RecoupIQ • UK Merchant & Counterparty Risk Infrastructure
Executive Risk Briefing: Two
UK Entity: TWO UK OPERATIONS LIMITED (CRN: 13596542) • Segment: B2B Buy Now Pay Later (BNPL)
Prepared for Leadership: Sinead McHale (CEO & Director) • James Hussey (Director)
CONFIDENTIAL BRIEFING
Prepared by Alex • Founder, RecoupIQ
Statutory Accounts Basis: FYE 31 March 2025
What RecoupIQ Offers Two • At a Glance
Stop UK Merchant Defaults & Section 75 / Chargeback Write-Offs Before Payout Leaves Your Bank
1. What We Provide
<150ms Pre-Payout Gate
Pass any UK CRN before T+1 payout, reserve release, or advance. Returns ALLOW, HOLD, or BLOCK with a SHA-256 audit certificate.
2. Why You Need It Now
30–60 Days Ahead of Bureaus
Experian/Creditsafe & card fraud tools miss live London Gazette Rule 7.10 Winding-Up Petitions, Section 127 void dispositions, and sudden director resignations.
3. Modeled Value
£600–£900 / yr
Modeled against Two’s Disclosed in notes audited impairment & £6k provisions.
4. How To Start & Cost
£0 Backtest → £1,495/mo
Test 10–50 past merchant write-offs for £0 today. Production shadow pilot is £1,495/mo (or £0.05/check) with zero lock-in.
The Settlement & Default Timing Gap: Across both B2B (merchant cash advances, trade credit, corporate payouts) and C2B (consumer card acquiring, BNPL, POS retail finance, and Open Banking checkout), when a UK merchant collapses, legacy credit bureaus update 30 to 90 days late. During that window, Two continues sweeping T+1 payouts or carrying unhedged consumer Section 75 / Visa & Mastercard “Services Not Rendered” chargeback liability against an insolvent UK limited company. RecoupIQ closes this window with a synchronous
<150ms pre-payout and pre-onboarding gate across 5.3M UK companies.1. Statutory Risk Profile & Modeled Annual Savings (TWO UK OPERATIONS LIMITED)
Audited P&L Impairment
Disclosed in notes
Source: Page 5, section 'Trade and other debtors' (policy only)
Balance Sheet Provisions
£6k
Source: Page 6, section 'Provisions' (policy only)
15% Loss Pre-emption
Disclosed in notes – Disclosed in notes
Annual bad-debt & chargeback avoidance
Total Annual Benefit
£600 – £900
Combined EBITDA + IFRS 9 reserve release
Audited Turnover & Result: Not explicitly disclosed in these filleted accounts as the Profit & Loss account is omitted per S444 (5A) of the Companies Act 2006. • Operating Result: Not explicitly disclosed in these filleted accounts as the Profit & Loss account is omitted per S444 (5A) of the Companies Act 2006. • Net Result: -£6,419 (derived from change in accumulated Profit and loss account reserve from £13,431 (2024) to £7,012 (2025) - Note 8)
Wholesale / Senior Debt Facilities: Total borrowings are £1,712 (2025) identified as 'Loans from directors' (Note 6). No other bank facilities, revolving credit lines, or secured lenders are explicitly identified.
Statutory Audit Note Disclosure: No specific commentary on customer default risk, merchant settlement risk, or chargeback exposures is provided in the Director's Report or Notes to the Accounts.
2. What Payment Teams Use Today vs. Why Merchant Collapses Still Slip Through
| Existing Tooling Layer | What It Checks | The Structural Blind Spot | How RecoupIQ Closes It |
|---|---|---|---|
| 1. Legacy Credit Bureaus Experian, Creditsafe, Equifax, Dun & Bradstreet | Day-0 onboarding KYB & static annual balance sheets | 30-to-60 day batch lag on Gazette Winding-Up Petitions, High Court claims, and director resignations (TM01) | Day-1 Court, Gazette Rule 7.10 & Companies House streaming triggers before T+1 payout |
| 2. Transaction Fraud Engines Stripe Radar, Adyen RevenueProtect, Sift, Featurespace | Stolen consumer cards, BIN velocity, device fingerprinting | Zero visibility into whether the UK merchant (CRN) receiving the payout is about to enter liquidation | Scores the UK corporate counterparty (CRN) in <150ms (`ALLOW` | `HOLD` | `BLOCK`) |
| 3. Open Banking Consents Plaid, TrueLayer, Yapily AIS feeds | Merchant bank account balances (when connected) | 90-day OAuth re-authentication drop-off; distressed directors revoke bank feeds first | Zero merchant consent required; 100% continuous coverage across all 5.3M UK companies |
3. Commercial Pricing & Unit Economics (30x+ Single-Collapse ROI)
Step 1 • Proof of Value
£0 Historical Backtest
Test 10 to 50 of Two’s past merchant write-offs or chargeback defaults right now. We show the exact date RecoupIQ would have triggered
HOLD or BLOCK prior to collapse.Step 2 • Shadow Pilot / Growth API
£1,495/mo (or £0.05/check)
Includes 30,000 synchronous pre-payout checks/month + daily Gazette Rule 7.10, CCJ & director-exodus webhooks across your active UK merchant book.
The Payback Math
1 Intercept = 32x ROI
Preventing a single mid-sized UK merchant default or C2B chargeback wave (£48,500–£85,000 average loss) pays for 2.5+ years of the RecoupIQ API on day one.
Direct Founder Access • Zero NDA Required to Test
Run a 60-Second Backtest or Speak Directly With Alex
Paste 10 to 50 UK Company Registration Numbers (CRNs) into our self-serve backtest workbench, or email contact@recoup-iq.tech with your phone number and Alex will call you directly for a 10-minute walkthrough of Two’s statutory exposure model.