SupportPay pockets $4.1m to automated child support

Automated child support payments platform SupportPay has raised $4.1m in its Series A round.

The funding was led by Fenway Summer Ventures with participation from Moneta Ventures, Continental Advisors and previous investors.

The Sacramento-based company’s platform is designed to allow parents to share expenses and exchange child support.

It manages base payments as well as tracking additional shared expenses, such as medical, child care, education or extracurricular activities.

SupportPay claims the service has attracted almost 40,000 parents to date.

The firm says it will use the capital to expand its team and boost marketing efforts with the aim of reaching more parents, family law professionals and government agencies around the US.

SupportPay will also use the capital to help states aiming to modernise their existing child support systems, which it says currently cost as much as $6bn every year to manage and maintain.

Company founder and CEO Sheri Atwood said, “I am excited to continue my mission of providing a modern solution for child support that uniquely positions us to take a family-first perspective – integrating all family members into the process to maximize the likelihood children will get the financial support they need.”

Javier Saade, managing director at Fenway Summer Ventures and Paul Purcell, co-founder and partner at Continental Advisors will both join the company’s board as a result of the deal.

The round brings SupportPay’s total funding to date to $6.8m.

Copyright © 2016 FINTECH GLOBAL

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