Hubdoc secures US $4.85M seed financing

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By Ted Liu

Hubdoc Inc., the developer of cloud accounting application that automates financial document collection and processing, has raised US $4.85 million in seed funding led by BDC IT Venture Fund and Round13 Capital with participation from Hyde Park Venture Partners and other investors.

The funds will be used to scale growth in North America, Australia and the United Kingdom, and to accelerate innovation in accounting automation. The company plans to invest in talent across product development, machine learning, sales and marketing.

Hubdoc is on a mission to change the way accounting and bookkeeping gets done. The application leverages cloud computing and machine learning to automatically collect and analyze business documents for financial reporting, reconciliation and audit proofing. With Hubdoc, traditional administrative tasks are automated, helping accountants and bookkeepers save time, scale their practice and build deeper relationships with the businesses they serve.

“We’re in the early innings of the global shift to cloud accounting,” said Jamie Shulman, co-founder and co-CEO of Hubdoc. “Accounting firms and businesses all over the world are transitioning away from paper-based processes and offline applications, and into the cloud. Customers are relying on Hubdoc to facilitate that shift.”

With steady growth in North America, and recent expansion into Australia, the company supports thousands of accounting and bookkeeping firms and tens of thousands of businesses on its platform. Hubdoc was also recognized as the 2016 Xero App Partner of the Year and is one of Intuit’s global strategic partners.

“Hubdoc is a core application in the cloud accounting technology stack, and is driving huge efficiency gains for accounting firms and small businesses around the world,” said Bruce Croxon of Round 13 Capital. “We are excited to invest in real-world, practical applications of machine learning and artificial intelligence. We are fully behind the outstanding team at Hubdoc and the problems they are solving.”

“We believe raising capital is about delivering for our customers, not about money,” added Shulman. “Together with our investors, we’re excited to use this round of funding to take our team and product to the next level. We’re solving big problems with smart people in a market full of opportunity. It doesn’t get any better.”

photo credit: Hubdoc