
funds by providing better terms and brand recognition.Accel was also an early investor in Checkr, which most recently raised a $100 million
fintech, as well as smaller entrants to the B2B market, like the even more recent YC-grad Vouch, which sells business insurance to startups
Mack says they are particularly focused on payments, lending, payroll, expenses and credit businesses, or those with regulatory risk
and operations teams in the process
In the long term, Mack cites Plaid and its proven ability to rapidly become the go-to tool for connecting applications to consumer bank
