Six Aussie startups that raised $87.7 million this week

The tech startups raising fresh funding this week span a whole gamut of industries, from debt collection and fitness to hospitality, migration, legal documentation, and even democracy.

Keep reading to learn more about six Australian startups that raised millions this week.

InDebted: $60 million

Leading this week’s funding round is fintech startup Indebted, which has completed a $60 million funding event as it looks to venture into new markets, undertake more merger and acquisition activities and further develop its products.

The round was led by prominent local VC firm Airtree and values Indebted at more than $350 million.

Other primary investors included Australian Retirement Trust and Premier Capital Partners, while existing shareholders Reinventure, Carthona and Perennial also contributed to the round.

Indebted has confirmed to SmartCompany that approximately $10 million of the Series C round was comprised of secondary sales to early investors and employees, completed via SecondQuarter Ventures.

The round also represents Indebted’s second-largest capital raise to date.

The fintech previously raised $22.5 million, at a valuation of $200 million, in mid-2022. The announcement of that funding round coincided with news that the startup had made 17% of its staff — 40 people — redundant.

In a statement provided to SmartCompany, Indebted said the new funding was not required to fund its existing operations, and will instead be used to grow the business. The company said it hit operating profitability in February this year, and has a compound annual growth rate of 110%.

Indebted was founded by CEO Josh Foreman in 2016 and its platform is designed to offer a better alternative to traditional debt collection agencies, through the use of technology and data.

Foreman said on Tuesday the new funding will allow the company to push into regions where it is seeing “significant demand”.

“We’re launching in the UAE and Mexico next month and following this, we’ll be using the fresh capital to further our presence in Europe and South America,” he said in a statement. 

“While our vision is global, I’m incredibly proud that this raise consists almost exclusively of Australian capital to accelerate InDebted into the next chapter. We’re thrilled to have the support of Airtree, one of Australia’s largest and most renowned venture funds, along with existing investors reinforcing their belief in our mission to change the world of consumer debt for good — and our proven ability in delivering on this.”

Evolt: $20 million

Gold Coast-based tech company Evolt has raised $20 million ahead of a planned initial public offering next month.

Founded by sports promoter Ed Zouroudis and fitness entrepreneur Kelly Weideman in 2015, Evolt offers body scanning machines that can measure a person’s body composition, including muscle and fat levels. This data can then be tracked and analysed via the company’s app, which also offers diet and health recommendations.

According to the Australian Financial Review (AFR), the funding round, which was conducted by a convertible note, was led by Bell Potter and included participation from existing investors Washington H Soul Pattinson, Regal Partners and Perennial Partners.

Evolt reportedly earns most of its revenue from providing its machines to gyms like Anytime Fitness, Curves and Body Fit Training, but is expanding the medical side of its business, via medical clinics that are prescribing weight loss drugs like Ozempic.

Evolt is now expected to commence an investor roadshow ahead of its listing on the Australian Securities Exchange.

Restoke.ai: $5.1 million

A Melbourne-based startup that says it is saving restaurants and cafes thousands of dollars a week has also raised this week, locking in $5.1 million in a round led by prominent VC firm Rampersand.

Restore.ai was founded in 2020 by Assaf Stizki, a former chef and restaurant owner, and Ken Brand, a specialist in advanced machine learning.

The startup is on a mission to transform the operations of hospitality venues across the country, with its artificial intelligence-powered platform designed to help with everything from food costing, inventory, team management and accounting.

The platform can be integrated with existing restaurant management systems and provide real-time insights to help operators spot ways to save costs and unlock growth.

Rampersand was joined in the founding round by Mandalay Venture Partners, Archangels, and US-based investors BC Growth and Stage2 Capital.

In a statement provided to SmartCompany, Restoke said the new funding will mostly go towards its expansion in the US market.

The technology is being used by more than 2000 cafes and restaurants in Australia, New Zealand, Singapore and the US, and Stizki says some of these venues have been able to save more than $8000 per week within four weeks of starting to use the Restoke platform.

“Owners often have to wear multiple hats and they tend to focus on the food — which is usually the passion — over the key business metrics,” he said in the statement. 

