Corporate card “UPSIDER” achieves high results with AI credit model innovation. Approximately 70% of users increase their quota within a year. Approximately 50% of these have more than doubled their credit limit.
*UPSIDER Co., Ltd.*
Press release: September 3, 2024
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Corporate card “UPSIDER” achieves high results with AI credit model innovation. Approximately 70% of users increase their quota within a year. Approximately 50% of these have more than doubled their credit limit.
*The loan loss rate remains at a low level through retraining of the AI model using delinquency data. The time required for the initial examination is approximately 1/40th compared to one year ago* * UPSIDER Co., Ltd. (Representative Directors: Toru Miyagi, Tomoki Mizuno, Head Office: Minato-ku, Tokyo, hereinafter referred to as the Company) is the corporate card “UPSIDER” provided by the Company (hereinafter referred to as the Company).
After updating the AI credit model in August 2023, approximately 70% of UPSIDER users achieved an increase in their credit limit*1 within a year, and more than half of them more than doubled their original credit limit. We would like to inform you that we have increased the number of slots*2. *
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At the same time, through retraining the AI model using delinquency data, we have been able to maintain the loan loss rate at a low level, and the time required for initial appraisal is also high, at about 1/40th*3 compared to a year ago. We are achieving results. *
We have been developing and operating credit technology using AI since the release of UPSIDER, and in August 2023, we introduced a system that uses AI to automatically screen users for credit limit increases on a regular basis. This will enable proactive automatic screening to match the speed of a company’s growth, contributing to further business growth.
With the mission of “creating a global financial platform that supports challengers,” our company supports growing companies in considering UPSIDER’s credit line as a “useful means of financing” and making investments for further growth. We will do so. I also believe that as a result, we will be able to create Japanese companies that can compete on the global stage and contribute to raising Japan’s competitiveness once again.
* *1 Percentage of users who were using UPSIDER as of August 2023 and had their quota increased between August 2023 and July 2024* * *2 Among users who increased their credit limit between August 2023 and July 2024, the percentage of users whose credit limit more than doubled*
* *3 Comparison of time required for initial examination as of August 2023 and July 2024*
* Regarding the results of automatic quota increase screening using AI * Since we started providing services in October 2020, we have been one of the first to develop credit technology that utilizes AI.
Previously, corporate credit card screening was based on past financial statements and personal guarantees from the company’s representative, making it difficult to extend credit to start-ups and small and medium-sized businesses with limited track records. In contrast, UPSIDER is able to provide larger credit lines to these companies by utilizing AI credit technology and conducting screenings that take into account bank account data, UPSIDER usage status, payment status, etc. is.
In August 2023, we will introduce a system that uses AI to
automatically screen users for quota increases on a regular basis* Thank you. This has made it possible for some users to increase their slots in line with their growth speed without having to apply for or go through any procedures for a slot increase.
As a result, approximately 70% of *UPSIDER users were able to increase their quota within one year. Additionally, more than half of these users more than doubled their original credit limit*
I’m doing it.
At the same time, by retraining the AI model using delinquency data that has increased as our business has grown, we are now able to identify the characteristics of customers who pay on time with greater precision than before. Therefore, even as the number of credit lines we offer increases*
The loan loss rate remains at a low level*.
* The time required for the initial audit has also been reduced by more than 97% compared to one year ago*
Up until now, UPSIDER has been working to improve the technical precision of AI credit by updating the AI model in the summer of 2023, with the aim of shortening the screening speed, and to improve the efficiency of screening through the development of an in-house system.
This automates *almost all initial reviews*. Since the AI model makes credit decisions,*
The time it takes to review each case is a few seconds at the shortest. The average time required for an initial review has been reduced by more than 97% (approximately 1/40th)* compared to a year ago.
Going forward, we will continue to strive to provide larger credit lines to more customers faster by improving the accuracy of AI credit technology and optimizing screening operations.
* Utilizing AI to create Japanese companies that can compete in the world and raise Japan’s competitiveness again *
Since the bursting of the bubble economy, the Japanese economy has been in a long-term slump, and the global competitiveness and productivity of Japanese companies have significantly declined. Furthermore, as the productive population is expected to decline due to the declining birthrate and aging population, we are creating an ecosystem in which the public and private sectors, industry and academia, large companies, and startups come together to invest funds efficiently and in forward-looking innovation. We need to build on this and encourage structural change in society as a whole.
