Countingup, the U.Okay. fintech providing a enterprise present account with built-in accounting options, has closed £9.1 million in Collection A funding. Main the spherical is Framework Enterprise Companions, with participation from Gresham Home Ventures, Sage and existing investors.
It’s noteworthy that Countingup has beforehand taken funding from ING, and the addition of Sage as a backer is fascinating since each may assist the startup attain extra enterprise clients. It additionally probably units up one future highway to exit. Nevertheless, let’s not get forward of ourselves.
Based in 2017 by Tim Fouracre, who beforehand based cloud accounting software program Clear Books, Countingup now boasts over 34,000 enterprise clients. The corporate’s long-term imaginative and prescient is to be the one “monetary hub” for micro companies within the U.Okay. and past. Its preliminary “assault vector” was to mix a enterprise checking account with bookkeeping options to assist automate the submitting of accounts — a serious time sink and pain-point for sole merchants and small companies.
In the present day that features a enterprise checking account with its personal type code and account quantity, a Mastercard for making funds and assist for sooner funds and direct debits. On the accounting software program facet, Countingup at the moment helps automated bookkeeping, invoicing, receipts, fee of payments, tax estimates and revenue and loss reporting.
As well as, accountants may be given restricted entry by way of the net to higher assist shoppers banking with Countingup. This contains the choice for enterprise house owners to share real-time bookkeeping knowledge with their accountant, “eliminating the pains of re-authorisation requests, knowledge lags, duplicates, and inaccuracies,” says the fintech.
To that finish, Fouracre tells me the brand new funding can be used to rapidly scale up the crew from 30 to 80 individuals. “This may speed up our roadmap enabling extra swim lanes of product work to be on the go concurrently,” he says.
That roadmap contains tax submitting, new monetary companies (e.g. loans, card fee companies) and multi-currency invoicing and funds to assist the 33% of SMEs within the U.Okay. that commerce internationally. An internet model of the app for small enterprise clients is deliberate too.
“We may also be constructing out our gross sales and advertising and marketing groups for extra aggressive progress,” provides Fouracre.
Countingup’s enterprise mannequin combines each SaaS and fintech. On the SaaS facet, the corporate earns month-to-month subscription charges. On the fintech facet, it generates income from banking exercise (e.g. interchange charges) on Mastercard spend. Sooner or later, that can possible embody different sources of revenue by way of providing credit score, funds and FX.
Feedback Neal Watkins, EVP, Small Enterprise Phase at Sage: “Investing in high-growth SaaS companies is core to our technique to allow small companies and accountants to outlive and thrive. That is an thrilling alternative to be a part of the startup journey in a brand new means as companies discover the advantages of bringing accounting and monetary companies collectively”.