Tipalti raises $150 mn in Series E at a valuation of more than $2bn

By Pavithra R

California based Tipalti, a global payables automation platform provider, has announced that the company has secured $150 million in Series E funding round led by Durable Capital Partners.

The new investment round has brought the FinTechs at a valuation of more than $2 B, bringing the total funding raised to date to around $280M. The finance round also includes significant investments from Greenoaks Capital and participation from current investor 01 Advisors.

The FinTech is planning to use the funding to double-down on its product roadmap, extend its global presence, accelerate its growth path, and increase its position as the preferred solution for high-velocity companies across the globe. This growth will be fueled by increasing product management, customer operations, sales, developer, and business development headcount.

“The accounts payable automation space has an extremely large total addressable market with significant growth potential. We believe that Tipalti has the potential to become a much larger company within the Midmarket space due to its differentiated holistic platform, superior global capabilities and management team. This has resulted in leading retention and customer satisfaction,” said Henry Ellenbogen, Founder, Managing Partner and Chief Investment Officer of Durable Capital Partners LP.

Accounts Payable is considered the most time-consuming function in finance. Manual AP processes not only waste time but also slow down financial reporting while increasing risk of fraud, tax, regulatory and audit penalties. A recent research which surveyed CFOs at medium-to-large businesses by Tipalti and Censuswide has revealed that 47% of finance organizations spend around 520 hours per year on manual accounts payable tasks, and more than a quarter (27%) of respondents said their teams dedicate up to 80 people-hours per month on AP tasks, amounting to 1,040 hours annually. 

Tipalti’s comprehensive, global payables automation solution enables its customers to automate, modernize and optimize their entire global payables operation, providing finance organizations with a highly efficient, holistic solution that adapts to their businesses’ changing needs as they scale, and that allows finance leaders to focus instead on supporting their companies’ mission-critical initiatives.

“This new round of investment will allow us to further accelerate our innovation edge as a leader in the payables automation space and expands our solution to the larger market. Tipalti is clearly needed and this enables us to be ready for all that demand,” said Chen Amit, CEO and Co-founder of Tipalti.

Founded in 2010, Tipalti offers end-to-end accounts payable software to automate the entire supplier payments operation, making global B2B payments frictionless. Its customer portfolio includes Amazon Twitch, Amplitude, Roku, Zumba, Medium, Seeking Alpha, Twitter, ClassPass, Toast, Automattic, GoDaddy, United Language Group, Zola, Headspace, and Foursquare.