One of many greatest ache factors for startups and small companies is maintaining with again workplace duties corresponding to bookkeeping and managing taxes.
QuickBooks, it appears, simply doesn’t all the time lower it.
Three-time co-founders Waseem Daher, Jeff Arnold, and Jessica McKellar fashioned Pilot with the mission of affordably offering again workplace companies to startups and SMBs. With over 1,000 prospects, it has gained severe traction over time. And Pilot has now additionally obtained validation from some big-name traders. On Friday, the corporate introduced a $100 million Sequence C that doubles the corporate’s valuation to $1.2 billion.
Bezos Expeditions — Amazon founder Jeff Bezos’ private funding fund — and Whale Rock Capital (a $10 billion hedge fund) co-led the spherical, which additionally included participation from Sequoia Capital, Index Ventures, Genuine Ventures and others.
Stripe and Index Ventures co-led Pilot’s $40 million Sequence B in April 2019. The newest financing brings the corporate’s whole funding raised to over $158 million since its 2017 inception.
The founding group definitely has a powerful monitor file, having based and offered two earlier firms: Ksplice (to Oracle) and Zupli (to Dropbox).
Pilot’s pitch is about extra than simply software program. The corporate combines its software program with accountants to do issues corresponding to present “CFO Companies” to SMBs with out a full-stack finance group. It additionally supplies month-to-month variance evaluation for all its bookkeeping prospects, primarily serving as a controller for these firms, to allow them to make higher budgeting and spending choices.
It additionally helps firms entry small enterprise tax credit they could not have in any other case recognized about.
Final yr, Pilot accomplished greater than $3 billion in bookkeeping transactions for its prospects, which vary from pre-revenue startups to bigger firms with greater than $30M of income a yr. Prospects embody Bolt, r2c and Pathrise, amongst others.
Pilot has additionally inked plenty of co-marketing partnerships with firms corresponding to American Specific, Bill.com, Brex, Carta, Gusto, Rippling, Stripe, SVB, and Techstars.
Mockingly, Pilot says it aspires to the “AWS of SMB backoffice.” (In actual fact, co-founder Waseem Daher began his profession as an intern at Amazon). Put merely, Pilot desires to maintain all these again workplace duties so firms can focus extra on development and profitable enterprise.
Pilot strives to supply an “distinctive buyer expertise,” which is mirrored in the truth that over 80% of the corporate’s enterprise is pushed by buyer referrals and natural curiosity, based on Daher.
Whale Rock Associate Kristov Paulus stated that white-glove customer support expertise and Pilot’s “carefully-engineered” software program make a robust mixture.
“We sit up for supporting Pilot of their imaginative and prescient to make again workplace companies as easy-to-use, scalable, and ubiquitous as AWS has with the cloud,” he stated.
Pilot’s mannequin jogs my memory a number of that of ScaleFactor’s, an Austin-based startup that raised $100 million in a yr earlier than it crashed and burned. However the distinction on this case is that Pilot appears to have happy prospects.