Top investors back Airbase’s solution to fix non-payroll spending
A new round of funding for a startup signals a belief in the company’s vision. It also validates the dedication and hard work of the team to fully understand a problem and design an effective, elegant solution. At Airbase, we’re extremely proud to have closed on a $23.5 million Series A extension led by Bain Capital Ventures. Returning investors First Round Capital and BoxGroup also participated in the round, as well as Webb Investment Network, an early-stage fund run by former eBay COO Maynard Webb; Frederic Kerrest, Executive Vice Chairman, COO, and co-founder of Okta; and Ron Gill, former CFO of NetSuite.
This new funding, as covered in TechCrunch, brings our total amount of capital raised to $30.8 million. I’m very happy that we’re able to partner with investors who have the financial resources, extensive networks, and most importantly, deep domain expertise to support our ambitious vision and goals. We welcome Ajay Agarwal, Partner at Bain Capital Ventures, to join Bill Trenchard and me on the Airbase board. I look forward to working with him and benefiting from his extensive experience in SaaS and data services.
I started Airbase in 2017 in response to a problem that I had experienced first-hand. My first company, Automatic (acquired by SiriusXM in 2017), went through the typical journey of many venture funded startups. We lived through the many challenges that fast-growing companies face when rapidly building necessary operations and infrastructure. While our product, engineering, sales and marketing teams typically had access to high quality and modern tools, that was not the case with the finance and accounting teams.
Every business has to spend money to operate and grow, but the tools that we used to do so seemed to come from a different era, and had not kept up with how modern companies actually spend money. We live in a world where employees are empowered and most tools and services are adopted in a bottoms-up way. At the same time, every vendor has realized that the best way to reduce friction and get adoption of their product or service is to make it really easy to expense it on a corporate card. This mismatch between how we spent (a lot) of money as a company, and the availability of tools to control spending and gain visibility was really frustrating. But, I was building a completely different company and I had to be satisfied with recording this problem in my notebook of ideas to dig into when I had the time.
The opportunity to study the problem and find a solution arose after selling Automatic. After dozens of conversations with other founders, controllers and CFOs, I was convinced that this wasn’t just my frustration, but a widely shared one.
The early team at Airbase spent the better part of two years developing the product that I wanted when I was working on Automatic. We’ve now built a modern spend management platform that saves companies time and money by empowering them to manage every aspect of corporate spending. With Airbase, finance and accounting teams can control expense requests and approvals, perform invoice processing, make bill payments using checks, cards, or ACH, and reconcile all accounting on one platform. Airbase replaces the usual spend management set-up of multiple siloed solutions and enables companies to track the flow of every dollar from their bank accounts into the general ledger in real time. Airbase is fully integrated with accounting platforms Oracle NetSuite, QuickBooks Online, Xero, and Sage Intacct. Over the course of our journey, we’ve had the opportunity to work with amazing companies such as Front, Gusto, Doximity, Segment, Tatcha, and Getaround, who use Airbase to manage their spending.
Our first round of funding showed belief in our ability to solve an important and growing problem. This new round recognizes the significant potential of this important market. It will give us the bandwidth to increase the size of our team, invest in product development, and open a New York City office. With a rapidly growing base of customers, I am excited to be presented once again with an opportunity to build and manage a fast-paced company. Only this time, with Airbase’s spend management platform, I’ll be able to do so more efficiently!
Learn more about our Series A extension.
Business Continuity - Make sure your finance team can respond to the coming fire.
Today’s need for up-to-the-minute financial data exposes inadequate company-spending processes.