Hypercore Raises $13.5M for AI in Private Credit
Hypercore, a loan management platform for private credit, has raised $13.5 million in a Series A funding round led by Insight Partners. The company plans to use the capital to launch its AI-native administrative agent for loan servicing. The investment aims to build out the operational infrastructure for the growing private credit market.
- The private credit market has surged to over $3 trillion, driven by post-Global Financial Crisis banking regulations that created a financing gap for many businesses. Moody's predicts the market could reach more than $3 trillion in assets under management by 2028. - Before founding Hypercore, CEO Daniel Liechtenstein and his team ran a software consultancy where a client's request revealed how outdated the existing software solutions were for non-bank lenders. The company was part of the YC Summer 2021 accelerator cohort. - The new funding is for an "AI Admin Agent," a platform that combines AI-powered automation with human oversight to handle the entire loan servicing process, from borrower intake to investor reporting. This aims to replace the manual, error-prone processes that are common in the industry. - Hypercore's platform already manages over $20 billion in assets across more than 10,000 loans, having seen its contractually recurring revenue grow 3.5x in 2025. - AI applications in loan servicing can automate tasks like data entry, compliance checks, and payment processing, allowing staff to focus on more complex decisions. AI models also analyze data to identify potential fraud and predict loans at a higher risk of default. - Lead investor Insight Partners is a global software-focused venture capital and private equity firm with approximately $90 billion in assets under management and a history of backing major tech companies like Monday.com and Wiz.
