A developer of a portable device that lets people record checks in an electronic register - in place of writing them in a checkbook-has raised nearly $1 million in an initial round of capitalization.
Investors in Personal Solutions Corp. include Verifone Inc., which made a previously reported $500,000 investment in the two-year-old company, earning it a 19.5% equity stake.
Other investors include CrossCheck Inc., an independent check authorization company in Rohnert Park, Calif., and Love Savings Holding Co. and Heartland Card Services, both based in St. Louis.
Personal Solutions, Danville, Calif., will use the funds to develop and market its electronic recording device, called Electronacheck, said Miles Suer, president and founder.
After entering transaction details at the check-out counter using a small keypad, consumers could upload payment details to Personal Solution's electronic registry software residing on a personal computer, or to other personal financial software such as Intuit Inc.'s Quicken.
Mr. Suer anticipates banks would offer the product in place of traditional freebies, like toasters. Heartland Bank, Mr. Suer said, gives "$50 silk ties to people, and they do nothing to solidify the relationship. Imagine giving this to their top accounts."
The unit price for Electronacheck will run between $100 and $150. "Our intent is that it will get down to $99," Mr. Suer said.