We believe that using AI to quickly provide large-scale credit lines to startups and small and medium-sized enterprises that are difficult to obtain credit lines is to provide companies with a new option for financing. Masu. *
I am confident that as a result, more companies will be able to take on big challenges, and investment in radical innovation will be encouraged, creating Japanese companies that can compete on the global stage and raising Japan’s competitiveness once again. *
Through the use of AI in financial services such as UPSIDER, we will continue to contribute to solving Japan’s declining competitiveness and productivity issues, and fulfill our mission of “creating a global financial platform that supports challengers.” We aim to achieve this goal.
*About the corporate card “UPSIDER”*
UPSIDER is a corporate card that solves financial issues such as usage limits and accounting processing. In particular, the usage limit of up to 1 billion yen or more (prepayment / deferred payment), virtual card issuance and management function, and SaaS function that helps speed up accounting processing are popular.*
More than several thousand companies are actively using it, the usage continuation rate is over 99% (as of the end of February 2024), the cumulative payment amount is over 250 billion yen (as of the end of December 2023), and the cumulative credit limit exceeds 1 trillion yen (as of the end of March 2024). *
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Additionally,* the number of listed company customers is rapidly increasing. * Not only payment* but also pre-payment procedures* such as usage restriction, upper limit setting, approval application, etc. Immediate reflection of usage history on management screen after payment, collection and linkage of evidence, linkage to approval documents, notification and submission of evidence through Slack integration*
It is popular for its comprehensive and wide range of functions, which make it possible to safely operate corporate cards. For listed companies where governance and accountability are important, this service can help tighten company-wide expense management, simplify expense settlement operations, and speed up accounting processing. *About the services we provide*
With the mission of “creating a global financial platform that supports challengers,” our company provides the corporate card “UPSIDER” and the business deferred payment service “Payment.com.” Both services are used by 35,000 companies. (as of the end of December 2023).
“Payment.com”, which targets sole proprietors and corporate
businesses, is jointly operated with Credit Saison Co., Ltd., and allows users to make all bank transfer payments for transactions between companies using their credit cards. This is a payment service. Users can improve their cash flow by extending payments until the day their credit card is debited. Users do not need to submit any documents, interview, or review.
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Additionally, in September 2023, we released a new AI chat-type business tool, “UPSIDER Coworker.” Slack and Microsoft
By linking with chat tools such as Teams, AI and humans automate almost all card-related tasks.
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Furthermore, we have established a subsidiary, UPSIDER Co., Ltd., to provide financing to venture companies in the growth stage and beyond. Capital” was established in May 2023. In November 2023, we will launch UPSIDER as a joint venture with Mizuho Financial Group, Inc. UPSIDER BLUE DREAM, a debt fund for startups managed by Capital We announced the operation of “Fund”. The first fund, totaling 10 billion yen, will provide an unprecedented debt procurement
environment for growth-stage startups.
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Our company has evolved from “a company that provides UPSIDER,” a corporate card that supports growing companies, to “an AI-powered comprehensive financial institution that creates Japanese companies that can compete in the world and supports Japan’s competitiveness once again.” We will continue to evolve.
UPSIDER Co., Ltd.
・Company name: UPSIDER Co., Ltd.
・WEB:
Corporate card “UPSIDER”: https://up-sider.com/
Bill card payment service “Payment.com”: https://shi-harai.com/ AI chat-type business tool “UPSIDER Coworker”:
https://ai-coworker.up-sider.com/
“UPSIDER BLUE DREAM Fund”: https://www.upsidercap.com/
Useful content: https://up-sider.com/media/
・Established: May 2018
・Representatives: Toru Miyagi, Tomonori Mizuno
・Capital: 8,709 million yen (including capital reserves, etc.) ・Head office location: 7-15-7 Roppongi, Minato-ku, Tokyo
・Member Association/Certification: Japan Payment Services Association, Security Certification PCI DSS
v3.2.1, JIIMA certification “Electronic book law scanner storage software legal requirements certification” “Electronic transaction software legal requirements certification”, Information security management system (ISMS) certification registration number
IS799150
Contact information regarding this matter
Please contact pr@up-sider.com for consultations on implementation, requests for interviews, and collaborations.
*The information contained in this press release is current as of the date of announcement.