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The French accounting program Pennylane has doubled the estimate of 2 billion euros (2.16 billion) in the new 75 -million financing rounds.
Pennylane told CNBC that he had raised fresh funds from many venture funds, and also participated in Sequoia Capital, as well as Capitalg, Meritech and DST Global.
Founded in 2020, Pennylane sells what he calls the accounting platform “all in one” used by accountants and other financial experts.
The platform is primarily aimed at small and medium-sized firms, offering tools for features that cover costs, accounts-accounts, monetary flow management and financial forecasting.
‘We came in a tailoring product reminiscent (Intuition) QuickBooks either Xero But adapted to the needs of the continental accountants, starting with France, “said CNBC CEO Pennylane and co -founder Arthur Waller.
Currently, Pennylane serves about 4,500 accounting firms and more than 350,000 small and medium -sized enterprises. Earlier, the startup was estimated at EUR 1 billion in the 2024 investment round.
European extension
So far, Pennilan works only in France. However, after the new fundraising, the startup is now plans to expand its services across Europe – starting in Germany in the summer.
“It will be a lot of work. We needed about five years to produce products in France,” Waller said, adding that he hoped to achieve the maturity in Germany in a shorter period of two years.
Pennylane plans to end the year of about 100 million euros annual revenues that are repeated – an indicator of annual revenues received from the subscriptions that are restored every year.
“We’re going to make Breakeven by the end of the year,” Waller said, adding that Pennylane is working on lower customer purchasing than other Fintechs. “75% of our costs are NDDKR (research and development),” he added.
Pennylane also plans to increase hiring after a new funding round. By the end of 2025, it seeks to grow up to 800 employees, which is compared to 550.
“Pilot” for accountants
Like many other fintechs, Pennylane takes artificial intelligence. Walller said the startup uses technology to help customers automate accounting and free time for other things such as consulting services.
“Since we have a modern technological stack, we can embed all kinds of II, but also Genai, in the product,” Waller CNBC said. “We really try to build a” pilot “for an accountant.
He added that the new electronic rules of the account account that come into force across Europe are pushing more firms to consider new digital products to meet their accounting needs.
“Each business in France will have to choose a product operator in a year to issue and receive accounts,” Waller said, calling the e-work “huge market”.
Lucian Leaksandra, a partner in Sequoia sitting in the Pennilan Council, said the reforms are a “large -scale market opportunity” because the accounting industry still catching up digitizing.
“Reality is a very fragile market,” Lixandru CNBC said. “Each country has one or two decades of executives and several options served by SMB and their accountants.”
