Artificial intelligence-powered contract acceleration and intelligence startup LexCheck Inc. said today it’s ready to grow its platform after closing on a $17 million early-stage funding round.
Mayfield Fund led the Series A round, though LexCheck didn’t name any other participants. The company said it will use the funds from today’s round to accelerate the delivery of its product vision, with a focus on customer experience.
LexCheck is the creator of contract revenue software aimed at helping companies avoid the tedious process of reviewing legal contracts and carefully scrutinizing all of their terms and conditions. Its platform relies on AI to create instant redlines with contextual comments, insertions and deletions that can help companies in their contractual negotiations, while ensuring compliance with regulatory requirements. It also helps to increase revenue recognition by bringing greater speed and value to deal processes, the company claims.
According to LexCheck, its software can help to reduce the time legal teams spend reviewing contracts by up to 90%. Moreover, it enables companies to scale up their contract review operations by empowering reviewers, with minimal training required.
LexCheck Chief Executive Gary Sangha said that one of the biggest opportunities for many businesses lies in being able to minimize the friction that comes from increased specialization and expectations to scale up.
“The ability to accelerate revenue and actualize on business decisions typically delayed by prolonged negotiations is critical for businesses as they navigate today’s how-to-do-more-with-less economy,” he added. “Lawyers have the opportunity to lead the charge of expediting revenue generation and achieving ROI on enterprise spend, all while fulfilling their duty to appropriately mitigate enterprise risk. As a lawyer and entrepreneur, I’ve experienced both sides of these countervailing interests.”
The company reckons it has enjoyed significant growth in the run up to today’s round. It said it has managed to triple its customer base over the last year, with customers from across 14 different industries, including financial services, technology and legal services.
Mayfield Fund Partner Rajeev Batra said the main advantage of LexCheck’s software is that it can accelerate revenue growth while mitigating risk for businesses. “While contract review and negotiations are often put squarely on the shoulders of the legal department, they are critical to the revenue and procurement teams of any company.”