FinTech news in accounting category

Jaskiw attributes Tactic’s success in closing the round this summer to a few different factors — investors who have a long-term belief in the crypto ecosystem as well as the company’s focus on catering to larger clients who are processing thousands of transactions each month. CEO and founder Ann Jaskiw launched Tactic in 2021 while she was working on a different crypto project and realized from her conversations with founders in the space that they were struggling to close their books each month and stay compliant with accounting principles. Perhaps that part of the reason why less than five months after journalist covered Tactic’s $2.6 million seed round, the crypto accounting software startup has managed to bag $11 million despite a painful market downturn for the sector in what it says was an oversubscribed raise. Looking ahead, Jaskiw said Tactic hopes to become a one-stop shop for companies to manage their crypto accounting processes.

Given that building a new accounting platform is extremely complex if you want to comply with all accounting rules, Regate partners with software companies that have been working on accounting software for many years. For accounting firms, they can add Regate to their accounting stack and communicate with their clients directly from Regate. There are two types of clients for Regate — companies that have their own accounting department, or accounting firms working with small and medium companies. Regate is currently working with 10,000 clients — many accounting firms as well as many companies directly, such as Le Slip Français, Jimmy Fairly, Cityscoot and Skello.

In April 2022, American Express and Pymnts.com published a survey that found that about two-thirds of firms that have automated accounts receivable processes report benefiting from improved days sales outstanding (a measure of the average number of days that it takes for a company to collect payment after a sale has been made), while about half said that they achieved lower delinquency rates.

There was an original wave of companies working on partial document automation, which still needs a human review, but Ondrej Antos, Klarity co-founder and CEO, explained that the full document automation market is still very nascent.