New funding will be used to capitalize on Plooto’s growth momentum and customer base by scaling the team and expanding product capabilities.
Plooto, a leader in end-to-end accounts payable and accounts receivable (AP/AR) automation software for small to medium-sized businesses (SMBs), announced today the closing of $20M USD ($27M CAD) in Series B funding. The all-equity round was led by Centana Growth Partners, a specialized growth equity firm that invests in the future of finance, with participation from existing investors FINTOP Capital and Luge Capital.
The funding will be used to drive customer expansion, introduce new product lines, ramp up hiring and help Plooto customize its offering for more businesses, Accounting and Bookkeeping firms.
”Our vision, since inception, has been to enable the advancement of entrepreneurs to reach their full potential without being bogged down by cumbersome and inefficient financial processes,” said Hamed Abbasi, CEO and co-founder of Plooto. “By expanding our platform’s automation, workflows and payment capabilities, Plooto has become the mission control for managing cashflow end-to-end.”
Small businesses in Canada employ 10.3 million people and contribute to 40% of the gross domestic product (GDP). In the United States, small businesses employ over 61 million people and contribute to 43.5% of the GDP. At the same time, poor cashflow management is the largest cause of failure for small businesses. Less than one in five survive their 10-year anniversary. “Beyond their economic contributions, entrepreneurs and SMBs, in general, have largely shaped our modern world and our mission is to see more of them succeed”, said Serguei Kloubkov, CTO and co-founder of Plooto.
“As Plooto continues to grow, it is crucial to have growth partners that understand the complexities of the industry and share the same vision. Centana’s unrivaled network and experience scaling fintech companies will help us reach more businesses in North America” added Abbasi.
Plooto is the exact kind of forward-thinking company that we at Centana Growth look for in a partner,” said Ben Cukier, Partner at Centana Growth Partners. “They solve a real problem for their customers in an innovative way. We look forward to partnering with Plooto and redefining the industry.”
“We have been impressed by Plooto’s ability to execute and demonstrate results no matter the challenges of building a payments company and the macroeconomic environment,” said John Philpott, Partner at FINTOP Capital.
“Plooto’s team has built a business with strong fundamentals, in a huge and durable market” said Karim Gillani, General Partner at Luge Capital. “They are relentless about delivering an exceptional product experience, and work tirelessly for their SMB customers.”
Plooto previously raised $6.34M USD ($8M CAD) Series A in early 2021 led by FINTOP Capital with participation from Luge Capital and Inovia Capital.
Plooto was founded by Hamed Abbasi and Serguei Kloubkov. While building their first company, the founders experienced the pain of operating a growing business firsthand. In 2015, Plooto began by building a payments platform for small businesses to achieve greater control, convenience, and visibility over their financial practices at a reasonable price point.
Today, over 8,500 finance teams as well as accountants and bookkeepers use Plooto’s cloud-based financial solutions. Turbocharged by the adoption of remote-first work, Plooto continues to grow at a rapid pace.
Plooto is a cloud-based, end-to-end payment automation software company that helps small to mid-size businesses (SMBs), Accounting and Bookkeeping firms automate and optimize their financial operations. Plooto increases overall processing efficiencies by managing account payables, account receivables, controls and reporting through a single AP/AR platform. Visit plooto.com for more information.
About Centana Growth Partners
Centana Growth Partners is a specialized growth equity firm that invests in the future of finance. They collaborate with companies across the entire financial services ecosystem, from institutions to fintech disruptors, to add strategic and long-term value to their portfolio companies. Centana empowers entrepreneurs with a combination of capital, network, and expertise to accelerate their growth. The Centana team taps into decades of financial services expertise and insight to invest in companies that bring real value and innovation to the industry. Visit centanagrowth.com for more information.