Chorley’s PetProov secures six-figure deal from angel investors to

PetProov, a Chorley-based startup which uses anti-fraud technology to combat illegal and unethical practices within the pet sector, has closed a six-figure angel investment round.

The final five-figure investment came from a sole angel investor, James Butcher, a serial entrepreneur and business consultant based in the north west.

James is also one of Lancashire’s Fhunded Angels, a community of private investors looking specifically for early-stage and high growth investment opportunities in the county.

PetProov, which was co-founded by Garry Clarke and Kate Margolis in 2023, has developed a range of digital tools which identify potential pet scams.

These include non-existent animals being listed on websites, pets being sold with undisclosed health problems, misleading descriptions of breeds, and falsified pedigree histories.

To tackle such activities, Petproov has developed a robust, multi-layered vetting system.

Verification processes, including government-grade ID checks, biometric security, and financial background analysis, are cross-referenced to generate a risk rating of the pet seller.

By using the PetProov app, and for a small fee, customers can quickly and easily access such risk ratings, and make an informed decision before moving forward with any purchase.

Petproov’s AI-driven technology can further be utilised by breeders and pet listing sites to identify potentially fraudulent owners, while animal shelters can apply the same checks to screen-out unsuitable adopters.

The company - which also has brokered commercial partnerships with several leading pet businesses partners including Beco, Napo, Scooch, and Maven - will use the angel investment to meet increasing demand for anti-fraud interventions across the UK’s pet sector.

Garry Clarke, PetProov co-founder and CPO, said: “Despite securing investment from several angels last year, we were still seeking additional funding to help us take PetProov to the next level.

"I also really wanted to keep the business rooted in Lancashire, so I contacted Chorley Council to see if there were any regional support initiatives for startups seeking finance.

“They introduced me to Rory Southworth, from Lancashire County Council’s Fhunded programme, who helped get our proposition in front of the Fhunded Angels, including James.

"He immediately grasped the magnitude of the problem we’re addressing, and quickly came on board with the remaining funds we were seeking.

“James’ investment provided the final commitment we needed to complete a six-figure round and begin scaling operations. With this funding, we can accelerate the roll-out of the PetProov service, helping us to empower more customers and breeders to tackle the issue of fraudsters and scammers operating throughout the pet market.”

Fhunded Angel James Butcher said: “Fraudulent activities are massively on the rise within pet retail, but a lack of regulation means thousands of people are being scammed without any real recourse to the law.

"PetProov offers an effective and affordable solution to this problem, and with around one in three listings on pet websites believed to be fake or misleading, the growth potential for the service is immense.

“Both Garry and Kate have previously worked in industries where online fraud is rife, and have proven expertise in the use of sophisticated technologies to combat the problem.

"That, combined with their passion and commitment to eradicating criminal behaviour and unethical practices from across the pet industry, and supporting animal welfare in the process, made my decision to invest very easy.

“In my view, what the Fhunded Angels programme is doing to actively connect founders with experienced entrepreneurs and investors is not only vital for young businesses like PetProov, but also good for the region’s economy as a whole.”

James’ backing of PetProov is the first investment to come through the Fhunded Angels cohort since the initiative was launched earlier this year. Developed by Lancashire County Council (LCC) as part of a broader early-stage finance support strategy, Fhunded Angels is thought to be the biggest regional angel network in the UK managed by a local authority.

Coun Brian Moore, cabinet member for economic development and growth at Lancashire County Council, said: “Helping ambitious local companies like PetProov to scale up is exactly what Fhunded Angels was set up to do.

"Their introduction to the Fhunded programme via Chorley Council also demonstrates how the county’s wider business support provision is both joined up and effective.”

Rob Binns, chair of Lancashire’s Early-Stage Investment Board, which oversees LCC’s Fhunded programme, said: “The fact Garry and Kate were able to raise the final tranche of angel investment they required without going outside the county is a testament to the impact of our new angel network.

"I’m also proud that an innovative tech business which aims to protect the public from scams and rip-offs is set to thrive thanks to Lancashire’s investor community.”

For more information on Fhunded and Fhunded Angels, visit www.fhunded.co.uk