Fixing the $443B Silent Leak in Subscriptions

FlyCode's AI recovers hidden subscription revenue from failed payments, adding 5–8% ARR and preserving LTV. Read our interview with CEO Tzachi Davidovich.

David Stepania
19 Sep 2025
5
min read

Welcome to Homebase AI - A weekly newsletter where we share our interviews with founders & leaders building next-gen AI companies and curate interesting news, insights & trends in the AI space for our community members.

What’s on tap today:

  • Podcast

  • Our interview with Tzachi Davidovich

  • Weekly Headline Recap

  • What's trending in AI this week

  • Community Update

  • How Homebase Helps You

🎙️ This Week’s Interview

AI Founder Story

Transforming Silent Churn Into Predictable Revenue Growth

Quick Background

Tzachi Davidovich is the Co-founder & CEO of FlyCode, a YC-backed fintech startup from Tel Aviv solving one of SaaS’s most underestimated challenges: failed payments. With over a decade in fintech and subscription billing, and product leadership experience at Pioneer and Behaf, Tzachi set out to fix a problem quietly costing the global economy $443 billion every year.

The Silent Killer of SaaS Growth

You work hard to acquire a customer. They love your product. They pay every month. And then—suddenly—their card declines. They didn’t churn intentionally. They didn’t even know it happened. Yet in that single failed transaction, you lose their entire lifetime value.

This is the hidden churn that eats away at Netflix, Notion, Shopify, and every subscription business on the planet.

FlyCode’s Breakthrough

Most companies rely on basic retry settings in Stripe or Shopify. Others send “update your card” emails, pushing the problem back on customers. Both approaches miss the point.

FlyCode built AI models that analyze payment data, decode failure patterns, and predict the right time to retry—so payments succeed without spamming retries or annoying customers. While you sleep, FlyCode quietly recovers revenue you didn’t know you were losing.

Key Achievements & Insights:

The Problem Today →

Subscription businesses bleed revenue when payments fail, often losing the full LTV of customers they already worked hard to acquire.

The Breakthrough →

FlyCode’s AI predicts the optimal retry timing, reducing penalties from issuers while recovering more payments with fewer attempts.

The Proof Story →

Finance teams once tracked failures in Excel, sending manual “please update card” emails. FlyCode automates recovery, with customers never noticing a decline even happened.

The Big Example →

At scale-ups and Shopify stores alike, FlyCode integrates via Stripe marketplace or API, boosting recovery rates beyond anything existing tools achieve.

Why It Matters

For CFOs, an extra 5–8% ARR from invisible recovery isn’t just nice—it’s game-changing.

Watch the full interview below! 👇