The identity verification startup Onfido announced its acquisition by US payments giant Entrust with SFC Angel Network investors looking to make a 100x return in one of the largest tech exits of the decade, recognised by the UKBAA Awards as the ‘Exit of the Year’.
Founded in 2012 by Oxford students Husayn Kassai, Eamon Jubbawy, and Ruhul Amin, Onfido received their first equity investment of £120k from the SFC Angel Network through SEIS after pitching at one of the first SFC Crocodile Lair pitching events in London. SFC’s CEO, Stephen Page, was one of the angels who invested and became a board member.
Over the years, Onfido has become a global leader in identity verification. It uses a wide array of AI tools to fight identity theft and spot deep fakes, preventing over 6 billion USD in potential fraud, according to a recent report from Onfido.
Now, Onfido was acquired by the US payments giant Entrust in a remarkable acquisition for the UK’s early-stage investment landscape. This acquisition represents one of the most significant tech exits in recent UK history and is the biggest ever reported SEIS exit—second only to Deliveroo’s IPO in 2021.
At the annual Angel Investment Awards by the UK Business Angel Association, Onfido was honoured with the ‘Exit of the Year’ award, sponsored by British Business Investments.
This exit is a significant milestone for the SFC Angel Network, delivering staggering returns on investment. Stephen Page, CEO at SFC Capital, describes it as “one of the very best returns you can get in investing.”
Husayn Kassai recollects, “We were seeking £150,000 to grow our business to £2 million in revenue by 2016. It was a bold ambition, and though only a few investors initially showed interest, with one dropping out, we still received the investment to get us started.”
In Onfido’s early days, when angel investing was more of an exception than the norm, the SFC Angel Network identified the exceptional potential of Onfido’s founding team. Despite limited interest from the wider investment community, the network decided to back the three extraordinarily talented founders.
This investment was not just a gamble on a promising business; it was one of the first under the Seed Enterprise Investment Scheme (SEIS), the then-novel government initiative designed to raise investment in early-stage startups. “Back when we invested in Onfido, nobody really understood the SEIS scheme,” Stephen adds, “but its usefulness for both startups and investors cannot be exaggerated. This is one of the biggest exits under SEIS and a real testament to the scheme.”
Onfido and its initial investors were connected at one of SFC’s first Crocodile Lair pitching events at the Home House, a private members’ club in London. Home House and its sister club, Home Grown, are known for creating valuable networking opportunities between early-stage founders and investors, which also played a crucial role in Onfido’s early success. “It’s fascinating how places like Home House and Home Grown can bring together creators in a way that can make a real difference,” says Stephen.
Husayn Kassai, CEO and co-founder of Onfido reflects on the journey: “Our vision was always clear, but it required the right partners to believe in us from the start. The SFC Angel Network, and especially Stephen, saw beyond the immediate challenges to the potential impact we could have.”
Husayn has since become an investor in SFC Capital’s funds himself and already raised the pre-seed round for his new business. The edtech platform Quench.ai helps companies empower and upskill their workforce—lessons Husayn learned during his time at Onfido.
Onfido’s exit highlights the importance of angel networks like the SFC Angel Network in supporting startups. Also, it shows the incredible impact of government schemes like SEIS in manifesting the UK as an innovation hub.
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