Stamp Free raises £600,000 as AI-powered mailing solution heads towards consumers’ phones
Cambridge and Edinburgh-based digital postage company Stamp Free has raised £600,000 in an oversubscribed funding round as it heads towards launching its AI-powered phone-based alternative to traditional mailing.
Existing investors Cambridge Angels and Silicon Valley-based R42 Group led the round, along with other technology angel investors from the UK, US and Australia.
Stamp Free’s Digital Postage Solution allows businesses and consumers to use the Stamp Free or a white-labelled app to send parcels and letters, as well as return consumer goods, without the need for a postage stamp or carrier label. It uses machine handwriting recognition at its core.
The solution aids postal carriers by removing issues associated with postage stamps such as fraud, liabilities and the cost of printing and since no extra machinery, stamps or printed postage labels are required, it also has some environmental benefits.
Instead, just handwritten six or eight-digit codes, which act as handwritten barcodes, are scanned and validated by artificial intelligence at the source by a smartphone before the mail item is sent or returned.
The £4m pre-investment valuation was double that of the seed one funding round in September, reflecting the progress Stamp Free has made in recent months, with its solution now being trialled by postal carriers, retailers and locker providers in a number of places around the world.
Stamp Free expects to make the platform available to consumers later in 2022.
Hugh Craigie Halkett, managing director of Stamp Free, said: “This investment signifies a further endorsement of the Stamp Free solution, which is poised to disrupt the postal and logistics industry. “We’ve made excellent progress since our last funding round, commencing trials with postal carriers, retailers and locker providers around the world, and this new raise will accelerate our development. “We thank our existing investors for their continued support and welcome our new investors to our journey – we are incredibly excited about what the next year has in store for Stamp Free.”
It will use the funding to increase sales and marketing activities and further product development.