Brisbane 20-year-old Jack Bloomfield raises $2.5million in funding for ecommerce startup

Brisbane 20-year-old Jack Bloomfield raises $2.5million in funding for ecommerce startup

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How a young Aussie became a self-made millionaire before he turned 20 – as he reveals his six tips for success

  • Jack Bloomfield started refund fraud detection startup Disputify in 2020
  • He’s raised $2.5million for his business which detects fraudulent refund requests
  • He rose to success as a teen after running a variety of ecommerce stores in 2017

By Eliza Mcphee For Daily Mail Australia

Published: | Updated:

A young entrepreneur who became a millionaire when he was just 17-years-old has raised $2.55million for his own refund fraud detection startup.

Jack Bloomfield, 20, from Brisbane founded his company Disputify two years ago with the aim to help online businesses detect purchases which are likely fraudulent.

His business has been backed by Australian venture capital fund Blackbird Ventures, as well as the founders from BigCommerce, WooCommerce and Google Shopping.

Mr Bloomfield’s passion for success started when he was just 12 when he designed the website ‘Next Gifts’ that enabled users to design cards online before sending them in the post. 

Jack Bloomfield, 20, (left with friend) from Brisbane founded his company Disputify two years ago with the aim to help online businesses detect purchases which are likely fraudulent

Then In 2017, the school student started his parent company BloomVentures, which run a variety of ecommerce stores that sell everything from skincare products to novelty items.

From there came Disputify after he realised how frequently customers were trying to fraudulently ask for refunds.

‘We had this issue with real people buying products from us, using their own name and information, and we’d have support requests come through asking for refunds for a variety of reasons like they’d never received it, or it was faulty,’ he told The Australian Financial Review.

‘At first, we thought it was our problem, but then we realised it was the same people.’

Mr Bloomfield said there were even forums where people reveal which merchants are the easiest to rip off.

He estimated that up to 5 per cent of his customers from his ecommerce businesses were wrongly claiming refunds.

Disputify analyses the behaviour of customers when they go to purchase an item and when they request a refund.

Mr Bloomfield’s business has been backed by Australian venture capital fund Blackbird Ventures, as well as the founders from BigCommerce, WooCommerce and Google Shopping

If suspicious patterns are detected like someone repeatedly ordering the wrong size, the merchant is alerted to a potentially fraudulent refund.

It also picks up on if a customer has made a fraudulent request before.  

Disputify also rewards trustworthy customers by offering them instant refunds, instead of a wait that could be up to 15 days long.

‘The whole goal here is to fundamentally change the experience not just for merchants, but for end customers, and encourage people to be more confident when online shopping,’ Mr Bloomfield said. 

Disputify has 450 ecommerce customers, most based in the US with the company opening an office in New York.

Mr Bloomfield is hoping to have seven people on his team by July. Most of his four staff he currently employs are double his age. 

Mr Bloomfield’s passion for success started when he was just 12 and in 2017 he started his parent company BloomVentures, which run a variety of ecommerce stores that sell everything from skincare products to novelty items

JACK BLOOMFIELD’S SIX TIPS  

1) Passion trumps profit

If you are doing just for the money, the business will fail – Mr Bloomfield says.

2) Have unrealistic goals 

Mr Bloomfield said too often people keep their goals and targets low and celebrate ‘mediocre’ milestones.

3) Be honest about the work

He said the goal should be about making it a full-time business and people should be realistic about what it entails.

4) Not every idea will be your best

He said he likes to get his ideas on the market within 14 days as the only way to know if an idea is good or not is to see how it sells.

5) Plan every step 

He said he started four or five businesses before his took off – and now he knows he needs to have every step in his mind to get to the end point.

6) Take your business seriously 

His final tip was to take the side hustle seriously as you are the CEO and you are in charge.  

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