Accounting software startup Smacc has raised $3.8 million in Series A funding to develop its platform for automating accounting and finance processes.
The German company said Monday its investors include Cherry Ventures, Rocket Internet, Dieter von Holtzbrinck Ventures, Grazia Equity, and business angels, all of whom are based in Germany.
“With the financing round, we can pursue our goal of helping thousands of small- to medium-sized companies to digitize their operational financial processes,” Smacc co-founder Janosch Novak said in a news release. “The capital from the financing round will help to develop our proprietary technology platform and further accelerate growth.”
According to Smacc, its software combines the capabilities of the cloud with intelligent algorithms. The technology converts the client’s invoices into digital form and, as it self-learns, performs further processing automatically.
“There are other cloud-based accounting software providers out there, such as Xero and Crunch Accounting, but Smacc says what makes them different is the high level of automation of all the accounting and finance processes that companies usually input manually,” TechCrunch reports.
Novak, Uli Erxleben, and Stefan Korsch founded Smacc after experiencing accounting difficulties with their previous businesses. Erxleben managed Rocket Internet’s U.S. ventures in New York and San Francisco and is also the founder of a craft beer startup.
“The high degree of innovation of the [Smacc] software in combination with the expertise of its founding team puts Smacc in an excellent position to change the accounting software market,” said Filip Dames, founding partner of Cherry Ventures.