Helping Government Collect Unpaid Bills

Promise, a software startup based in Fairfield, California, is revolutionizing the way state and municipal governments collect unpaid bills. Founded by Phaedra Ellis-Lamkins, Promise offers a user-friendly platform that enables individuals to manage their debts through interest-free payment plans, making it easier for them to stay current on their bills and avoid penalties.

Promise's technology provides real-time updates on payments and relief programs, allowing governments to efficiently track and manage debt collection efforts.

The startup has proven highly successful, with revenue tripling in 2023 and projected to double again in 2024, reaching an estimated $100 million by 2025.

Promise has secured funding from notable investors like Kapor Capital, First Round, XYZ Capital, and 8VC, reaching a valuation of $520 million.

Government Debt Collection: A Growing Need

Promise's success underscores the increasing need for innovative solutions to address government debt collection challenges. Municipalities and utilities across the country are grappling with rising delinquencies, impacting their ability to fund essential services and maintain aging infrastructure.

Promise's zero-interest payment plans offer a compassionate approach to debt management, allowing individuals to regain control of their finances without facing burdensome interest rates.

The startup's user-friendly platform provides a seamless experience for both governments and citizens, streamlining the payment process and improving communication.

Promise's Impact on Municipal Utilities

Promise's impact on municipal utilities is particularly notable, as they often face significant challenges in collecting unpaid bills. The startup's innovative approach has helped utilities increase collection rates dramatically, ensuring they can continue to provide essential services to their communities.

The City of Richmond, Virginia, experienced a significant increase in unpaid utility bills during the pandemic. By partnering with Promise, the city saw a 93% success rate in on-time payments from individuals enrolled in the payment plan.

Louisville, Kentucky, also saw a dramatic rise in utility delinquencies. With Promise's help, the city significantly improved its collection rates and reduced the financial burden on its utilities.

Phaedra Ellis-Lamkins: A Visionary Leader

Phaedra Ellis-Lamkins, the founder and CEO of Promise, is a passionate advocate for social justice and economic equality. Her personal experiences with poverty and discrimination have fueled her drive to create a company that empowers individuals and communities.

Ellis-Lamkins' background in labor organizing and her experience as a nonprofit executive instilled in her a deep understanding of the challenges faced by low-income communities.

Her vision for Promise is to build a profitable and sustainable company that addresses social issues and creates positive change for individuals and governments.

Promise's Future: Expanding Beyond Utilities

While utilities are currently the core of Promise's business, the startup is expanding its reach to address other areas of government debt, including parking tickets, local taxes, and more.

Promise is developing new technology to improve identity and income verification, streamlining processes for government agencies and enhancing efficiency.

The startup is exploring the use of machine learning to automate eligibility assessments for government assistance programs, simplifying the process for individuals in need.

Promise: A Model for Socially Responsible Fintech

Promise's success demonstrates that a for-profit company can be a powerful force for positive change. By providing innovative solutions to government debt collection challenges, Promise is helping to improve the lives of both individuals and communities.

Promise's commitment to zero-interest payment plans sets it apart from traditional debt collection companies, creating a fairer and more compassionate approach to debt management.

The startup's focus on user-friendly technology and exceptional customer service ensures that its solutions are accessible and effective for all.