Failed 2023

    Plastiq

    Payments businesses with thin margins can't sustain high customer acquisition costs.

    Founded → Closed

    2012 → 2023

    Funding Raised

    $140M

    Industry

    Fintech/Payments

    Country

    USA

    IdeaProof AI Failure Score

    60/100
    Market Fit RiskBurn Rate RiskFounder Risk
    Market Fit Risk
    55
    Burn Rate Risk
    70
    Founder Risk
    25

    Full Analysis

    Plastiq allowed paying bills with credit cards even when recipients didn't accept cards. Margins were razor-thin after processing costs, and credit risk mounted. Filed for Chapter 11 in 2023.

    Could This Failure Have Been Prevented?

    IdeaProof's AI validates market demand, competitive positioning, and business model viability in minutes — catching the exact issues that sank Plastiq.

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