Accounting software platform Practice Ignition has announced the close of a $5 million Series A round led by Microequities Venture Capital Fund, with the funds to help fuel the startup’s international growth and expand its team.
The round also saw participation from Black Sheep Capital and Right Click Capital, as well as contributions from existing investors TechnologyOne’s Adrian Di Marco and MYOB cofounder Craig Winkler. Winkler backed the startup in an early round of seed funding mid 2015, with the Series A now bringing Practice Ignition’s total raise to date to roughly $6.5 million.
Practice Ignition’s software as a service (SaaS) accounting online platform helps automate elements of the accounting process, offering accountants an easy way to manage their work in the cloud.
Launching in 2011, the Sydney-based startup set it sights globally from the get-go, growing from its local base to serving roughly 1000 accounting firms worldwide. The platform is currently used to help complete the accounting work over 40,000 small global businesses, processing $100 million in payments annually. Discussing the startup’s growth, Practice Ignition founder and CEO Guy Pearson accounted it to the business’s international focus, a strategy which he said has “paid off”.
“Our international strategy has paid off, with over 50 percent of our revenue generated overseas. This new capital will enable us to ramp up product and marketing in key markets, expand our team and better serve our amazing customers,” he said.
With the Series A injection, Practice Ignition will aim to double its team size from 30 to 60 people over the next two years, as it looks to solidify its presence in overseas markets, including the United States, Canada at the UK.
Right Click Capital Partner Benjamin Chong said Practice Ignition was a “great example” of an Australian SaaS company gaining traction internationally and tackling the business-to-business space.
“Cloud technology continues to grow and evolve rapidly. We see Practice Ignition as a frontrunner. The platform streamlines the tedious day-to-day tasks for accounts and small business owners alike, freeing their capacity to deliver better client experiences,” he said.
“The funding also gives Practice Ignition the opportunity to tap into Right Click Capital’s partnership with the Draper Venture Network. This opens doors for both investors in the Growth Fund and the businesses the fund supports. The Growth Fund will continue to focus on investing in early-stage high growth tech businesses across Australia, New Zealand and South East Asia.”
With the closing of the round, Howard Leibman of Microequities Venture Capital Fund and Adrian Di Marco will be joining Practice Ignition’s board.
Image: Guy Pearson. Source: XU Magazine.