A Sydney client engagement platform for professional services companies has raised $US50 million ($A69m) in a Series C round.
The raise for Practice Ignition was led by US-based JMI Equity, making its first Australian investment. Existing investors Tiger Global and EVP also backed the raise along with several strategic angel investors and family office groups.
The 10-year-old company plans to use the cash for global growth in the APAC, North American Europe, Middle East and African regions, with a focus on the US through its strategic partnerships with Gusto, Intuit and Thomson Reuters.
The cloud-based software company previously raised A$26 million in a series B, led by New York’s Tiger Global Management in 2019. MYOB co-founder Craig Winkler and Right Click Capital have also invested.
Practice Ignition was originally designed to help accountants and bookkeepers be more efficient, and improve client relationships. The business is now preparing to deal with the digitisation of the professional services in the wake of the global pandemic.
Client revenues facilitated via the platform nearly doubled in 2021. And there are plans to establish a new R&D team in Toronto, Canada, to support the company’s innovation and customer expansion goals in North America.
JMI Equity Principal Sureel Sheth said the company has built a category-defining business.
“We have been impressed by the strength of the product, the engaged and loyal customer base and the enormous potential for growth and scale globally,” he said.
“As an emerging leader in the accounting and broader professional services markets, Practice Ignition’s culture of innovation is unparalleled in the sector and we’re thrilled to partner as Practice Ignition embarks on this next phase of international expansion.”
EVP founder Howard Leibman said Practice Ignition has all the hallmarks of a world-class SaaS platform,.
“The platform addresses a very real need amongst mid-market professional service firms to streamline and automate their processes,” he said.
“The high level of customer advocacy speaks to the product’s success in driving real bottom-line impact for the thousands of such firms already on the platform.”