“Often the first time they discover financial issues is after meeting with their accountant at the end of the quarter and, by then, it’s often too late to address the problems.” 

Rampersand partner Andrew Poesaste said the Restoke team “isn’t just offering another software solution” for the hospitality sector. 

“They’re pioneering a groundbreaking category, restaurant intelligence, [which is] redefining how the industry operates. They have the potential to transform the industry on a global scale, and now, they’re poised to lead this revolution,” he said in the statement. 

Mary Technology: $1.35 million

Sydney-based Mary Technology has raised $1.35 million for its AI-powered legal tech platform.

As reported by Startup Daily, Mary Technology focuses on the processes lawyers use to create chronologies of client documents for their cases.

The startup aims to take what is one of the most time-intensive parts of case preparation and turn it into a 15-minute process, the outcome of which can then be reviewed by lawyers.

The funding comes from lead investor Empress Capital, along with Gilbert + Tobin CEO Sam Nickless, The Fund, Sydney Angels and Lendi Group co-founders Mark Kalajzich and Martin Lam.

Mary Technology was founded in 2023 by former lawyer Rowan McNamee, engineer Daniel Lord-Doyle and digital producer Harry Raworth.

The startup has previously been selected for the Lander + Rogers Law-Tech Hub and took out the winning spot at the Demo Day at the AI Build Club.

“I understand the importance of having a tool that provides immediate solutions in a simple, user-friendly way,” said co-founder Rowan McNamee, according to Startup Daily.

“Our unwavering focus on perfecting chronologies for lawyers is what truly sets us apart, and we are excited this funding round will allow us to tackle this problem even faster.”

The startup says it plans to use the funding to grow its team and expand into the US.

Matilda Migration: $1 million

Migration startup Matilda has locked in $1 million in pre-seed funding from a roll call of early-stage investors as it builds a platform designed to transform the visa application process and make migration easier and less stressful. 

Matilda is founded by two experienced entrepreneurs, Niamh Mooney and Damian Png. Mooney is a former corporate lawyer who also founded Skin Software, the third telehealth brand of Eucalyptus. Png has worked as a management consultant at Boston Consulting Group, program director at Techstars, and a senior leader at H3D.

The funding for their new ventures comes from lead investor AfterWork Ventures, with Wollemi, Everywhere VC, Co-Ventures and Startmate also participating in the round. 

In a statement provided to SmartCompany, Matilda said the funding will accelerate the development of its platform, which aims to streamline what it describes as the “notoriously complex, painful and protracted process” involved with migrating to Australia. 

The startup plans to do this by combining technology with the expertise of migration agents to create a “seamless and supportive migration journey”.

Automation will be deployed to handle most repetitive tasks involved with visa applications, with migration agents then able to help applicants at key moments through the process.

“We will never entirely replace migration agents or lawyers,” said Mooney in the statement. 

“Navigating the Australian immigration system is complicated and many people still want and need a trusted advisor to help them. Matilda will be a two-tiered offering: self-serve for straightforward clients and high-touch guidance from experts for those who want it.”

Demtech.Ai: $325,000

Sydney-based startup Demtech.ai has raised $325,000 in pre-seed funding to help it build its democracy-focused AI solutions.

US-based advocacy group MoveOn.org led the funding round, which also included participation from OPEN (The Online Progressive Engagement Network) and Rohini Nilekani Philanthropies.

Co-founder Apurva Chiranewala told SmartCompany this week the startup has also secured written commitments for future follow-on funding from OPEN.

Chiranewala — a serial entrepreneur and former executive at Block Earner, Sendle and eBay — teamed up with civic engagement leader Avijit Michael to found Demtech.ai in March 2023. 

The startup provides AI-driven tools to global non-profits and citizen action groups, to help bolster their advocacy campaigns, increase citizen engagement, and improve democratic decision-making. Its flagship product is BeCause, an app platform that can be customised for citizen mobilisation groups.

“The capital injection will be used to further develop the platform, expand its features, and accelerate its go-to-market strategy to support a global network of nonprofits and provide even more powerful tools to those who work tirelessly to uphold democratic values” said Chiranewala.

Once it completes its development phase, Demtech.ai aims to launch its platform in early 2025.

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